Aoun Calls on Lebanon's Political Leaders to Set Aside Differences by Holding Dialogue

President Michel Aoun hold talks with Sheikh Al-Aql of the Unitarian Druze sect, Dr. Sami Abi Al-Muna. (Dalati & Nohra)
President Michel Aoun hold talks with Sheikh Al-Aql of the Unitarian Druze sect, Dr. Sami Abi Al-Muna. (Dalati & Nohra)
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Aoun Calls on Lebanon's Political Leaders to Set Aside Differences by Holding Dialogue

President Michel Aoun hold talks with Sheikh Al-Aql of the Unitarian Druze sect, Dr. Sami Abi Al-Muna. (Dalati & Nohra)
President Michel Aoun hold talks with Sheikh Al-Aql of the Unitarian Druze sect, Dr. Sami Abi Al-Muna. (Dalati & Nohra)

Lebanese President Michel Aoun stressed Monday on the importance of holding the dialogue meeting he had called for, stressing the need for such in overcoming political disputes.

Sources close to the presidency had previously told Asharq Al-Awsat that Aoun contacted heads of parties and parliamentary blocs to invite them to bilateral meetings to discuss the possibility to hold all-party talks.

On Monday, the Amal Movement, which is headed by parliament Speaker Nabih Berri, announced it will attend the dialogue.

This came in light of disputes between the Shiite party and Aoun’s Free Patriotic Movement over several files, mainly the investigation in the 2020 Beirut port explosion.

Several leaders, including former Prime Minister and head of the al-Mustaqbal Movement Saad Hariri, have refused to participate in the talks.

“With regard to our invitation to dialogue, positive reactions came first, but some reservations began to emerge,” Aoun said while meeting Sheikh Al-Aql of the Unitarian Druze sect, Dr. Sami Abi Al-Muna.

He said the program of this dialogue meeting is based on three main points of contention in Lebanon

According to the president, the meeting must first tackle economic recovery

Political leaders should also discuss the extended administrative and financial decentralization.

It must also address the national defense strategy amid regional instability.



Iraq Faces 2025 Fiscal Squeeze Amid Oil Price Decline, Adviser to PM Says 

A general view shows an oil rig used in drilling at the Zubair oilfield in Basra, Iraq, July 5, 2022. (Reuters)
A general view shows an oil rig used in drilling at the Zubair oilfield in Basra, Iraq, July 5, 2022. (Reuters)
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Iraq Faces 2025 Fiscal Squeeze Amid Oil Price Decline, Adviser to PM Says 

A general view shows an oil rig used in drilling at the Zubair oilfield in Basra, Iraq, July 5, 2022. (Reuters)
A general view shows an oil rig used in drilling at the Zubair oilfield in Basra, Iraq, July 5, 2022. (Reuters)

Iraq faces a budget crunch in 2025 due to the slump in the price of oil, the overwhelming source of government revenue, a top economic adviser to Prime Minister Mohammed Shia al-Sudani said.

"We don't anticipate major problems in 2024, but we need stricter financial discipline for 2025," Mudher Saleh told Reuters in an interview late on Monday.

Iraq, OPEC's second-largest producer, is heavily dependent on oil revenues. The hydrocarbons sector accounts for the vast majority of export earnings and some 90% of state revenue.

This huge reliance on oil makes Iraq particularly vulnerable to fluctuations in global crude prices.

Still, Iraq increased its budget in 2024 even after record spending in 2023, when more than half a million additional employees were hired into the already-bloated public sector and a capital-intensive nationwide infrastructure revamp began.

The 2024 budget rose to 211 trillion dinars ($161 billion) from 199 trillion dinars ($153 billion) in 2023, maintaining a projected deficit of 64 trillion dinars, Saleh said.

The budget assumes an oil price of $70 per barrel in 2024, around $6 less than the likely average price this year.

Saleh said that paying salaries and pensions on time remain a top priority. They account for 90 trillion dinars ($69 billion), or over 40% of the budget, and are a key factor of social stability in Iraq.

"The government will pay salaries even if it costs everything. Salaries are holy in Iraq," he said.

Infrastructure development, meanwhile, could be refocused on the most strategic projects - such as key road and bridge works in the capital Baghdad - if the state finds itself in a financial crunch, he said.

To bolster finances, Iraq is focusing on increasing non-oil revenues through improved tax collection but is not exploring any new levies, Saleh said.

He estimated that Iraq loses up to $10 billion annually due to tax evasion and customs-related problems.

Concerns for the 2025 budget reflect a challenging global oil market. Oil prices have been on a downward trend since mid-2022, with Brent crude, the international benchmark, falling from over $120 per barrel to below $75 in recent days.

This decline is largely attributed to weakening global demand, particularly from China, the world's largest oil importer, as its economic growth slows down.