The Main Challenges Facing Lebanon's New Government

In this photo released by Lebanese government, Lebanese President Michel Aoun, left, meets with Prime Minister Najib Mikat, at the presidential palace, in Baabda, east of Beirut, Lebanon, Friday, Sept 10, 2021. (Dalati Nohra/Lebanese Official Government via AP)
In this photo released by Lebanese government, Lebanese President Michel Aoun, left, meets with Prime Minister Najib Mikat, at the presidential palace, in Baabda, east of Beirut, Lebanon, Friday, Sept 10, 2021. (Dalati Nohra/Lebanese Official Government via AP)
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The Main Challenges Facing Lebanon's New Government

In this photo released by Lebanese government, Lebanese President Michel Aoun, left, meets with Prime Minister Najib Mikat, at the presidential palace, in Baabda, east of Beirut, Lebanon, Friday, Sept 10, 2021. (Dalati Nohra/Lebanese Official Government via AP)
In this photo released by Lebanese government, Lebanese President Michel Aoun, left, meets with Prime Minister Najib Mikat, at the presidential palace, in Baabda, east of Beirut, Lebanon, Friday, Sept 10, 2021. (Dalati Nohra/Lebanese Official Government via AP)

Lebanon's new government, finally formed in the throes of an accelerating economic meltdown after 13 months of political deadlock, has its work cut out.

What are the most pressing issues for the cabinet announced on Friday, and how easy will they be to tackle?

What are the priorities?
Prime Minister Najib Mikati's 24-member cabinet desperately needs to lift Lebanon out of what the World Bank has called one of the planet's worst economic crises since the 1850s.

The Lebanese pound has lost more than 90 percent of its value to the dollar on the black market, inflation has soared and people's savings are trapped in banks.

With foreign currency reserves plummeting, the cash-strapped state has been struggling to maintain subsidies on basic goods.

Petrol and medicine have become scarce, the state barely provides two hours of electricity supply a day, and almost 80 percent of the population now lives in poverty.

"The first priority for the government really will be to stem the collapse," said Maha Yahya, director of the Carnegie Middle East Center.

Subsidies needed to be lifted and a safety net put in place to ease the blow on the most vulnerable, she said.

To do this, analysts have said, the cabinet will need to relaunch talks with the International Monetary Fund to unlock billions of dollars in financial aid.

After defaulting on its debt in March 2020 for the first time in history, Lebanon started talks with the IMF, but these quickly hit a wall amid bickering over who should bear the brunt of the losses.

Will this be easy?
The international community has demanded sweeping reforms and a forensic audit of the country's central bank before any financial assistance is disbursed.

The previous government in 2020 announced a rescue roadmap that included electricity sector reform, restructuring the banking sector and lifting the official dollar peg.

But it has yet to be implemented.

As for the central bank audit, it too has stalled, with the central bank claiming it could not provide the auditing firm with some of the required documents because of banking secrecy.

Economist Mike Azar said that reforming the oversized commercial banking sector and central bank, as well as restructuring the public sector, would be key for any deal with the IMF.

"There isn't anything you can do short of these two major restructurings," he told AFP.

But the traditional ruling class that has dominated politics in Lebanon since the 1975-1990 war was likely to be reluctant.

"Restructuring the public sector has an impact on the political parties, as it is the main financing source for their" patronage system, he said.

"How would they accept that?"

Although some of the 24 new ministers in Mikati's cabinet are technocrats, all have been endorsed by at least one of Lebanon's many competing political parties.

Yahya said drawing up a medium- to long-term rescue plan for the country would be a "major challenge" as the new government lacked any political consensus.

"This government was formed with the business-as-usual mentality so everybody there represents one political leadership or the other," she said.

This means political parties "can use the ministers within the government to block any reform they see as undermining their interests or unpopular in the street".

Will there be elections?
Mikati on Friday vowed to hold May 2022 parliamentary elections on time.

In a country rocked in 2019 by protests calling for the overhaul of the entire political class, some activists see this as a chance to vote out an old guard deemed incompetent and corrupt, and bring in younger experts to actually represent the people's best interests.

But analyst Michel Doueihy said the political parties in power since the end of the civil war were ready to do anything to cling on to power.

