IMF finds economic reforms in Lebanon insufficient in light of current crisis

(MENAFN) The International Monetary Fund (IMF) has officially acknowledged that the economic reforms implemented in Lebanon fall short of effectively addressing the country's dire economic predicament. Ernesto Ramirez Rigo, leading the IMF delegation visiting Lebanon, emphasized that the nation's economic woes are exacerbated by a combination of factors, including the protracted refugee crisis, clashes with Israel along its southern border, and the reverberating repercussions of the conflict in Gaza.

Tensions between Israeli forces and Lebanese Hezbollah have escalated, resulting in ongoing exchanges of fire along Lebanon's southern border since the eruption of hostilities in Gaza last October. The conflict intensified following Hamas' attack on southern Israel in October, prompting a retaliatory offensive by Israel. Tragically, the ensuing violence has claimed thousands of lives, with Gaza health authorities reporting staggering casualties and significant infrastructural damage.

Ernesto Ramirez Rigo highlighted the profound impact of the conflict on Lebanon, particularly in the southern region, where infrastructure, agriculture, and trade have been severely affected. Moreover, the heightened risks associated with the ongoing clashes have fueled uncertainty and undermined economic prospects. The displacement of a significant number of individuals further compounds the humanitarian and economic challenges facing Lebanon.

The IMF's assessment underscores the urgent need for comprehensive reforms and concerted international efforts to address Lebanon's multifaceted crisis. As the country grapples with internal turmoil and external pressures, swift and decisive action is imperative to stabilize the economy, restore investor confidence, and alleviate the plight of the Lebanese people amidst these challenging circumstances.



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