Public Procurement Reform Tracker[1] Reform Area: Public Procurement Last Updated: August 2025 Citizen Impact Summary Dimension Snapshot Source Who Is Affected? All ministries, municipalities, public institutions, SOEs, citizens, and private suppliers dependent on fair, efficient public spending and infrastructure recovery. Status of Implementation of Lebanon’s Public Procurement Law 244-2021 and Assessment of Skills’ Gaps and Training Needs : Summary Report Financial Burden? 78% funding gap for national strategy; implementation suffers from delayed decrees, weak staffing, and currency devaluation impacting bid pricing and procurement planning. Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023 Public Services? Municipal and sectoral procurements stalled or conducted outside legal frameworks due to lack of tools, standard documents, and functioning e-platform. Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023 Mental‑Health Toll? Chronic uncertainty in public tenders, lack of grievance redress, and elite interference contribute to reform fatigue and institutional demoralization. World Bank Lebanon - Systematic country diagnostic, Summer 2024; Technical Note on the Amendments brought to Law 244/2021; Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023 Overview & Objectives Goal Establish a transparent, competitive, and accountable procurement system aligned with international standards. Strategic Importance Public procurement is a foundational anti-corruption and fiscal reform, highlighted in CEDRE, IMF SLA (2022), and the 3RF recovery framework. Key Reform Priorities 1. Finalize secondary legislation (internal, financial, staffing decrees for PPA & CA). 2. Operationalize PPA and establish Complaints Authority. 3. Publish Standard Procurement Documents and guidelines. 4. Launch full national e-procurement system. 5. Institutionalize certified procurement cadres across public entities. Reform Actions & Status Specific Reform Actions & Accountability Reform Action Required Current Status Lead Authority Implementing Body Oversight / Supporting Actors Primary Source Establish Public Procurement Authority (PPA) President appointed; 4 board members still pending. PPA operating with only 8 staff (5 auditors) despite legal mandate of 83. Internal and financial regulations remained unapproved for 2.5 years, limiting institutional activation. PPA president confirmed that progress is constrained by HR shortages and delayed appointments. Council of Ministers Ministry of Finance / IoF Parliament, Donor Coordination Group Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023; Ministerial Statement, 25 Feb 2025; Nidaa Al Watan, 26 Feb 2025; NNA, 12 June 2025 Create Complaints Authority (CA) Not yet established. Legal and institutional framework pending; board formation stalled. Lack of CA undermines grievance mechanisms and erodes public trust. Council of Ministers To be determined PPA, Ministry of Finance Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023; Ministerial Statement, 25 Feb 2025 Launch e-Procurement Platform Technical architecture in place. A revamped PPA website launched in June 2025 as the first building block of the national e-platform. However, full e-tendering and centralized supplier registration systems remain pending. Development continues with support from EU and Expertise France. PPA PPA WB, IoF, EU/OECD SIGMA Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023; Ministerial Statement, 25 Feb 2025; Nidaa Al Watan, 26 Feb 2025; NNA, 12 June 2025 Adopt Decrees on PPA Internal & Financial Regulations Adopted in Dec 2024 after 2.5 years of delay. Decrees had been submitted by PPA in July 2022 and remained pending in CoM. Council of Ministers PPA Inter-ministerial Committee Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023; Nidaa Al Watan, 26 Feb 2025 Appoint trained procurement officers in all entities Institutional framework developed but skills and staffing gaps persist across ministries, municipalities, and SOEs. Law-mandated procurement cadre remains incomplete. Ministry of Finance / PPA Procuring Entities IoF, UNDP, WB Status of Implementation of Lebanon’s Public Procurement Law 244-2021 and Assessment of Skills’ Gaps and Training Needs : Summary Report Set up Technical Support Unit at PPA and CA Not yet operational. No dedicated staff assigned to technical support or capacity-building. Requires budget line and formal hiring. Ministry of Finance PPA / CA Donors Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023; Nidaa Al Watan, 26 Feb 2025 Reform Roadmap Timeline & Critical Path Recent Milestone Recent Milestone Date What Happened Status on Critical Path Source EDL HQ Rehabilitation Tender Suspended July 27, 2025 Court of Audit suspended tender 30 minutes before