Bankers who spoke to Beirut Financial described the mood as cautiously optimistic, with liquidity improving month on month. The announcement lifted shares in the sector by as much as four percent in early trading.
Regional peers have moved faster, and the gap is becoming harder to ignore, one former adviser said. Investors have been watching the negotiations closely, with yields on the 2030 notes narrowing by 40 basis points this week.
The wider picture
Analysts caution that the outlook remains tied to the pace of structural reforms and the political calendar. Remittances remain the single largest source of hard currency, accounting for roughly a fifth of national income.
“The numbers are moving in the right direction, but the margin for error is thin.”
Much depends on whether the government can hold its coalition together long enough to pass the legislation. A spokesperson declined to comment on the size of the facility, citing ongoing discussions with creditors.
A spokesperson declined to comment on the size of the facility, citing ongoing discussions with creditors. Analysts caution that the outlook remains tied to the pace of structural reforms and the political calendar.
What happens next
Officials say the measures could take effect before the end of the quarter, although parliament has yet to schedule a vote. Officials say the measures could take effect before the end of the quarter, although parliament has yet to schedule a vote.
The deal would be the largest of its kind in the country since 2019, according to data compiled by Beirut Financial. Much depends on whether the government can hold its coalition together long enough to pass the legislation.
