The figures, published on Tuesday, compare with a contraction of 2.1 percent in the same period a year earlier. Remittances remain the single largest source of hard currency, accounting for roughly a fifth of national income.
Officials say the measures could take effect before the end of the quarter, although parliament has yet to schedule a vote. The programme includes technical assistance from the World Bank and a monitoring framework agreed with donors.
Key details
The figures, published on Tuesday, compare with a contraction of 2.1 percent in the same period a year earlier. The deal would be the largest of its kind in the country since 2019, according to data compiled by Beirut Financial.
“Capital follows credibility, and credibility is finally being rebuilt.”
Critics argue the timeline is unrealistic and that the burden will fall disproportionately on small depositors. The announcement lifted shares in the sector by as much as four percent in early trading.
Investors have been watching the negotiations closely, with yields on the 2030 notes narrowing by 40 basis points this week. Much depends on whether the government can hold its coalition together long enough to pass the legislation.
What happens next
Investors have been watching the negotiations closely, with yields on the 2030 notes narrowing by 40 basis points this week. The plan sets out three phases, beginning with an audit of balance sheets and ending with a recapitalisation schedule.
Critics argue the timeline is unrealistic and that the burden will fall disproportionately on small depositors. 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. Investors have been watching the negotiations closely, with yields on the 2030 notes narrowing by 40 basis points this week.