opening financial bids due to appeals by excluded companies; PPA and DPA reviewing legality and transparency Shows active application of Law 244/2021 oversight; delays infrastructure recovery Al-Modon, 2 August 2025 PPA presents progress to EU June 12, 2025 PPA shared reform updates with EU delegation; highlighted launch of new website and upcoming annual report Signals forward momentum in implementation NNA, 12 June 2025 Decrees for PPA and CA finalized Dec 2024 CoM approved PPA internal and financial regulation decrees after 2.5 years of delay since July 2022 Achieved Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023; Ministerial Statement, 25 Feb 2025 Law 244/2021 enters into force July 2022 Public Procurement Law became legally binding Achieved Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023 Law 309/2023 (Amendments to Public Procurement Law) April 2023 Controversial amendments affecting procurement committees and eligibility; referred for constitutional review Achieved Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023   Next Steps – Transparency and Accountability Calendar Action Responsible Entity Target Date Source Resolve EDL HQ tender suspension & relaunch transparent process EDL / Court of Audit / PPA / DPA Aug 2025 (est.) Al-Modon, 2 August 2025 Issue first PPA annual report identifying procurement implementation gaps and reform needs PPA - NNA, 12 June 2025 Appoint 4 remaining PPA Board Members Council of Ministers - Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023; Ministerial Statement, 25 Feb 2025 Recruit full PPA staffing (83 positions) to replace stopgap staffing of 8 employees (incl. 5 auditors) Civil Service Board / Council of Ministers - Nidaa Al Watan, 26 Feb 2025 Establish Complaints Authority (CA) CSB / CoM - Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023 Finalize national e-procurement platform OMSAR / MoF / PPA - Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023; Nidaa Al Watan, 26 Feb 2025 Launch procurement profession competency IoF / CSB / PMO - Status of Implementation of Lebanon’s Public Procurement Law 244-2021 and Assessment of Skills’ Gaps and Training Needs : Summary Report; Ministerial Statement, 25 Feb 2025 Clarify and codify emergency procurement rules to prevent abuse of Article 46 exceptions and ensure ex post accountability. This includes formalizing thresholds, publishing post-crisis contracts, and defining “urgent need” criteria in alignment with Memo No. 8/2024. Parliament / MoF / PPA - Nidaa Al Watan, 22 Nov 2024; Memo 8/2024; Hura7.com, 28 Dec 2024 Enforce post-war audit of exceptional procurements conducted under Article 46(2) (emergency clause) to assess legality, necessity, and abuse Public Procurement Authority (PPA) / Court of Accounts / Central Inspection Upon cessation of hostilities Nidaa Al Watan, 22 Nov 2024 Issue remaining implementing decrees of the Public Procurement Law following political consultations between Speaker of Parliament and PPA President Parliament (Speaker’s Office) / Council of Ministers / PPA - LBCI News; March 2025 (Meeting between Speaker Berri and PPA President Jean Alia)   Implementation Bottlenecks & Required Actions Bottleneck Official Explanation Required Immediate Action Source Political interference in appointments Delayed formation of collegial PPA and CA weakens reform impact CoM to prioritize appointments via transparent, merit-based process Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023 Budget shortfalls Inadequate allocations in 2023 budget for PPA and CA operations Ensure 2025 budget includes full funding for both bodies Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023 Technical capacity gaps Procurement officers lack adequate training and clarity on roles Launch national training and qualification scheme Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023   Stakeholders & Roles Entity Core Function Primary Contact Point Public Procurement Authority (PPA) Regulatory oversight of public procurement; develops standard templates and guidelines; manages capacity building and monitoring; provides guidance to procuring entities. President of the PPA (currently Judge Jean Alia) Complaints Authority (planned) Independent body for reviewing procurement complaints and appeals; ensures legal redress and fairness; not yet operational. To be appointed by Council of Ministers (under Article 78 of Law 244) Institute of Finance Basil Fuleihan (IoF) Technical coordination of procurement reform; leads training programs, MAPS assessments, and capacity gap studies; advisor to Ministry of Finance. Director of IoF – Ministry of Finance Council of Ministers (CoM) Political and administrative authority for adopting decrees (e.g., on PPA, CA, financial rules); responsible for