The plan sets out three phases, beginning with an audit of balance sheets and ending with a recapitalisation schedule. The figures, published on Tuesday, compare with a contraction of 2.1 percent in the same period a year earlier.
The programme includes technical assistance from the World Bank and a monitoring framework agreed with donors. Economists expect inflation to ease into single digits by year end if the exchange rate holds.
Key details
Bankers who spoke to Beirut Financial described the mood as cautiously optimistic, with liquidity improving month on month. Analysts caution that the outlook remains tied to the pace of structural reforms and the political calendar.
“Capital follows credibility, and credibility is finally being rebuilt.”
A spokesperson declined to comment on the size of the facility, citing ongoing discussions with creditors. Much depends on whether the government can hold its coalition together long enough to pass the legislation.
Remittances remain the single largest source of hard currency, accounting for roughly a fifth of national income. A spokesperson declined to comment on the size of the facility, citing ongoing discussions with creditors.
What happens next
Analysts caution that the outlook remains tied to the pace of structural reforms and the political calendar. The plan sets out three phases, beginning with an audit of balance sheets and ending with a recapitalisation schedule.
The announcement lifted shares in the sector by as much as four percent in early trading. Much depends on whether the government can hold its coalition together long enough to pass the legislation.
Bankers who spoke to Beirut Financial described the mood as cautiously optimistic, with liquidity improving month on month. Analysts caution that the outlook remains tied to the pace of structural reforms and the political calendar.
A spokesperson declined to comment on the size of the facility, citing ongoing discussions with creditors. The deal would be the largest of its kind in the country since 2019, according to data compiled by Beirut Financial.
