Macron Links Beirut Visit to CEDRE Reforms

Lebanese President Michel Aoun meets Macron in Paris in 2017. (AFP)
Lebanese President Michel Aoun meets Macron in Paris in 2017. (AFP)
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Macron Links Beirut Visit to CEDRE Reforms

Lebanese President Michel Aoun meets Macron in Paris in 2017. (AFP)
Lebanese President Michel Aoun meets Macron in Paris in 2017. (AFP)

French President Emmanuel Macron informed Lebanese Prime Minister Saad Hariri that he would not visit Beirut at the official invitation of his Lebanese counterpart Michel Aoun before the government starts implementing reforms listed during the CEDRE conference that was held in Paris in 2018.

A diplomatic source told Asharq Al-Awsat that Macron gave Beirut until October 15 to inform the strategic committee about what the Lebanese government achieved during the past phase to improve the economy, including reforms to tackle the electricity sector.

Accordingly, Macron should decide on whether to set a date for visiting the country, or postpone it again.

In April, reports said that Lebanon received official notice from France that Macron is planning on visiting the country.

However, the visit never materialized.

Instead, Macron sent to Beirut this month his envoy in charge of following up on the decisions of the CEDRE conference.

Ambassador Pierre Dukan urged Lebanon to put an end to tax and customs evasion, as a necessary measure to stop state budget squandering, in addition to the implementation of the 2019 budget, the adoption of the 2020 budget within the constitutional deadlines, the reduction of spending and the implementation of the electricity plan.

France also believes that Lebanon should reform its judicial sector as a means to fight corruption.



IMF Approves Third Review of Sri Lanka's $2.9 Bln Bailout

Peter Breuer, Senior Mission Chief for Sri Lanka at the IMF along with Katsiaryna Svirydzenka, Deputy Mission Chief for Sri Lanka at the IMF and Martha Tesfaye Woldemichael, Deputy Mission Chief for Sri Lanka at the IMF, attend a press conference organized by the International Monetary Fund (IMF) in Colombo, Sri Lanka, November 23, 2024. REUTERS/Thilina Kaluthotage
Peter Breuer, Senior Mission Chief for Sri Lanka at the IMF along with Katsiaryna Svirydzenka, Deputy Mission Chief for Sri Lanka at the IMF and Martha Tesfaye Woldemichael, Deputy Mission Chief for Sri Lanka at the IMF, attend a press conference organized by the International Monetary Fund (IMF) in Colombo, Sri Lanka, November 23, 2024. REUTERS/Thilina Kaluthotage
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IMF Approves Third Review of Sri Lanka's $2.9 Bln Bailout

Peter Breuer, Senior Mission Chief for Sri Lanka at the IMF along with Katsiaryna Svirydzenka, Deputy Mission Chief for Sri Lanka at the IMF and Martha Tesfaye Woldemichael, Deputy Mission Chief for Sri Lanka at the IMF, attend a press conference organized by the International Monetary Fund (IMF) in Colombo, Sri Lanka, November 23, 2024. REUTERS/Thilina Kaluthotage
Peter Breuer, Senior Mission Chief for Sri Lanka at the IMF along with Katsiaryna Svirydzenka, Deputy Mission Chief for Sri Lanka at the IMF and Martha Tesfaye Woldemichael, Deputy Mission Chief for Sri Lanka at the IMF, attend a press conference organized by the International Monetary Fund (IMF) in Colombo, Sri Lanka, November 23, 2024. REUTERS/Thilina Kaluthotage

The International Monetary Fund (IMF) approved the third review of Sri Lanka's $2.9 billion bailout on Saturday but warned that the economy remains vulnerable.
In a statement, the global lender said it would release about $333 million, bringing total funding to around $1.3 billion, to the crisis-hit South Asian nation. It said signs of an economic recovery were emerging, Reuters reported.
In a note of caution, it said "the critical next steps are to complete the commercial debt restructuring, finalize bilateral agreements with official creditors along the lines of the accord with the Official Creditor Committee and implement the terms of the other agreements. This will help restore Sri Lanka's debt sustainability."
Cash-strapped Sri Lanka plunged into its worst financial crisis in more than seven decades in 2022 with a severe dollar shortage sending inflation soaring to 70%, its currency to record lows and its economy contracting by 7.3% during the worst of the fallout and by 2.3% last year.
"Maintaining macroeconomic stability and restoring debt sustainability are key to securing Sri Lanka's prosperity and require persevering with responsible fiscal policy," the IMF said.
The IMF bailout secured in March last year helped stabilize economic conditions. The rupee has risen 11.3% in recent months and inflation disappeared, with prices falling 0.8% last month.
The island nation's economy is expected to grow 4.4% this year, the first increase in three years, according to the World Bank.
However, Sri Lanka still needs to complete a $12.5 billion debt restructuring with bondholders, which President Anura Kumara Dissanayake aims to finalize in December.
Sri Lanka will enter into individual agreements with bilateral creditors including Japan, China and India needed to complete a $10 billion debt restructuring, Dissanayake said.
He won the presidency in September, and his leftist coalition won a record 159 seats in the 225-member parliament in a general election last week.