Washington Denies Imposing Sanctions on Lebanon’s Central Bank Governor

Banque du Liban Governor Riad Salameh (Reuters)
Banque du Liban Governor Riad Salameh (Reuters)
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Washington Denies Imposing Sanctions on Lebanon’s Central Bank Governor

Banque du Liban Governor Riad Salameh (Reuters)
Banque du Liban Governor Riad Salameh (Reuters)

The US State Department denied on Saturday that it was considering imposing sanctions on Lebanon’s central bank governor Riad Salameh.

“We have seen these rumors, and while we generally are not discussing any possible sanctions, I can confirm that these rumors are not based on facts,” a US State Department spokesperson said, in an email to Asharq Al-Awsat.

News emerged in Lebanon about the possibility of the US Treasury Department imposing sanctions on Salameh for his involvement in “covering Hezbollah's financial activities.”

While the State Department slammed these rumors as inaccurate, US sources said that issuing this type of decision is completely unlikely, at least at this stage, regardless of whether the accusations were true or false.

US officials reportedly said that dealing with Salameh cannot be isolated from addressing the overall crisis in Lebanon.

Lebanon still needs to elect a new president, reconfigure its political powers, and develop economic, financial, and monetary reforms to curb the decay of its financial and banking systems.

The officials added that Hezbollah’s exploitation of the Lebanese banking system to launder its money is a well-known matter and that US administrations, both Republican and Democratic, have always tried to put an end to it.

Hezbollah claims that it has succeeded in establishing its own banking and monetary system away from the Lebanese banking system, but reality begs to differ. The Iran-backed group’s claims are chiefly geared towards dodging US sanctions.

No matter how successful Hezbollah is in establishing a wide network of “money changers” and claiming that it is the party bringing dollars into the country, in the end it cannot dispense with the Lebanese banking system to launder its money.

For the time being, many are awaiting a new equation to be introduced considering regional and international movements attempting to address the dire Lebanese banking and monetary situation.

Observers are talking about acquisitions and mergers of major Lebanese banks, funded by some Gulf countries.

On the other hand, some believe that what is happening now is nothing less than a revision of the entire economic and political system that has governed the country since its founding. This system is based on a partnership between the traditional political class and the service-financial bourgeoisie.

Some are ruling out the US government issuing sanctions against Salameh, because doing so would destroy the credibility and legitimacy of any Lebanese banking institution, especially at a time when Washington is trying to maintain a minimum level of continuity of government institutions before any new settlement matures.



Asharq Al-Awsat Reveals Details of Gaza Ceasefire Proposal

A man inspects the remains of a site that was hit by Israeli bombardment east of Khan Yunis in the southern Gaza Strip on January 14, 2025 amid the ongoing war in the Palestinian territory between Israel and Hamas. (Photo by BASHAR TALEB / AFP)
A man inspects the remains of a site that was hit by Israeli bombardment east of Khan Yunis in the southern Gaza Strip on January 14, 2025 amid the ongoing war in the Palestinian territory between Israel and Hamas. (Photo by BASHAR TALEB / AFP)
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Asharq Al-Awsat Reveals Details of Gaza Ceasefire Proposal

A man inspects the remains of a site that was hit by Israeli bombardment east of Khan Yunis in the southern Gaza Strip on January 14, 2025 amid the ongoing war in the Palestinian territory between Israel and Hamas. (Photo by BASHAR TALEB / AFP)
A man inspects the remains of a site that was hit by Israeli bombardment east of Khan Yunis in the southern Gaza Strip on January 14, 2025 amid the ongoing war in the Palestinian territory between Israel and Hamas. (Photo by BASHAR TALEB / AFP)

The parties involved in negotiations in the Qatari capital were on Tuesday hoping to finalize a plan to end the war in the Gaza Strip and agree on a prisoner exchange between Hamas and Israel.

It is likely that the agreement would be announced on Tuesday, unless new obstacles or conditions are imposed by Israel, several sources said. The deal, if reached, is expected to take effect 48 hours after the announcement.

Hamas sources told Asharq Al-Awsat that the first phase of the agreement will last 60 days. They said Israeli ground forces will gradually withdraw from the Netzarim and Philadelphi corridors.

The sources familiar with the negotiations in Doha explained that the withdrawal from the Netzarim axis will be immediate. The withdrawal from the Philadelphia axis will begin gradually after 40 to 50 days from the start of the first phase.

Displaced people will be allowed to return on foot starting the seventh day of the ceasefire, without any searches. However, vehicles returning from southern Gaza to the north will be inspected using X-ray scanning equipment operated by Egyptian-Qatari companies, under the supervision and monitoring of several parties, including Israel, to prevent the transport of weapons.

The sources revealed that an agreement was reached on Monday night on a mechanism for the redeployment of Israeli forces, allowing them to remain in the border perimeter at varying distances of up to 700 meters, particularly in areas north of the Gaza Strip.

They clarified that after 40 days, the gradual withdrawal will begin from all areas of the Palestinian enclave, in preparation for negotiations concerning the second phase, during which Israeli forces will make a full withdrawal.

The Palestinian resistance will release women, children, and the elderly in exchange for the release of 1,000 prisoners from Gaza who were arrested during the current war, on the condition that they were not involved in the October 7, 2023, attack, the sources said.

They noted that in the first phase, 200 prisoners serving long sentences will also be released.

Regarding the Rafah crossing, the sources confirmed that it will be gradually reopened, allowing the passage of those who are sick and humanitarian cases out of the enclave for treatment, ensuring freedom of movement without the arrest or targeting of travelers by Israeli forces stationed at the Philadelphi corridor.