Latest news with #LebanonEconomy
LBCI
3 days ago
- Business
- LBCI
Lebanon to hold first official negotiation meeting with IMF delegation on Friday
The Lebanese government is set to hold its first formal negotiation session with the International Monetary Fund (IMF) delegation on Friday as part of renewed efforts to secure support for a comprehensive economic and financial reform program. According to a statement issued by the Finance Ministry's media office, the meeting will take place at the Ministry's headquarters in central Beirut from 2:30 p.m. to 4:30 p.m. The session marks the first official engagement between the Lebanese government and the IMF negotiating team since the Spring Meetings in Washington, following two weeks of technical talks held at the Finance Ministry. Finance Minister Yassine Jaber will lead the Lebanese delegation and include Economy and Trade Minister Amer Bisat, Banque du Liban (BDL) governor Karim Souaid, Director General of Finance Georges Maarawi, and a team of financial experts from the Finance Ministry, along with advisors from the Presidency and the Premiership involved in financial and economic matters. Ernesto Riga, chief of the IMF mission to Lebanon, will head the IMF delegation. The talks are expected to focus on reviving stalled negotiations for a recovery program aimed at stabilizing Lebanon's economy and restoring international confidence as the country faces mounting financial and institutional challenges.
Khaleej Times
3 days ago
- Business
- Khaleej Times
How I rebuilt my life after losing everything to Lebanon's financial collapse
I know it sounds dramatic to say 'the bank stole my money.' But if you're Lebanese, you know that's not exaggeration. That's just fact. One day you're running a business, making plans, watching your numbers grow. The next? You're begging a bank teller for your own money and getting that same cold, rehearsed 'system error' stare. Before the financial collapse, I had built something I loved. Vinci wasn't just a fashion company. It was my dream. It was a vision stitched together with clarity and purpose. We brought the biggest names in fashion from the US, like Macy's, Bloomingdale's, and Nordstrom, straight into the heart of Beirut. We weren't just importing clothes. We were importing experience. We were bringing in aspiration, energy, and possibility. But Vinci was never just about retail. It was a living, breathing brand. It was media before I even realised I was doing media. We launched three physical stores, organised our own runway shows, built an engaged digital presence, and cultivated a community of people who didn't just shop. They believed. They bought into the story, the vibe, the feeling. Vinci was culture. It was a movement. And the growth was real. It was fast. The ROI was better than I could have imagined. I wasn't just selling clothes. I was building something people wanted to be part of. Everything was working. Until it wasn't. Then came the crash. The unthinkable, until it became the daily. Lebanon's financial system collapsed almost overnight. I didn't believe in hiding piles of cash. I believed in the system. I believed in doing things the responsible way. Keeping money in the bank, following the rules, investing in growth. That was supposed to be the smart path. The safe path. But in Lebanon, even the smart path had a tragic punchline. The banks closed their doors. Then they opened them again, only to say no. No withdrawals. No transfers. No answers. One day, I had cash flow, plans, and momentum. The next, I had nothing. Not because I failed. Not because I made a bad investment. But because a system that should have protected people like me simply didn't. They took my money. But they didn't take my mission. And let me be clear. I don't blame my country. My lovely Lebanon will always be home. I blame the system. I blame the corruption. I blame the layers of negligence and greed that hollowed out the institutions meant to safeguard us. The people didn't fail. The spirit of Lebanon didn't fail. The system did. What I've learned is this. You can lose your business, your income, even your sense of stability. But you don't lose your purpose. Not unless you give it away. People say I shifted back into media. But the truth is, I never really left it. Vinci was always a form of media. Storytelling. Branding. Emotion. Identity. Presence. So when I lost the company, I didn't pivot. I continued. I went back to doing what I do best. Creating. Only this time, I was creating with different tools. New platforms. New formats. I rebuilt from zero. And I mean zero. I wasn't just starting over professionally. I had to rebuild myself. My confidence. My voice. My why. I became a creative director. I launched shows and podcasts. I helped build studios from the ground up. I led rebrands and campaigns for some of the most exciting names in the region. I formed teams that felt like family, and together, we told stories that mattered. Today, I lead content at one of the region's most competitive media platforms. And no bank, no government, no system failure can take that from me. If you're reading this and you've lost everything. Your business. Your savings. Your sense of control. I want you to know, I see you. You're not alone. You're not broken. You're not done. You're just in the process of becoming. Sometimes the ground has to give out from under you before you realise you were meant to fly. Sometimes hitting rock bottom is the beginning of your real story. The story you were actually meant to tell. And to all the builders, the creatives, the dreamers who've been forced to watch their work evaporate in the chaos, don't let this system define you. You are not your bank balance. You are not your business registration. You are your fire. Your clarity. Your vision. That's what builds movements. That's what survives collapse. The runway is still there. You just have to walk it again. So, walk it. Even if you're walking alone at first. Even if you're scared. Especially if you're scared. Because your steps, no matter how shaky, are still steps forward. And each one takes you closer to who you're really meant to be. The banks may have stolen our money. But they can't steal our spirit. And that is what rebuilds nations.
LBCI
4 days ago
- Business
- LBCI
IMF mission in Beirut — will Lebanon seize its 'last chance'?
