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Cabinet approves new policy statement

Thursday, February 6, 2020

Lebanon's government said on Thursday it approved a rescue plan to pull the country from its worst economic and financial crisis in decades, which must now win a vote of confidence in parliament.

A draft policy statement had outlined broad plans, including reducing interest rates, recapitalising banks, restructuring the public sector and seeking support from foreign donors.

The information minister said on Thursday that the cabinet had approved the plan with some amendments, which ministerial sources said were minor.

It was not immediately clear what changes were made to the 17-page statement, which is expected to be presented next week in parliament for the government to secure a vote of confidence.

Prime Minister Hassan Diab's cabinet was formed last month by Hezbollah and its political allies, which hold a parliamentary majority.

The new government took office nearly three months after Saad Hariri's government resigned under pressure from sweeping protests against a ruling elite seen as corrupt and wasteful.

Diab's cabinet faces a liquidity crunch, shattered confidence in banks which have imposed informal controls, a weakened Lebanese pound and soaring inflation.

Acting Bodies: 
Lebanese Government
Economic measures (State budget, rent law, wages...)
Approved/ Ratified