Consecutive reports by international rating agencies about the Lebanese government’s likelihood to adopt measures to restructure the public debt have sparked a wave a criticism by Lebanese officials, who stressed that the country’s financial and economic situation was under control.
Minister of Finance Ali Hassan Khalil said the reports relied on “false political analysis” and disregarded projects undertaken by the government.
“We are concerned about this matter, but at the same time we say that we are working to preserve the country’s stability,” he added.
Economy Minister Mansour Bteish said Lebanon was able to pay its debts.
Commenting on a recent report by Moody’s about the country’s financial situation, he stressed that terms used in the report were exaggerated.
“We are in a difficult economic situation, but that does not mean that we are heading towards bankruptcy. Lebanon has great financial capabilities. We need reforms and we hope that the budget will pave the way to them” he said in a television interview.
Meanwhile, Prime Minister Saad Hariri received on Friday World Bank Vice President for Middle East and North Africa Ferid Belhaj, accompanied by the Bank's Regional Director for the Mashreq, Saroj Kumar Jha.
Addressing reporters, Belhaj said: “We met with Prime Minister Hariri after meeting with the Minister of Finance Ali Hassan Khalil. They were constructive meetings and our impression is positive. Lebanon is on the right track regarding the reforms in the budget and electricity. We are optimistic about this.”
“But reforms are a continuous process that does not end. We are with the Lebanese government in moving forward in these reforms, especially in electricity that is a vital issue,” he added.
Hariri also met with a delegation from the International Monetary Fund, headed by the IMF's head of mission for Lebanon Chris Jarvis. They discussed the economic and financial situation and the preparation of the IMF annual report.
