IMF Stresses Urgency to Audit Lebanese Central Bank Budget

The International Monetary Fund (IMF) said on Thursday that its discussions with the Lebanese government focused on the urgency for an accounting and financial audit of the country's central bank's balance sheet to help assess its liabilities and assets.

An audit would also help assess the central bank's financing of government operations and its net worth, which are key elements to understanding previous losses, IMF spokesman Gerry Rice told reporters.

Countries like Italy and France are currently pressuring Lebanon to rebuild confidence between citizens and institutions  to undertake reforms ending years of corruption and government mismanagement, steps aimed at paving the way for international aid.

Lebanon has started talks with the IMF in May, yet, it stalled in July as the government argued with political parties and banks over the size of losses in the banking system, which led to mountain of public debt.

IMF calls on Lebanon to implement capital control law

The reform road-map outlined by France calls on the new Lebanese government to implement the capital control law, approved by the fund, begin auditing the central bank's accounts and launch reforms in the electricity sector.

The Lebanese Finance Minister recently signed financial and forensic audits of the Central Bank, Rice said in a regular press briefing, adding that IMF officials had offered technical assistance to the Lebanese authorities to help meet some of the challenges that followed the August 4 bombing in the Beirut port, which killed about 190 people and caused losses estimated at $ 4.6 billion.