On his first day in his post, the new finance minister in Lebanon, Yassin Jaber, sat on his office as he reads a coded report on the color of the terrible ministry. Almost everything was marked in a worrying red.
Computer devices were contracts – some still run on Windows 98 operating system. Like a lot of governmentThe Ministry relied on the mountains of paper records, allowing functional imbalance and corruption.
“Things cannot continue as they are,” sighed.
To fix how to run it, Lebanon needs money. But to attract money, it needs to be repaired how to run it: For years, it has failed to enact financial reforms and comprehensive management required to open billions in the international financial assistance you need to treat the insulting The economic crisis.
Now, this support has become more important after the 14 -month destroyed war between Israel and Hezbollah, the Iranian -backed militias that have long been controlling politically in this small medium country. A fragile truce, but large parts of Lebanon are in ruin. Hezbollah has been beaten and could not pay for reconstruction. The new government of Lebanon Mr. Jaber said that he was able to bear “frankly nothing” from the bill.
Foreign donors have the key to recovering Lebanon, but to meet their demands, the state must do what it has not done before: to make painful economic and structural changes, while facing the thorny issue from Hezbollah’s arms.
“Foreign aid is not only charitable,” said Paul Salem, Vice President for International Participation at the Middle East Institute in Washington. “They will not give billions and billions of dollars unless their position is respected.”
The World Bank said this month that the total damage and economic loss of the war amount to 14 billion dollars, and Lebanon needs 11 billion dollars to rebuild.
“It is extremely important to move quickly when reconstruction, people sleep in tents. You have a complete part of Lebanon paralyzed,” said Mr. Jaber on that day in his office last month. “Everything today is a priority.”
The destruction of the country’s economic problems, which started in 2019, has doubled when its financial system collapsed under the burden of state debts. This led to a sovereign negligence and pushing banks to impose unofficial controls for capital, and left many Lebanese people With the savings of their lives frozen.
Lebanon reached a draft funding deal with the International Monetary Fund in 2022, which was described as the country’s lifeline, but it was conditional on changes, including addressing the country’s weak governance and restructuring its financial sector. The government failed to present, hindering its blocked and the interests of the country’s political elite.
Mr. Jaber said: “Lebanon must start with the help of itself.” “How do you do that? By starting to show a real action.”
Mr. Jaber spoke with the New York Times the next day for the new Lebanon government to receive confidence Hezbollah has been marginalized politically. Mr. Jaber, who is now one of the country’s most powerful numbers, holds matters on public spending and is responsible for reconstruction efforts and securing foreign aid.
The Hezbollah sponsor, Iran, contributed greatly to the reconstruction after the last major conflict of the group with Israel in 2006, but it is now largely unwanted because of it because of it. CrisesAnalysts said. The group was more removed due to the collapse of another ally, the Assad regime in neighboring Syria.
As a result, Hezbollah – the strong before the war that it was considered a widespread state in a country – could not finance the reconstruction, said Mr. Jaber.
He said, “It is a different era.”
Mr. Jaber, a preliminary loan that represents part of a billion billion dollar fund to be provided by donor countries, but it resides an initial loan is part of a billion billion dollar fund to be provided by donor countries, but it tops only 2 percent of what the country says that the initial loan is part of a wider billion dollar fund to be provided by donor countries, but it only evaluates what the World Bank says.
Some experts ask how quickly the systematic changes are to make. President Joseph Aoun said that he hoped that foreign aid will come “step by step” as new policies are implemented.
In addition to uncertainty, international assistance may depend on more than just financial reform. According to the conditions of the armistice deal that ended the war in November The task that can risk violence The supporters of Hezbollah are largely Shiite and local opponents. Experts said that the United States and the Arab Arab countries consider disarmament a pre -assistance to help.
The Lebanese government promised to bring all weapons under the control of the state, but it is still not clear how this will be achieved, and if so, when. Mr. Jaber did not comment on the disarmament of Hezbollah, but he indicated that the group was a firm political party with popular support and that its political role was not a point of disagreement.
Hezbollah is still a strong military force, and some Lebanese officials have ruled out its disarmament by force, which hints to settle negotiations. Earlier this month, the group leader, Nayem Qassem, implicitly rejected the idea that “resistance” would put its weapons.
“The government is bombing by both demands: painful economic and financial reforms, stifling financial affairs and the presence of Hezbollah.” However, without financing, “You pay a government and president, without juice, to achieve the most challenging goals.”
Experts said Hezbollah officials insisted that the reconstruction was not related to the requirements of reform, for fear of losing support if the reconstruction process was extracted. Nearly 100,000 people were displaced in Lebanon, according to the United Nations, the vast majority of them from Hezbollah’s heart in the south.
“The reform will take hell for a long time,” said Mr. Hajaj Ali.
Mr. Qassem, who seeks to reassure Hezbollah supporters, sought compensation for every affected family between 12,000 and 14,000 dollars, aimed at covering the costs of lease and replacing furniture. But the operation was marred by the delay.
With Hezbollah to a large extensive, there is a wave of diplomatic efforts being underway to reassure foreign donors. Lebanese officials met this month with the delegation of the International Monetary Fund in Beirut, which Mr. Jaber said aims to restart the negotiations on the long -awaited rescue package to the organization. A European Union official said last month that Brussels would watch the talks Evaluating whether Europe can provide its financial assistance.
Mr. Jaber said that the immediate priority is offered a governor of the central bank, which can be launched in reviving the country’s banking sector. Lebanon failed to naming Khalifa since Radia Salameh stepped down from the role in 2023, and he accused that he had managed The largest Ponzi scheme in the world To oversee a strategy that requires more borrowing to push creditors.
The new Lebanese leaders also promised an external review of all public institutions, which is part of a broader pledge to eliminate corruption The country has been afflicted for a long time.
Mr. Jaber said he was optimistic, but he confessed to certainty.
“Where there is a will, there is a way,” he said. The government faces a test “on the issue of their will.”
Daya Euza The reports contributed.
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