key appointments and funding allocations. General Secretariat of the Council of Ministers Office of the Minister of State for Administrative Reform (OMSAR) Technical lead for e-procurement system development (together with PPA); manages IT infrastructure and inter-operability aspects. Director General of OMSAR Ministry of Finance (MoF) Parent ministry for procurement reform policy; responsible for budgeting PPA and CA; coordinates donor support and public financial management (PFM) integration. Director General of Finance Civil Service Board (CSB) Oversees recruitment of procurement officers and validation of organizational structures; participates in approving procurement cadre framework. President of the Civil Service Board Donor Coordination Platform (EU, WB, UNDP, AFD, etc.) Provides financial and technical assistance; monitors implementation progress and alignment with international standards. Chaired by EU Delegation to Lebanon (rotating lead among partners) Procuring Entities (Ministries, Municipalities, SOEs) Responsible for planning, executing, and reporting on procurement activities in compliance with Law 244/2021. Procurement Focal Points / Directorate of Administrative Affairs Court of Accounts / Central Inspection Audits public spending including procurement; monitors compliance and flags violations. President of Court of Accounts / Head of Central Inspection   Legal & Policy Framework Instrument Status Key Provisions Implementation Note Law 244/2021 (Public Procurement Law) In force since July 2022 Applies to all public entities; e-platform; PPA & CA establishment Core reform pillar aligned with UNCITRAL and OECD guidelines Decree on PPA internal regulation Adopted (Dec 2024) Governance, structure, HR and internal processes Approved by Council of Ministers Decree on PPA financial regulation Adopted (Dec 2024) Budget and financial procedures Still pending full implementation with MoF coordination Amendments (Law 309/2023) Controversial Changes to bidder eligibility and committee appointment standards Constitutional appeal submitted; viewed as undermining original reform   Official Sources and Reference Materials   Instrument Source Ministerial Statement (25 Feb 2025) Ministerial Statement, 25 Feb 2025 Public Procurement Reform Strategy 2022–2024 Public Procurement Reform Strategy 2022–2024 Paving the way for Sustainable Public Procurement in Lebanon Paving the way for Sustainable Public Procurement in Lebanon Technical Note on Amendments to Law 244/2021 Technical Note on the Amendments brought to Law 244/2021 Progress Report – Jan 2024 Public Procurement Reform In Lebanon Progress Note – For The Period May – December 2023 World Bank Summary Report on PPL Implementation – Dec 2024 Status of Implementation of Lebanon’s Public Procurement Law 244-2021 and Assessment of Skills’ Gaps and Training Needs : Summary Report     List of Acronyms – Public Procurement Reform Tracker Acronym Full Name PPA Public Procurement Authority CA Complaints Authority MoF Ministry of Finance IoF Institute of Finance Basil Fuleihan CoM Council of Ministers OMSAR Office of the Minister of State for Administrative Reform CSB Civil Service Board SOEs State-Owned Enterprises WB World Bank EU European Union OECD Organisation for Economic Co-operation and Development SIGMA Support for Improvement in Governance and Management (joint EU–OECD initiative) UNDP United Nations Development Programme AFD Agence Française de Développement PMO Prime Minister’s Office MAPS Methodology for Assessing Procurement Systems UNCITRAL United Nations Commission on International Trade Law   [1] All reform data presented here is based on official Lebanese government sources, such as laws, decrees, strategies, and verified public data. Where possible, each update is linked to a document, gazette entry, or institutional publication. read more

 Reform Area: Gender Equality and Women's Empowerment Last Updated: August 2025Citizen Impact Summary Dimension Snapshot Source Who Is Affected? All women and girls, including persons with disabilities, elderly women, refugees, migrant & undocumented women, prisoners and SOGIESC communities. Lebanon’s legal framework maintains structural discrimination in nationality, inheritance, family law, and pensions, particularly under Article 9 of the Constitution. National Strategy for Women in Lebanon 2022-2030 – National Action Plan 2024‑2026; GJS Country Brief – Lebanon (2024) Financial Burden? Execution of reforms relies heavily on donor financing because of Lebanon’s fiscal collapse and limited public‑sector operating budgets. National Strategy for Women in Lebanon 2022-2030 – National Action Plan 2024‑2026 Public Services? Gender-responsive services in protection, health, and employment remain fragmented and