The United States is influencing the appointment of Lebanon’s next central bank governor to reduce Hezbollah’s influence and enhance banking integrity. Following recent elections, Lebanon’s new cabinet is under pressure to implement economic reforms amid ongoing financial turmoil. Candidates are being vetted for their qualifications and approaches to tackling corruption and terrorist financing, as Lebanon seeks to regain financial stability and re-engage with international partners.
The United States is actively involved in the selection of Lebanon’s next central bank governor, aiming to diminish Hezbollah’s influence and combat corruption within the banking sector. Following the election of US-supported Joseph Aoun as president, the new cabinet, which excludes direct Hezbollah representation, is tasked with addressing Lebanon’s ongoing financial crisis via reform and governance changes.
Sources indicate that the US is vetting candidates for the role of central bank governor and has held discussions with selected individuals about their strategies to counter “terrorist financing” and their readiness to confront Hezbollah. The discussions, described as routine diplomatic efforts, signify Washington’s commitment to shaping Lebanon’s monetary policy amidst the severe economic downturn that has persisted for over five years.
Candidates considered include former minister Camille Abousleiman, Firas Abi-Nassif—head of an investment firm, and Philippe Jabre and Karim Souaid, both of whom manage asset firms. The new governor will be pivotal in implementing economic reforms pledged by Joseph Aoun and Prime Minister Nawaf Salam to help Lebanon recover from its financial meltdown, which began in 2019 due to widespread corruption and government mismanagement.
With intentions to restart negotiations with the International Monetary Fund, the new government recognizes the necessity of reforms to secure international financial support. U.S. officials are also conferring with Saudi Arabia regarding the central bank governor candidates, reinforcing the urgent need for competent leadership to address the legacy of the previous regime. The new governor will succeed interim chief Wassim Mansouri, who took over after Riad Salameh stepped down amid accusations of corruption.
Salameh’s tenure, initially celebrated for financial success, ended in scandal as he faced sanctions for corrupt practices. Lebanon’s financial system also remains under scrutiny for non-compliance in addressing terrorism financing and money laundering, highlighted by its placement on a financial watchdog’s “grey list.”
In conclusion, the United States is playing a critical role in the selection of Lebanon’s next central bank governor, aiming to reduce Hezbollah’s power and combat systemic corruption. This initiative follows the establishment of a new government under Joseph Aoun, which seeks to implement essential economic reforms. The stability of Lebanon’s financial future hinges on appointing capable leadership that aligns with international standards for combating financial misconduct and supporting necessary reforms.
Original Source: www.hindustantimes.com
