São Paulo – Lebanon’s administration passed this Monday (21) an unprecedented set of economic reforms, as well as its 2020 budget, Daily Star reported. reported. The budget provides for a deficit of 0.6% of Gross Domestic Product (GDP). The announcement came after five days of demonstrations across the country (pictured) prompted by a deteriorating economy. The International Monetary Fund (IMF), however, expects Lebanon to see a fiscal deficit of 9.8% of GDP this year and 11.5% in the next.
As for reforms, Saudi Arabia’s Arab News reports that prime minister Saad Hariri mentioned a 50% salary cut for former and current ministers and deputies, plus a 70% cut in the Council for Development and Reconstruction’s budget.
Dubai’s Arabian Business quoted Saad Hariri as saying after a cabinet meeting that the measures aren’t just an attempt to curb the demonstrations. “These decisions are not designed as a trade-off. They are not to ask you to stop expressing your anger. That is your decision to make,” he said.
The protests, which were initially about a tax hike, have evolved into calls for the ousting of Lebanon’s entire political leadership. Hariri was also quoted by Arabian Business as saying he also supported the demonstrators’ call for early elections.
Translated by Gabriel Pomerancblum