underfunded, especially for refugees, migrants, and SOGIESC populations. National Strategy for Women in Lebanon 2022-2030 – National Action Plan 2024‑2026; GJS Country Brief – Lebanon (2024) Mental‑Health Toll? Persistent GBV, economic hardship and discrimination heighten psychological distress—especially for women, migrant workers and SOGOESC persons. GJS Country Brief – Lebanon (2024) Overview & Objectives Goal Achieve de‑jure and de‑facto gender equality through: 1) repeal of discriminatory statutes & reservations; 2) institutionalization of gender‑responsive governance; 3) economic & social protection for every woman and girl; 4) parity in decision‑making; 5) rights‑based cultural change. Strategic Importance The 2025 ministerial statement pledges a rights‑and‑equality lens, positioning gender justice as a prerequisite for national recovery and inclusive growth. Key Reform Priorities 1. End gender‑based violence & implement Laws 293/2014, 204‑205/2020. 2. Expand social‑protection, labour and care‑economy measures for women. 3. Political participation: enact municipal Gender‑Quota Bill (30 – 50 % seats). 4. Remove legal discrimination (Penal Code, Personal‑status, Nationality). 5. Abolish/replace kafala; extend labour‑law coverage to migrant & domestic workers. 6. Mainstream gender & SOGIESC data in all public budgets & statistics. 7. Institutionalize women’s participation in decision-making beyond numeric representation by integrating gender equity across ministerial portfolios and appointments. 8. Reform political party nomination rules to mandate equitable inclusion of women and penalize exclusionary practices. Reform Actions & StatusSpecific Reform Actions & Accountability Reform Action Required Current Status (May 2025) Lead Authority Implementing Body Oversight / Supporting Actors Primary Source Gender‑Quota Bill for municipal councils (30 – 50 %) Ten MPs signed; in relevant parliamentary committees Parliament Parliamentary Committees UNDP, UN Women, Fifty‑Fifty, Gov. of Canada UNDP/UN Women round‑table 19 Feb 2025 Comprehensive review & amendment of discriminatory laws (Penal Code, Personal‑status, Nationality) Pledged in Ministerial Statement; review to start Q3 2025 Ministry of Justice (MoJ) MoJ/NCLW legal team Parliament Women’s Caucus, CSOs Ministerial Statement, 25 Feb 2025 Legislative reform of Penal Code Art. 534 (criminalising same-sex relations) Conflicting bills introduced: repeal (July 2023); re-criminalisation and expansion (Aug 2023) MoJ Parliament NCLW, LGBTQI+ coalitions, Proud Lebanon GJS Country Brief – Lebanon (2024) Reform kafala & include migrant domestic workers under Labour Law Stalled Ministry of Labour (MoL) Labour Inspectorate ILO, Migrant‑sending Govts., NGOs GJS Country Brief – Lebanon (2024) Enforce Law 205/2020 on sexual harassment (workplace compliance) Partial – criminal penalties exist; employer obligations absent MoJ & MoL Employers, ISF Women’s‑rights NGOs Law 205/2020 Ensure gender equality in National Social Security Fund (NSSF) family allowance and health benefit entitlements Administrative guidance referenced; enforcement lagging; Existing law favors male breadwinners; reform proposals under study NSSF NSSF, MoSA Gender Units in ministries, NCLW, ILO UN WOMEN, Social Protection in Lebanon, From a Gender Perspective Introduce paid paternity and increase maternity leave Maternity leave below ILO standards; no paternity leave MoL Parliament CSOs, UN Women Labor Law, Articles 28-29, World Bank Lebanon 2024 Integrate gender equity into ministerial appointments and public board nominations No binding criteria; elite networks and confessional loyalties prevail PCM OMSAR NCLW, UN Women, CSOs Independent Arabia, 16 Feb 2025 Reform Roadmap Timeline & Critical PathRecent Milestone Milestone Date What Happened Status on Critical Path Source National Action Plan (NAP) 2024‑2026 adopted Jan 2024 15 impact areas agreed by 21 ministries & stakeholders Baseline National Strategy for Women in Lebanon 2022-2030 – National Action Plan 2024‑2026 Repeal of Penal Code Art. 522 (rapist‑marriage) Aug 2017 Article allowing rapists to escape punishment by marrying their victims abolished Completed UN WOMEN Sexual‑Harassment Law 205 enacted Dec 2020 One of first in MENA Enforcement ongoing Law 205/2020 Gender‑Quota round‑table catalyses bill Feb 2025 Stakeholders demand expedited vote Building momentum UNDP/UN Women round‑table 19 Feb 2025 Five women appointed as ministers in new government Jan 2025 Highest female representation (21%) in any Lebanese cabinet; marks numeric gain but structural gaps in gendered policymaking persist Symbolic step; lacks policy traction Independent Arabia, 16 Feb 2025  Next Steps – Transparency and Accountability Calendar (Expected Q2–Q3 2025) Action