IMF chief says Lebanon failed to implement prior actions for funding program

WASHINGTON, Oct 13 (Reuters) – International Monetary Fund Managing Director Kristalina Georgieva said on Thursday talks with Lebanon remained stalled because officials in the country had not yet implemented the necessary prior actions to receive a IMF financing program.

“There is still this paralysis and it can only be resolved if Lebanese political leaders put aside what divides them and put themselves at the service of the Lebanese people who deserve nothing less,” Georgieva told a conference. press in Washington.

Prior actions are measures that must be implemented before the board approves an IMF-supported program, according to its website.

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The IMF said last month that progress in implementing reforms remained very slow, particularly the implementation of reforms agreed with the IMF in April.

The Fund has reached a draft funding agreement with Lebanon that requires reforms from Beirut before its board decides whether to approve the deal. The staff-level agreement covers a 46-month extended funding facility under which Lebanon has requested access to the equivalent of approximately $3 billion.

A deal with the IMF is widely seen as vital for Lebanon to start recovering from an economic meltdown that has devastated the country since 2019, locking savers out of their deposits, sinking the currency and skyrocketing poverty, in the country’s worst crisis since 1975. -90 civil war.

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Reporting by Jorgelina do Rosario; Editing by Mark Porter

Our standards: The Thomson Reuters Trust Principles.

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