A European Union official announced on Friday that the disbursement of €500 million in aid to Lebanon is conditional upon the restructuring of the banking sector and an agreement with the International Monetary Fund (IMF), after more than five years of Lebanon's severe economic crisis.
اضافة اعلان
In May, the EU committed to providing €1 billion in assistance to support Lebanon in combating irregular migration to Europe. The funds are earmarked for key service sectors, including education and healthcare.
European Commissioner for the Mediterranean Dubravka Šuica stated on Friday that among the funds allocated to Lebanon, €500 million was approved in August of last year, with another €500 million set to be disbursed soon. However, she noted that certain conditions must be met first.
"The main condition is the restructuring of the banking sector... and a good agreement with the IMF," Šuica said during a press conference after meeting with Lebanese President Joseph Aoun.
Šuica clarified, "Once these conditions are met, we will, of course, continue the disbursement process."
The international community has been urging Lebanon to implement reforms that would allow it to secure billions of dollars in aid to bolster its economy following a financial crisis that began in 2019, which is attributed to mismanagement and corruption.
Lebanon's parliament elected a new president in January, after a vacancy of more than two years in the presidential office.
This week, the IMF expressed openness to reaching an agreement with Lebanon on new loans following discussions between IMF representatives and Lebanon's new Finance Minister Yassine Jaber.
Šuica also discussed with President Aoun the creation of a "new Mediterranean charter," which suggests the start of comprehensive bilateral strategic partnerships with countries, including Lebanon, though no further details were provided.
Additionally, Šuica talked with Aoun about the ceasefire that ended the destructive war between Hezbollah and Israel, as well as supporting the Lebanese army and the situation in neighboring Syria.
Šuica is also scheduled to meet with Prime Minister Najib Mikati and Speaker of Parliament Nabih Berri during her visit, according to a statement from the EU.
The EU is working to alleviate the influx of refugees into its territories. Lebanon hosts around 2 million Syrians, with fewer than 800,000 registered with the UN, making it the highest number of refugees relative to the population in the world.
