Lebanese authorities announced the resumption of negotiations with the International Monetary Fund (IMF) to reach a final agreement that would grant the country loans while advancing its reform agenda. Talks between the Lebanese government and the IMF began on Wednesday, aiming for a staff-level agreement as a step toward broader negotiations to finalize the deal.
Lebanon had previously reached a staff-level agreement with the IMF on April 7, 2022. However, the Fund made the final deal conditional on the implementation of key reforms. The previous government failed to meet these commitments or present a credible rescue plan, leading to its collapse, which also derailed both the initial agreement and negotiations with the IMF.
In this context, President Joseph Aoun met with an IMF delegation led by Ernesto Ramirez Rigo, who outlined the Fund’s vision for Lebanon’s recovery from its financial and economic crisis. He stressed the need for a unified financial reform program, coordinated between Lebanese institutions and the IMF, to help restore confidence in the country—a framework he said would also speed up Lebanon’s economic recovery.
President Aoun, for his part, reaffirmed Lebanon’s commitment to implementing reforms, emphasizing that they are a national priority before being an international demand. The IMF delegation also met with House Speaker Nabih Berri in Ain el-Tineh and later held talks with Prime Minister Nawaf Salam at the Grand Serail, with discussions focusing on reforms and governance.
Among the meetings held by the IMF delegation was one with Minister of Finance Yassine Jaber at the Ministry of Finance, attended by George Maaraoui, Director of Public Finance, along with other relevant directors and experts from the ministry. During the meeting, Jaber reiterated the Lebanese government’s firm commitment to implementing all necessary reforms—not because they are being imposed, but because the country urgently requires them. The IMF delegation’s meetings in Lebanon will continue tomorrow, Thursday, with a session at the Association of Banks in Lebanon (ABL) at 9:00 AM. According to sources, the delegation sent a set of questions to ABL’s General Secretariat, which will be addressed during tomorrow’s meeting.
Another meeting will be held, attended by IMF Mission Head Ernesto Ramirez Rigo, Minister of Economy and Trade Amer Bisat, Acting Governor of the Lebanese Central Bank (BDL) Wassim Mansouri, along with a number of experts and advisers. This takes place while awaiting the formation of the official Lebanese negotiating delegation, which will certainly include Jaber, Bisat and Mansouri (until a new BDL Governor is appointed).
The IMF delegation began its meetings in Lebanon earlier this week with experts from the Ministry of Finance, relevant ministries and several general directors, as well as officials from BDL. The delegation is expected to present findings on the evaluation of financial performance, focusing on revenues and expenditures, a review of treasury advances, and progress in preparing financial statements and cash flows to improve transparency in public resource management. The assessment will also cover financial projections, funding sources, the impact of wage increases on public spending, the preparation of the 2026 budget and financing for reconstruction projects. Additionally, the Ministry of Finance will outline the status of public debt, as well as proposed tax and customs reforms.
Minister of Finance Yassine Jaber confirmed that a new agreement between Lebanon and the IMF will be reached. He also mentioned that the Lebanese government will begin the process of appointing a new BDL governor, as this position plays a crucial role in negotiations with the IMF. The latter is expected to return to Lebanon in early April, depending on the appointment of the new central bank governor. Additionally, the Lebanese delegation will meet with IMF officials in Washington during the upcoming spring meetings of the IMF and the World Bank.
Yassine Jaber emphasized that several key issues are being addressed and revised, including the Banking and Credit Law, pending the appointment of a new BDL governor. Once appointed, the new governor will initiate studies on the banking sector, assess the monetary situation and develop a plan accordingly. These efforts will proceed after the appointment of the governor, his deputies and members of the Banking Control Commission. Jaber clarified, “I don't believe there is any discussion about writing off deposits at this stage. The focus is on how to return these deposits. I want to stress that the issue of deposits will be tackled in phases, starting with small depositors, who account for the majority, and then progressing to the subsequent stages.”
While most of the IMF's proposed reforms are widely supported, the approach to engaging with the IMF must differ from the previous one, particularly with regard to the negotiation strategy employed by the former government. A new approach is essential, one rooted in the mutual interests of both Lebanon and the IMF, as Lebanon’s current priorities align with those of the depositors. In contrast, the previous government’s strategy focused on the idea of writing off deposits. This plan was halted by a ruling from the Consultative Council, which annulled the proposal put forward by former Deputy Prime Minister Saadeh Chami. The Council’s decision specifically invalidated the key element of the plan, which sought to waive Lebanon’s obligations to the banks—obligations that, at their core, are the deposits of the Lebanese people.
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