Report by Lara El Hachem, English adaptation by Karine Keuchkerian A month has passed since the 2025 Spring Meetings of the World Bank Group and the International Monetary Fund (IMF), in which Lebanon participated in an attempt to bridge the gap with the international community. The IMF mission is arriving in Beirut to follow up on Lebanon's progress, largely unconcerned with the narrow, often paralyzing details of domestic debates shaped by political protections and conflicting interests. What the IMF seeks in order to sign an agreement with Lebanon is assurance that the country can sustainably repay its debts—through accountable institutions and a state capable of attracting investment. So, what progress has Lebanon made in the past month? Since the adoption of the banking secrecy law in the form requested by the IMF, no tangible progress has been made on reforms. The draft law to restructure the banking sector remains stalled in discussions between a parliamentary subcommittee and the central bank governor. Meanwhile, the government is waiting for the central bank to submit the draft financial gap law so it can be reviewed and forwarded to Parliament. As has been the case since the financial crisis began, reform legislation is moving at a slow pace in Parliament. The situation is no better in government, despite its stated awareness that this may be its final opportunity to act. Several weeks ago, Lebanon received a governance and corruption assessment from the IMF, identifying weaknesses in various sectors—including customs, public financial management, the central bank, and others—and offering recommendations on governance and anti-corruption measures in these areas. The Lebanese government is now in the final stages of reviewing the IMF's recommendations and evaluating how they align with the local context through nine specialized teams. The state cannot afford further delay. Lebanon's commitment to these reforms will be a key condition for signing any agreement with the IMF.
Asharq Al-Awsat
5 days ago
- Business
- Asharq Al-Awsat
Saudi Ambassador, Lebanon's Finance Minister Discuss Reforms, Regional Developments
Saudi Ambassador to Lebanon Waleed Bukhari held talks in Beirut on Tuesday with Lebanese Finance Minister Yassine Jaber. The meeting focused on the latest developments in Lebanon and the region. The officials also tackled the reforms the Finance Ministry is adopting to revive Lebanon's economy and stimulate growth. They discussed means to boost investment between their countries in various fields.
Asharq Al-Awsat
23-05-2025
- Business
- Asharq Al-Awsat
Moody's Affirms Lebanon's 'C' Rating Amid Deep Crisis, Fragile Reform Prospects
Moody's Investors Service has reaffirmed Lebanon's sovereign credit rating at 'C,' underscoring the country's entrenched economic, financial, and social crisis that has persisted since 2020. The rating reflects the agency's expectation that losses for holders of Lebanese sovereign bonds could exceed 65%. Lebanon has been mired in a financial collapse since 2019, which intensified following the government's default on its sovereign debt in March 2020. This unraveling led to the dramatic devaluation of the national currency, hyperinflation, and a sharp deterioration in public services. Despite numerous reform pledges, the country has remained locked in a downward spiral, deeply affecting the livelihoods of its citizens and the health of its economy. In its latest report, Moody's noted that the newly appointed government under Prime Minister Nawaf Salam, who assumed office on February 8, 2025, has started to address some of these longstanding challenges. Nevertheless, Lebanon continues to face major structural hurdles, particularly the need for comprehensive restructuring of government debt, the central bank, and the commercial banking sector. Securing international financial support from the International Monetary Fund and other global partners hinges on the successful implementation of these reforms. Moody's acknowledged some recent positive steps. These include amendments to the banking secrecy law approved by Parliament on April 24, 2025, allowing regulators access to banking records for up to ten years. Furthermore, the Cabinet approved a draft law on April 12, 2025, aimed at restructuring the banking sector while prioritizing the protection of small depositors. These measures are viewed as critical for unlocking external assistance. However, the core challenge remains unresolved: how to distribute the estimated $70 billion in financial system losses among stakeholders, including the government, central bank, commercial banks, and depositors. Previous reform attempts have stumbled over this politically and socially sensitive issue, highlighting the difficulty in forging a unified national response. Following a staggering 25% contraction in real GDP in 2020, Lebanon experienced a brief phase of relative stability before the economy shrank again by 7.5% in 2024 due to intensifying conflict on Lebanese territory. Moody's forecasts a modest economic rebound in 2025, with growth projected at 2.5%, potentially rising to 3.5% in 2026, assuming an agreement on reform is reached. The rating agency noted that Lebanon's economic strength is severely weakened by the collapse of its pre-crisis economic model, which depended heavily on foreign capital inflows. Institutional and governance quality remain among the weakest globally, despite recent reform efforts. Lebanon's fiscal position is deeply strained, reinforcing Moody's outlook for significant creditor losses once debt restructuring is undertaken. Additionally, the country faces elevated risks related to political instability, fiscal liquidity, banking sector fragility, and external vulnerabilities, all of which are unlikely to improve before the restructuring process is complete. Moody's does not expect Lebanon's rating to improve in the near term given the scale of its unresolved challenges. Any future upgrade will depend on the pace of fiscal and institutional reforms, the government's ability to generate sustainable revenue, and the economy's successful shift to a more resilient growth model. Long-term debt sustainability will also require the ability to produce and maintain large primary fiscal surpluses.
