The caretaker Minister of Finance, Youssef Khalil, met with the Executive Director of the International Monetary Fund, Mahmoud Mohieldin, and the Fund's advisor, Maya Chowey, in his office at the ministry. During the meeting, an overview of the general financial situation was presented following the approval of consecutive budgets for 2022-2024 and the measures taken since the beginning of 2023 aimed at reform, recovery, and facilitating public services while ensuring a minimum of public services within available capabilities.
Mohieldin initially denied to those present the accuracy of reports circulating in the media about the IMF halting efforts to reach an SLA agreement. He noted the positive financial developments for the treasury, which have led to financial and monetary stability despite the difficult circumstances facing the country on institutional and regional levels, considering that "financial recovery is somewhat on the desired path now."
He emphasized that "there will be no economic recovery as long as legislation regarding the restructuring of banks and resolving the deposit issue sustainably has not been enacted," indicating that the lack of consensus and resolution on these matters will incur high costs for both depositors and the economy.
Minister Khalil explained to the IMF delegation what the ministry is preparing for the 2025 budget project, discussing the proposed measures aimed at enabling financial stability and reviving economic activity. Mohieldin reiterated the Fund's readiness to support the efforts made by the Ministry of Finance in this context and his readiness to provide all required technical assistance to support Lebanon during this sensitive phase.
After his meeting with caretaker Prime Minister Najib Mikati, Mohieldin remarked that "the meeting comes as part of a series of meetings I will hold with several Lebanese officials to review the relations between Lebanon and the IMF and the preparations underway for a visit by a Lebanese delegation headed by the Deputy Prime Minister in mid-month to Washington to participate in Fund meetings." In response to a question, Mohieldin denied that "the Fund has any intention of canceling the agreement signed with Lebanon."
