French envoy criticizes Lebanon over ‘slow’ reforms needed for IMF loan

French envoy criticizes Lebanon over ‘slow’ reforms needed for IMF loan

The French diplomat charged with coordinating international support for Lebanon, so it can receive International Monetary Fund aid, has criticized the slow pace of reforms in the crisis-hit country.

The IMF last April announced an agreement in principle with Beirut for $3 billion in aid spread over four years, but conditional on implementing crucial reforms.

"It's really slow," Pierre Duquesne told journalists in the Lebanese capital, at the same time highlighting "a few minor adjustments that go in the right direction."

Among the reforms demanded by the IMF is parliament's approval of the 2022 budget, which Duquesne said came "late."

Lebanon has been effectively leaderless for months, without a president and ruled by a caretaker cabinet.

The IMF is also demanding reform of banking secrecy laws and a restructuring of the banking sector as a whole, as well as a law on capital controls.

"There is no other solution than the IMF to provide capital, credibility and confidence... and to reduce inequality," Duquesne said.

Paris will host an international meeting on Monday on how to end months of political deadlock in Lebanon, with representatives from France, the United States, Saudi Arabia, Qatar and Egypt.

Duquesne is in Beirut to provide French support for the recovery of Lebanon's energy