Lebanon

Cabinet Approves 2023 Budget Plan; Mikati: The Kahhale Issue is Under Investigation

Cabinet Approves 2023 Budget Plan; Mikati: The Kahhale Issue is Under Investigation

The Cabinet has approved the draft budget for 2023 after reviewing it in six sessions. It also approved a bill granting the government legislative authority in the customs field and a bill to open an account in the 2023 budget reserve before it is ratified. In this context, the Minister of Information in the caretaker government, Ziad Al-Makari, noted that "the numbers have changed, and the estimated deficit is about 23.57% after having been 18.50%." Regarding the start of discussions for the 2024 budget, he said, "It is expected to begin in late August." In response to a question about Mikati's request from the Ministry of Finance to address issues related to forensic auditing, Al-Makari stated: "Ministers were concerned about this matter; no one can accept what was reported in the report, and the issue will head towards governance." He announced that "there will be a session tomorrow, Thursday, according to a previously distributed agenda."

Mikati commented at the start of the Cabinet session regarding the Kahhale issue, confirming that it is under investigation by the army under the supervision of the relevant judiciary. He stated: "What we had to do as a government, we did with conscience and responsibility; we commend what the army has done to stabilize the situation and salute its efforts, which help strengthen the state and make it responsible for the homeland and the people." In response to those who ask about the absence of the state and government regarding what happened in Kahhale, Mikati answered: "The state is present with all its institutions, army, and security forces, but a state cannot function without everyone's cooperation and support. There is no solution except through the state, putting everyone's capabilities in its service, and this alone is the path to salvation."

He reiterated that "the government is doing more than what is required of it, and the question I pose is what is required from the government in the caretaker phase besides managing the daily affairs of citizens and maintaining the components of the state and strengthening them as much as possible, and enacting the required legislative projects?" Mikati indicated that "we have prepared many required reform projects as part of the recovery plan," hoping that "the parliamentary council, which will convene tomorrow, will approve them after we provided all necessary observations from the esteemed MPs regarding them."

Regarding forensic auditing, Mikati requested the Secretary-General of the Cabinet to distribute the report immediately to the General Directorate of the Presidency of the Republic, the General Secretariat of the Parliament, and the Ministers. He also requested the Ministers of Finance and Justice to suggest the necessary measures and essential steps, particularly from the Minister of Finance concerning the failure to follow certain accounting principles. He stated: "During our government's term, the Ministry of Finance was informed of certain issues regarding the accounting principles at the Central Bank of Lebanon, so I requested the Ministry of Finance to work on rectifying these flaws immediately."

Mikati added: "From my reading of the report, I noticed that the Currency and Credit Law, enacted in 1964, needs to be reconsidered, and on this basis, I am in the process of forming a committee and will invite it to meet immediately at the Grand Serail to give it the necessary directions before starting its work. The committee will include former Minister Ibrahim Najjar, former Minister Choukri Kortbawi, Professor Nasri Diab, Professor Hassan Saleh, and Professor Abdel Hafiz Mansour." He announced that he would invite "the committee to meet within the next two days to provide it with the necessary instructions before starting its work and to present a proposal for the required amendments to include it in a bill that we will send to the Parliament."

The Deputy Prime Minister, Saadeh Al-Shami, sent a letter to the government regarding his opinion on the governmental procedures to be taken following the Alvarez report. This session convened to continue discussing the draft budget law, with the participation of the Deputy Prime Minister, Saadeh Al-Shami, and Ministers: Information Ziad Al-Makari, Youth and Sports George Kallas, Finance Youssef Khalil, State for Administrative Development Najla Riachi, Health Firas Al-Abyad, Industry George Bouchikian, Agriculture Abbas Al-Haj Hassan, Communications Johnny Al-Quramm, Interior and Municipalities Bassam Mawlawi, Culture Mohammad Wissam Murtada, Public Works and Transport Ali Hamieh, and Labor Mustafa Bayram. The Director-General of the Presidency of the Republic, Antoine Chaker, and the Secretary-General of the Cabinet, Mahmoud Makiyeh, also attended.

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