The European Union promises more help to Lebanon to form a “credible” government

Yesterday (Saturday), the European Union Commissioner for Crisis Management called for the urgent formation of a “credible” government in Lebanon before launching a second phase of financial support for the country mired in its crises.
Yaniz Linarcic said the European Union has earmarked 64 million euros ($ 79 million) for the emergency response to the devastating explosion in the port of the capital Beirut, which killed more than 190 people and injured thousands on 4 August.
He indicated that the next batch of financing would be for reconstruction, but warned that it must go hand in hand with reforms, because the international community is not ready to support practices “that led to a financial collapse and economic crisis.”
The tragedy struck when hundreds of tons of ammonium nitrate exploded, which were left in a hangar in the port. At a time when the Lebanese people are suffering the worst economic crisis in the country in decades, the explosion even exacerbated popular anger at official negligence and the political class accused of corruption.
The Lebanese government led by Hassan Diab resigned in the wake of the port disaster, but Lebanon refused to conduct an international investigation, saying it would undertake it with the help of foreign experts. “We need a credible government that has the confidence of the Lebanese and is determined to lead the country in the right direction,” Linarzic told AFP after arriving in Lebanon on a humanitarian aid plane.
He added: “The political class in Lebanon has to present what the people demand, and this is also what the international community expects. I am talking about governance and not just economic reforms. There has to be a change in the way this country is run.
The worst economic crisis in Lebanon since the 1975-1990 war led to the devaluation of the local currency against the US dollar, and the poverty rate doubled to include more than half the population. The government blamed the Central Bank governor, Riad Salameh, for the crisis, although he rejected all charges.
Linarcic said that reaching an agreement with the International Monetary Fund should be an early priority for the next government.
On Thursday, the International Monetary Fund expressed its willingness to “redouble efforts” to “help Lebanon and the Lebanese people overcome the social and economic crisis they face” as soon as the government is formed.