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Lebanon: Hezbollah not opposed to IMF aid accompanied by "reasonable conditions"

2020-03-13T21:19:37.715Z


The head of the powerful Lebanese Shiite movement Hezbollah, an ally of Iran, said on Friday that any possible IMF aid to Lebanon, in the grip of an acute financial crisis, should be accompanied by "reasonable conditions", far from any hint of "trusteeship". »Foreign.


"All aid under reasonable conditions (...) poses no problem of principle," said Hassan Nasrallah in a speech broadcast by the chain of the al-Manar party, stressing however his refusal of any "trusteeship" of the country in default since Monday for the first time in its history.

"If the IMF wants to provide aid to Lebanon, and the conditions it imposes do not contradict the Constitution and our national interests, we have no problem," said Hezbollah chief.

This position comes less than a week after the Lebanese Prime Minister, Hassan Diab, announced the incapacity of the country, plagued by an economic crisis unprecedented since the end of the civil war (1975-1990), of meet a $ 1.2 billion debt maturity due March 9.

In his speech, Hassan Nasrallah stressed, however, his refusal to any "trusteeship" of Lebanon or to "entrust the financial and economic management (of the country) to an authority dictating" conditions in return for aid.

Economic slump

He notably mentioned on this subject a possible request for naturalization of Palestinian refugees established in Lebanon, prohibited by the Constitution, or a tax reform providing for an increase in VAT.

The IMF on Thursday urged Lebanon to "quickly" implement a series of reforms to stem the economic slump, while the country is now in default.

"Given the severity of economic conditions in Lebanon, it is important that the government quickly design and implement a comprehensive package of reforms to effectively address economic challenges," said Gerry Rice, spokesperson for the IMF.

With a debt of 92 billion dollars - 81.5 billion euros, or about 170% of the GDP -, Lebanon is one of the most indebted countries in the world. The IMF is "ready to assist the authorities in these efforts, but again there have been no requests for financial support," said Rice.

Lebanon had requested technical assistance from the IMF in February, but has still not requested financial assistance from the IMF.

Lebanese Prime Minister on Saturday unveiled an upcoming debt restructuring after negotiations with creditors.

Source: lefigaro

All news articles on 2020-03-13

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