Lebanon Reports Tangible Progress in IMF Talks

Lebanon’s Finance Minister Yassin Jaber announced on Friday that ongoing discussions with the International Monetary Fund have proceeded in a “positive atmosphere,” achieving “tangible progress toward better outcomes.”

The talks, ongoing since Tuesday, included senior Ministry of Finance officials and IMF representatives, led by Ernesto Ramirez Rigo and resident representative Federico Lima.

Focus on Fiscal and Banking Reforms

The discussions centered on Lebanon’s public finances and medium-term fiscal framework, a cornerstone of any potential agreement with the IMF. Minister Jaber highlighted several key topics addressed during the meetings a five-year medium-term economic development plan, banking sector reform legislation, and the financial gap law, aimed at addressing fiscal shortfalls

Jaber noted that Lebanon achieved a budget surplus in 2025 and that progress is moving in a positive direction. He added that the financial plan will soon be presented to the Cabinet for approval.

Regarding the financial gap law, Jaber emphasized that the current legislation is not final and discussions with the IMF aim to improve it. The government is committed to safeguarding depositors’ rights and addressing the banking sector crisis comprehensively. Any proposed changes will be presented to the Parliament, with potential amendments to enhance effectiveness.

He also clarified that Lebanon’s gold reserves are not government property and cannot be used for fiscal purposes; they belong to the Central Bank of Lebanon, and any modification would require parliamentary approval.

The Finance Minister stressed that the government is working to increase state revenues through improved tax collection, anti-waste measures, and better subsidy management. These efforts aim to finance essential projects, including reconstruction in southern Lebanon and Tripoli, while protecting vulnerable citizens.

Jaber concluded that financial and monetary reforms with the IMF are essential steps to restore fiscal balance, enable Lebanon to meet its obligations, including returning depositors’ funds, and stabilize the country’s economy. 

“The process is difficult and requires time and effort, but it is necessary to rescue Lebanon’s economy and achieve financial and social stability,” he said.