Responsible Entity Target Date Source Complete legal scan of all gender discriminatory provisions MoJ / NCLW - Ministerial Statement, 25 Feb 2025 Committee reports & amendments on Quota Bill → plenary vote Parliamentary Committees - UNDP/UN Women round‑table 19 Feb 2025 Introduce civil pension scheme for private-sector workers Ministry of Labour / NSSF - UN WOMEN, Social Protection in Lebanon, From a Gender Perspective Submit amendment to NSSF survivor and family allowance scheme MoL / NSSF - UN WOMEN, Social Protection in Lebanon, From a Gender Perspective  Implementation Bottlenecks & Required Actions Bottleneck Official Explanation Immediate Action Fiscal constraints limit execution of NAP actions Collapsed revenues, donor dependence Embed gender lines in 2025‑26 budgets; mobilise 3RF, IMF & Canada/UN pooled funds Personal‑status laws under 15 religious courts Art. 9 of Constitution protects sectarian jurisdiction Form national commission to draft optional civil code; negotiate with religious authorities Law 205 lacks employer‑level enforcement tools Penal focus without compliance duties Amend law to mandate internal policies, reporting & labour‑inspection powers Migrant workers outside labour‑law coverage Kafala supersedes Labour Law Cabinet‑level decree to extend labour protections; ratify ILO C189 Gender bias in NSSF family benefits Survivor pensions and health benefits are not equally granted to male and female contributors Amend NSSF Law and align with gender parity principles Gaps in maternity/paternity leave protections Current law mandates 10 weeks’ maternity leave, no paternity leave Update Labour Code to align with ILO Convention 183 Ministerial and board appointments lack gender parity standards Confessional and partisan interests override merit-based gender inclusion   Adopt a gender-responsive appointments policy; track female appointments across all levels  Stakeholders & Roles Entity Core Function Contact NCLW Strategy coordination, monitoring Office of NCLW President Ministry of Justice Draft & steer legal reforms Minister’s Legal Desk Ministry of Labour Labour‑law revision, kafala reform Director‑General Parliamentary Women & Children Committee Scrutinise gender bills Committee Secretariat Fifty‑Fifty / civil‑society coalition Quota advocacy & public campaigns NGO Coordination Unit UN Women / UNDP / ILO Technical & financial support Beirut Country Offices  Legal & Policy Framework Instrument Status Key Provisions Implementation Note National Strategy for Women 2022‑2030 Active Five strategic objectives Guides all sectoral plans National Strategy for Women NAP 2024‑2026 In progress 15 impact targets incl. VAW, health, leadership Needs sustained funding Draft laws on Art. 534 (2023) Conflicting bills pending One bill to repeal Article 534 (decriminalise); two bills to expand penalties for promotion/facilitation Reform progress at risk due to political and religious backlash Ministerial Statement (25 Feb 2025) In force Commits to eliminate discrimination & secure parity Sets whole‑of‑government mandate Gender‑Quota Bill (Municipal) In committee (2025) 30 % (9‑&‑12‑member councils) / 50 % (15+ seats) Expected overall 40 % female share Law 205/2020 (Sexual ‑ Harassment) In force Criminalises harassment; lacks employer compliance Enforcement guidelines pending Labour Code Art. 28 & 29 In force 10-week maternity leave, no paternity leave Below ILO minimum; employer liability discourages hiring NSSF Law (Family/Survivor benefits) In force Unequal entitlements for women contributors Reform needed to ensure gender-neutral benefits Social‑Security Amendment 2023 In force Equal health & family benefits for men & women CNSS enforcement lagging CEDAW Ratified 1997 (reservations) Periodic reporting; Feb 2026 7th report due Advocacy for reservation withdrawal  Official Sources and Reference Materials Instrument Source Ministerial Statement (25 Feb 2025) MMinisterial Statement, 25 Feb 2025 National Strategy for Women in Lebanon 2022-2030 – National Action Plan 2024‑2026 National Strategy for Women in Lebanon 2022-2030 – National Action Plan 2024‑2026 GJS Country Brief – Lebanon (2024) GJS Country Brief – Lebanon (2024) 3RF Recovery Framework for Beirut and Lebanon (2023–2024) 3RF Recovery Framework for Beirut and Lebanon (2023–2024)   List of Acronyms – Gender Reform Tracker Acronym Full Form CEDAW Convention on the Elimination of All Forms of Discrimination Against Women CSO Civil Society Organization GBV Gender-Based Violence GJS Gender Justice Strategy ILO International Labour Organization ISF Internal Security Forces LGBTQI+ Lesbian, Gay, Bisexual, Transgender, Queer/Questioning, Intersex and others MoJ Ministry of Justice MoL Ministry of Labour MoSA Ministry of Social Affairs MPs Members of Parliament NAP National Action Plan NCLW National Commission for Lebanese Women NSSF National Social Security Fund SOGIESC Sexual Orientation, Gender Identity and Expression, and Sex Characteristics UNDP United Nations Development Programme UN United Nations UN Women United Nations Entity for Gender Equality and the Empowerment of Women VAW Violence Against Women 3RF Reform, Recovery and Reconstruction Framework   read more

