Lebanon seeks new staff-level IMF deal as reforms advance

Jaber, who was in Washington to meet with IMF Managing Director Kristalina Georgieva, emphasized the need to begin work on a full program, citing Lebanon's serious efforts on financial reforms over the past 18 months. He noted that the banking restructuring law sent a strong message about the government's commitment to reforms.

However, the completion of a full-scale agreement with the IMF awaits the passing of the financial gap law. This legislation is intended to distribute the losses from the 2019 financial crash, estimated at around $70 billion in 2022 and likely higher now. These losses are to be shared among the state, central bank, commercial banks, and depositors, aiming to allow depositors access to their frozen savings.

Sources offered differing timelines for a potential staff-level agreement, with one suggesting it could be signed as soon as Monday, and another indicating it was likely by the end of the year. A full IMF program requires further approval from the IMF board.