Lebanon: 2011 Article IV Consultation: Staff Report; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Lebanon
IMF Staff Country Reports, February 9, 2012
Source details
- Canonical URL
- Lebanon: 2011 Article IV Consultation: Staff Report; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Lebanon
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Bibliographic details
- Published: February 9, 2012
- Series: IMF Staff Country Reports
Overview and key findings
- Lebanon is facing a difficult global, regional, and domestic environment simultaneously for the first time in more than a decade.
- Domestic policies should aim at instilling confidence and tackling key policy challenges, such as preserving macroeconomic stability and paving the way for a more resilient, dynamic, and inclusive economy.
- The Banque du Liban (BdL) relied on its large foreign reserves build-up during the upswing to intervene forcefully when the Lebanese pound came under pressure from deposit outflows and currency conversions in the wake of the government crisis.
Policy recommendations and priorities
- Instill confidence through domestic policies that preserve macroeconomic stability.
- Tackle key policy challenges to pave the way for a more resilient, dynamic, and inclusive economy.
Financial sector actions and interventions
- The Banque du Liban (BdL) used its large foreign reserves build-up during the upswing to intervene forcefully.
- Interventions occurred in response to pressure on the Lebanese pound from deposit outflows and currency conversions following the government crisis.