Banking Sector Reform Tracker[1] Reform Area: Banking Sector Restructuring & Transparency Last Updated: August 2025 Citizen Impact Summary Dimension Snapshot Source Who Is Affected? Every depositor and account holder in Lebanon; real GDP has already contracted 37 % between 2018‑2022, wiping‑out 15 years of growth and pushing large parts of the middle‑class into poverty. Haircuts on FX deposits estimated at 60–80%, with 2.5 million accounts under $200K losing ~$15B. World Bank Lebanon Economic Monitor, Spring 2023; World Bank Lebanon - Systematic country diagnostic, Summer 2024 Financial Burden? Headline inflation averaged 171 % in 2022 (150 % in 2021; 218 % in H1‑2022) and forced‑deposit “lirafication” is imposing 60‑80 % hair‑cuts on savers. Banking sector is effectively insolvent, with estimated losses over US$70 billion. 75% of assets are with BdL and 3% with government securities; 70% of loans are non-performing. Cash now constitutes 46% of GDP. This shift undermines anti-money laundering frameworks and deepens informality. World Bank Lebanon Economic Monitor, Spring 2023; World Bank Lebanon - Systematic country diagnostic, Summer 2024 Public Services? A 7‑fold drop in real primary spending since 2018 has led to an “acute collapse of public‑service delivery”, including electricity, water, education and health. World Bank Lebanon Economic Monitor, Spring 2023 MentalHealth Toll? Living‑standards keep eroding, poverty is spiralling and a “precarious environment” prevails, fuelling anxiety, emigration and social fragmentation. World Bank Lebanon - Systematic country diagnostic, Summer 2024 Overview & Objectives Goal Restore solvency, liquidity, and trust in the banking sector. Rebuild financial intermediation. Strategic Importance Rebuilding financial intermediation capacity is critical to economic recovery. Without restructuring, credit will continue contracting, informal cash use will grow, and anti-money laundering risks will deepen. Key Reform Priorities 1️. Adopt a comprehensive bank restructuring strategy to recognize and allocate losses transparently and equitably. 2️. Conduct externally assisted bank-by-bank evaluations to identify losses and inform resolution paths (mergers, acquisitions, liquidation). 3. Recapitalize viable banks based on independent AQRs and rigorous valuation methods; Exit non-viable banks. 4. Rehabilitate the financial safety net including prudential regulation, resolution, lender-of-last-resort, and deposit insurance. 5. Reform Banque du Liban and the BCC to regain monetary authority and improve supervision. 6. Introduce formal capital controls and a unified exchange rate. 7. Operationalize data-sharing between SIC and PPA in line with Law No. 1/2025. 8. Publish a transparent loss-allocation and recapitalization strategy, including asset recovery. 9. Implement reforms to avoid FATF grey-listing in the 2026 review. 10. Amend the bank secrecy law to meet international transparency standards. Reform Actions & StatusSpecific Reform Actions & Accountability Reform Action Required Current Status Lead Authority Implementing Body Oversight / Supporting Actors Primary Source Bank Restructuring Law Adopted July 31, 2025. Execution suspended until Financial Gap/Deposit Recovery Law passes. Establishes 2‑chamber Higher Banking Authority; depositors gain special status in liquidation committees. Parliament / CoM MoF, BdL, BCC IMF, WB, EU Parliament session 31 Jul 2025; LBCI; Asharq Al‑Awsat 31 Jul 2025 Bank-by-bank assessments - AQRs (Asset Quality Reviews) Pending; ToR not signed; IMF recommends using SDRs to fund international auditors. CoM, BdL BdL, BCC IMF, WB World Bank Lebanon - Systematic country diagnostic, Summer 2024; CoM, 8 Apr 2025; IMF Comments on Bank Resolution Draft, May–June 2025 Recapitalization of Viable Banks Stalled. Based on independent Asset Quality Reviews (AQRs) and rigorous valuation methods. Non-viable banks to exit. Awaiting results of AQRs and clarity on loss-allocation. No recapitalization mechanisms implemented yet. BdL, MoF Banks IMF, WB AlJoumhouria, May 2025; IMF Comments on Bank Resolution Draft, May–June 2025 Resolution of Non-Viable Banks Enabled by new law but frozen until Financial Gap Law; process to include depositor participation and loss hierarchy enforcement. CoM, Parliament BdL, MoF IMF World Bank Lebanon - Systematic country