Lebanese Finance Minister Ghazi Wazni revealed that Lebanon will start negotiations with the International Monetary Fund during the next few period, as Lebanon is requesting assistance from the Fund to deal in light of the severe financial crisis in the country.
Lebanon officially requested assistance from the International Monetary Fund on May 1, while facing a crisis that is considered the greatest threat to its stability since the 1975-90 civil war.
Wazni explained after a cabinet session, that "communication with the International Monetary Fund exists and during the next two days we will start negotiation sessions," stressing that "Lebanon hopes to obtain financial support from the International Monetary Fund, ranging between nine and ten billion dollars."
The economic rescue plan approved by the Lebanese government, which includes huge losses in the Lebanese financial system will form the basis of negotiations with the International Monetary Fund.
The two sides held an introductory meeting at the beginning of this week, ahead of detailed talks scheduled to take place through a video conference, today, Wednesday, with the participation of officials from the Prime Minister's Office, the Central Bank of Lebanon and the Lebanese presidency.
Lebanon defaulted on sovereign debt payments in March. The local currency has lost more than half of its value since October, as the tightening of dollars exacerbated. The crisis stood between the depositors and their savings in hard currency, as the dollar became more scarce.
Source (New Arab newspaper, Edited)
