Analyst Nasser Yassin said the ruling class lacked political will. The committee chair, Ibrahim Kanaan, a prominent member of a large political bloc founded by President Michel Aoun, declared: “The financial truth won.”. Lebanon’s government says it needs $20 billion in external funding, an estimate that includes an $11 billion aid package pledged by donors at a Paris conference in 2018. Draw up a medium-term plan to fill Lebanon’s yawning fiscal deficit and bring public debt down to sustainable levels. Alert: If you are facing problems with posting comments, please note that you must verify your email with Disqus prior to posting a comment. Talks between the IMF and Lebanon over an initial 10 billion-dollar bailout have been snagged by a dispute between the government and central bank over the scale of losses in the banking system. Talks between crisis-hit Lebanon and the International Monetary Fund are deadlocked, and leaders reluctant to enact reforms. Henri Chaoul, a respected adviser working with Lebanon’s government in the IMF negotiations, resigned on Thursday, saying that the country’s politicians and its financial establishment “opted to dismiss the magnitude of these losses that impose themselves as an uncontestable reality”. To shore up the country’s finances and put the economy on the path to recovery, Lebanon began talks with the IMF in mid-May for a bailout package worth approximately $10bn to finance its direct needs over the next few years. The central bank has defended these practices as “financial engineering”. "The World Bank is projecting an increase in poverty to reach 50 percent of the population. The depreciation of the national currency, and a monthly inflation rate that has reached a record of 57 per cent, have led to a major decrease of purchasing power and increased poverty levels. The EU's response to the tragic explosions in Beirut, Lebanon. “These numbers are not going to be acceptable to the IMF, who have said publicly that their numbers are closer to the government’s,” Mike Azar, a financial adviser and former lecturer at Johns Hopkins University told Al Jazeera. Talks with the International Monetary Fund on a bailout package have stalled. The Western source said: "I don't see any alternative to assistance from the IMF. The Bretton Woods Project is a UK-based NGO that challenges the World Bank and IMF and promotes alternative approaches. A reassessment of financial-sector losses signals no appetite for reforms a bailout package would demand, say experts. An obsession with fiscal consolidation as a response to the fiscal deficit will also have harmful impacts on economic development in the medium and long term (see Observer Autumn 2020). Should negotiations succeed, Lebanon will look to cover the rest of its $30 billion in total needs by seeking help from allies and capitalizing on pledges of about $11 billion made by international donors in 2018 in exchange for a promise of reforms, according to Nehme, a 64-year-old former banking executive. But others see a profound defeat for Lebanon’s economy. As such, civil society has a key role in pressuring both parties in this direction, and the IMF has a responsibility to include progressive civil society groups in a systematic dialogue concerning the conditions for a potential programme. Further economic pressure on ordinary residents is not an option today. Talks between crisis-hit Lebanon and the International Monetary Fund are deadlocked, and leaders reluctant to enact reforms. Tens of thousands have lost their jobs or part of their salaries, while a crippling dollar shortage has sparked rapid inflation. Lebanon's talks with the IMF over a $10 billion bailout have been on hold for months as the government tries to consolidate views with other stakeholders on financial losses. “It’s difficult to see this is a good faith attempt at reconciling numbers when the data isn’t being shared publicly and when experts following the numbers very closely haven’t been invited to give their perspective on what Parliament is doing,” Azar said. End of the Daily Star content in minutes its deep economic crisis analysts that... $ 20 billion in external funding, which includes $ 11 billion pledged donors... Daily Star, your leading source of Lebanese and regional news critics have imf bailout lebanon. Incompetent and corrupt in 2018 of financial-sector losses could scupper a bailout has... Financial-Sector losses could scupper a bailout deal disregard of extreme wealth and income concentration more. 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