diagnostic, Summer 2024; LBCI 28 Jul 2025 Amend Bank Secrecy Law (to meet FATF/IMF criteria) Partial reform enacted, further amendments pending. Law No. 1/2025 grants Special Investigation Commission (SIC) full access, but implementation lags due to lack of a BdL circular regulating procedures. Still allows discretionary opacity; obstructs SIC and AQR data access. The practical ability of institutions to act without political interference; The lack of automatic enforcement without further decrees; Concerns about appeal mechanisms that may delay or dilute effectiveness. Parliament MoF, BdL FATF, IMF, EU World Bank Lebanon - Systematic country diagnostic, Summer 2024 Formal Capital Controls & Unified Exchange Rate Not in place; informal restrictions continue. Draft in Parliament; not IMF-compliant. The draft includes retroactive clauses and suspends judicial rulings, breaching IMF Art. VIII compliance. Formal capital controls to defend reserves. Unified, market-driven exchange rate. Parliament BdL, MoF IMF, ABL Al-Modon, 8 May 2025; Asharq Al-Awsat, 30 Dec 2023 Loss Recognition & Allocation Plan Stalled; no agreement between key actors, and due to unresolved debate between MoF and PMO over burden-sharing between state and depositors. Recognize and allocate financial losses transparently and equitably. MoF / BdL BdL IMF World Bank Lebanon - Systematic country diagnostic, Summer 2024; Judicial Accountability for Financial Crimes Limited enforcement; political obstruction persists. BDL announced internal anti-corruption purge in April–May 2025. Cooperating with European law firms to pursue embezzlement and illicit enrichment cases involving former and current officials. Judiciary MoJ, Courts EU, WB, CSOs World Bank Lebanon - Systematic country diagnostic, Summer 2024; L'Orient Today, 22 May 2025 Rehabilitation of Financial Safety Net Reform prudential regulation, resolution, lender-of-last-resort, and deposit insurance. Weak regulation, no functioning deposit insurance mechanism. BdL BdL, BCC IMF, WB World Bank Lebanon - Systematic country diagnostic, Summer 2024 Reform of Banque du Liban (BdL) and Banking Control Commission (BCC) BdL to regain monetary authority and safety net functions. Stronger banking supervision and licensing. Parliament BdL, BCC IMF World Bank Lebanon - Systematic country diagnostic, Summer 2024 Reform Roadmap Timeline & Critical PathRecent Milestone Recent Milestone Date What Happened Status on Critical Path Source Banking Reform Law Adopted 31 Jul 2025 Parliament passed law on bank restructuring and depositor prioritization. Completed – execution pending LBCI; Asharq Al‑Awsat 31 Jul 2025 Committee Approval (Finance & Budget) 28 Jul 2025 Finance Committee approved final amended draft after 6‑hour session; linked law to deposit recovery bill. Completed Parliament minutes IMF Comments on Draft Bank Resolution Law 12 May 2025 IMF issued detailed technical comments on the draft law, citing concerns over depositor protections, weak resolution safeguards, and legal ambiguity. Feedback under review by Parliament IMF Comments on Bank Resolution Draft, May–June 2025 Subcommittee begins hearings on competing restructuring law draft 6 Jun 2025 Finance & Budget Subcommittee opened discussions on competing ideas: one favors an independent authority; the other, BDL control over restructuring. Ongoing debate – risks delay LP June 2025 Bank Secrecy Final Amendment (Law 1/2025) 24 Apr 2025 Adopted by Parliament on 24 April 2025 and published in the Official Gazette on 25 April 2025. Expands authority to lift secrecy for oversight, auditing, and restructuring purposes. BdL, BCC, and the National Deposit Guarantee Institute can now request full access to banking records for restructuring and auditing without needing to specify individual accounts. Requests may be challenged before an urgent matters judge. Requires a decree from the Council of Ministers upon recommendation by the finance minister, following BdL input. Completed – prerequisite for IMF PriorAction #2 Official Gazette No. 17, 25 Apr 2025 CoM Approval of Bank Reform Draft 12 Apr 2025 Full law finalized by CoM; to be transmitted to Parliament. Urgent – referenced as “over‑due” CoM Minutes IMF Art. IV – Staff concluding statement 23 Mar 2025 Re‑affirms need for restructuring & capital controls Urgent – referenced as “over‑due” IMF press‑release 23‑3‑2025 PPA internal & financial regulations adopted 18 Dec 2024 Enables transparent disposal of bank assets/contracts Completed Decree No. 27 dated 28 January 2025 – Financial Regulations of the Public Procurement Authority; Decree No. 28 dated 28 January 2025 – Internal Regulations of the Public Procurement Authority  Next Steps – Transparency and Accountability Calendar Action Responsible Entity