The traditional ruling "class is trying through this government to catch its breath" and restore some credibility ahead of the next parliamentary elections, he told AFP.

He said their tactics could even include postponing the polls.



Bereaved Gazans Dig Out Bodies from City Ruins, Give Them Graves 

A Palestinian walks amid the rubble of buildings destroyed during the Israeli offensive, following a ceasefire between Israel and Hamas, in Rafah in the southern Gaza Strip, January 22, 2025. (Reuters)
A Palestinian walks amid the rubble of buildings destroyed during the Israeli offensive, following a ceasefire between Israel and Hamas, in Rafah in the southern Gaza Strip, January 22, 2025. (Reuters)
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Bereaved Gazans Dig Out Bodies from City Ruins, Give Them Graves 

A Palestinian walks amid the rubble of buildings destroyed during the Israeli offensive, following a ceasefire between Israel and Hamas, in Rafah in the southern Gaza Strip, January 22, 2025. (Reuters)
A Palestinian walks amid the rubble of buildings destroyed during the Israeli offensive, following a ceasefire between Israel and Hamas, in Rafah in the southern Gaza Strip, January 22, 2025. (Reuters)

Guns may have fallen silent in Gaza, but for Mahmoud Abu Dalfa, the agony is not over. He is desperately searching for the bodies of his wife and five children trapped under the rubble of his house since the early months of the war.

Abu Dalfa's wife and children were among 35 of his extended family who were killed when an Israeli airstrike hit the building in Gaza City's Shejaia suburb in December 2023, he said. As bombs continued to fall, only three bodies were retrieved.

"My children are still under the rubble. I am trying to get them out... The civil defense came, they tried, but the destruction makes it difficult. We don't have the equipment here to extract martyrs. We need excavators and a lot of technical tools," Abu Dalfa told Reuters.

"My wife was killed along with all my five children - three daughters and two sons. I had triplets," he said.

Burials are usually carried out within a few hours of death in Muslim and Arab communities, and failure to retrieve bodies and ensure dignified burials is agonizing for bereaved families.

"I hope I can bring them out and make them a grave. That's all I want from this entire world. I don’t want them to build me a house or give me anything else. All I want is a grave for them - to get them out and make them a grave," said Abu Dalfa.

The Palestinian Civil Emergency Service and medical staff have recovered around 200 bodies since the ceasefire between Hamas and Israel came into effect on Sunday, halting a 15-month conflict that has killed more than 47,000 Gazans.

The war in Gaza was triggered when Palestinian Hamas fighters attacked southern Israel on Oct. 7, 2023, killing 1,200 people and taking about 250 as hostages, according to Israeli tallies. At least 94 of those hostages remain in Gaza.

Mahmoud Basal, the head of the service, said extraction operations have been challenged by the lack of earth-moving and heavy machinery, adding that Israel had destroyed several of their vehicles and killed at least 100 of their staff.

Basal estimates the bodies of around 10,000 Palestinians killed in the war are yet to be found and buried.

A UN damage assessment released this month showed that clearing over 50 million tons of rubble left in the aftermath of Israel's bombardment could take 21 years and cost up to $1.2 billion.

OPENING AID CROSSINGS

As hundreds of truckloads of aid flowed into Gaza since Sunday, officials from the Palestinian Authority, rivals to Hamas, held meetings with European officials to arrange to assume responsibilities at two vital crossing points with Egypt and Israel.

A Palestinian official familiar with the matter said Egypt sent bulldozers and some engineering vehicles to carry out repairs to the road on the Gaza side of the border that had been damaged by Israel's ground offensive.

Like Abu Dalfa, thousands of Gaza's 2.3 million residents are searching for the bodies of relatives either missing under the rubble or buried in mass graves during Israeli ground raids.

Rabah Abulias, a 68-year-old father who lost his son Ashraf in an Israeli attack, wants to give his son a proper grave.

"I know where Ashraf is buried, but his body is with dozens of others, there is no grave for him, there is no tomb stone that carries his name," he said via a chat app from Gaza City.

"I want to make him a grave, where I can visit him, talk to him and tell him I am sorry I wasn't there for him."