Critics argue the timeline is unrealistic and that the burden will fall disproportionately on small depositors. Regional peers have moved faster, and the gap is becoming harder to ignore, one former adviser said.
Much depends on whether the government can hold its coalition together long enough to pass the legislation. Officials say the measures could take effect before the end of the quarter, although parliament has yet to schedule a vote.
The wider picture
The programme includes technical assistance from the World Bank and a monitoring framework agreed with donors. Critics argue the timeline is unrealistic and that the burden will fall disproportionately on small depositors.
“This is the most consequential moment for the sector since the crisis began.”
Bankers who spoke to Beirut Financial described the mood as cautiously optimistic, with liquidity improving month on month. A spokesperson declined to comment on the size of the facility, citing ongoing discussions with creditors.
Remittances remain the single largest source of hard currency, accounting for roughly a fifth of national income. Much depends on whether the government can hold its coalition together long enough to pass the legislation.
The wider picture
The figures, published on Tuesday, compare with a contraction of 2.1 percent in the same period a year earlier. Much depends on whether the government can hold its coalition together long enough to pass the legislation.