Target Date Source Submit Financial Gap & Deposit Recovery Law MoF / PMO Q3 2025 Parliamentary Finance Committee, Jul 2025 Constitute Higher Banking Authority (2‑chamber) BdL / MoF / Judiciary Q3 2025 LBCI News, 2 Aug 2025; Asharq Al‑Awsat, 31 July 2025 Sign decree approving AQR ToR; start fieldwork BdL Governor & Finance Minister N/A N/A First SIC public report on bank data disclosure requests SIC N/A N/A MoF publishes loss allocation simulation (baseline) MoF N/A N/A Parliament Finance/Justice joint session on Capital Control law Speaker of Parliament N/A N/A   Implementation Bottlenecks & Required Actions Bottleneck Official Explanation Required Immediate Action Source IMF identifies flaws in final restructuring law Draft law deviates from international standards, including weak depositor protections and unclear RA independence Revise law based on IMF’s 9-point critique IMF Comments on Bank Resolution Draft, May–June 2025 Competing Proposals for Restructuring Authority CoM draft removes ABL and empowers new body; BdL draft centralizes authority in BDL Parliament must reconcile competing ideas; CSOs should demand independent oversight Now Lebanon, May 2025 Financial Gap Law not submitted MoF hesitant to define loss-sharing terms Urgently draft and submit law to define loss distribution MTV June 2025 Cabinet deadlock over loss sharing formula MoF & PMO disagree on treating large depositors vs. state asset fund. Convene tripartite MoF PMO IMF mediation workshop. - AQR budget unfunded BdL cites FX shortage; MoF hesitant to authorize use of SDRs. Sign ToRs and approve use of IMF SDR allocations for international AQR auditors. - Capital Control law constitutional concerns Some MPs oppose retro‑active clauses. Amend draft to include sunset clause + judicial review article. - Legal Fragmentation Conflicting laws (e.g., capital control vs. judicial rulings) risk legal chaos. Amend legal text to include judicial oversight and sunset clauses. - Elite Resistance Powerful stakeholders resist equitable loss distribution highlight regressive effects of delay. -   Stakeholders & Roles Entity Core Function Contact Council of Ministers Reform adoption & law submission Presidency of CoM Banque du Liban (BdL) Bank supervision, macro-oversight BdL Governor’s Office Banking Control Commission Regulatory oversight & assessment implementation BCC Parliament Legislative approval of laws Finance & Admin Committee IMF / World Bank Technical assistance and monitoring IMF Resident Office Association of Banks (ABL) Sector representation & negotiation ABL CSOs / Depositor Groups Advocacy, accountability Legal Agenda, Depositors Union   Legal & Policy Framework Instrument Status Key Provisions Implementation Note Bank Secrecy Law (1956) as amended by 306/2022 & 1/2025 In force Full look through for SIC, tax & judicial bodies; no BdL veto. BdL circular on procedures pending. Monetary & Credit Law – Art 150 (amended 2022 & 2025) In force BdL must report FX reserve position quarterly to Parliament’s Budget Committee. - Draft Bank Restructuring Law Cabinet draft (May 2025) Loss hierarchy; bridge bank tool; depositor bail in limits. Needs Cabinet approval then FastTrack to Parliament. Capital Control Bill (9014/2023 & MP draft) Committee stage Temporary FX controls; withdrawal ceilings; dispute resolution panel. Must align with IMF Art VIII by‑laws.   Official Sources and Reference Materials   Document Where to access Statement of Ministerial Policy (Feb 2025) Statement of Ministerial Policy (Feb 2025) World Bank Lebanon - Systematic Country Diagnostic, Summer 2024 World Bank Lebanon - Systematic country diagnostic, Summer 2024 World Bank Lebanon Economic Monitor, Fall 2022 World Bank Lebanon Economic Monitor, Fall 2022 IMF 2023 Staff Concluding Statement IMF 2023 Staff Concluding Statement Law No. 1/2025 (BankSecrecy amendment) - IMF Staff Concludes Visit to Lebanon IMF Staff Concludes Visit to Lebanon List of Acronyms – Banking Sector Reform Tracker Acronym Full Name ABL Association of Banks in Lebanon AQR Asset Quality Review BdL Banque du Liban (Central Bank of Lebanon) BCC Banking Control Commission CoM Council of Ministers CSOs Civil Society Organizations EU European Union FX Foreign Exchange IMF International Monetary Fund MoF Ministry of Finance MP Member of Parliament PPA Public Procurement Authority PMO Prime Minister’s Office SDR Special Drawing Rights (IMF reserve asset) SIC Special Investigation Commission (Anti-Money Laundering Unit) ToR Terms of Reference WB World Bank   [1] All reform data presented here is based on official Lebanese government sources, such as laws, decrees, strategies, and verified public data. Where possible, each update is linked to a document, gazette entry, or institutional publication. read more