LEBANON (Enmaeya News) - November 2, 2025

The Lebanese Cabinet on Thursday approved a revised version of the banking‑restructuring law, aiming to address concerns raised by the International Monetary Fund (IMF) and keep the country’s financial reform negotiations on track.

The original law, passed three months ago, sought to restructure bank liabilities and deposits, as well as state exposure to the banking sector. However, the IMF identified 24 areas requiring revision to align with international norms, threatening to stall Lebanon’s broader economic rescue plan.

According to L'Orient Today, the Finance Minister, in presenting the amendments to the Cabinet, emphasized that the revisions were designed to respond directly to IMF recommendations following discussions in Washington earlier this month.

The adjustments include changes to creditor protections, deposit restructuring mechanisms, and state oversight provisions.

The Cabinet’s approval now sends the draft to Parliament for ratification. Lawmakers are expected to review the text in the coming weeks before it can take effect. IMF officials have indicated that passing the amendments is essential to advance discussions on Lebanon’s potential financial assistance package.

While the move is seen as a necessary step toward reform, uncertainty remains over whether the measures will be sufficient to satisfy the IMF and international investors. Experts warn that even with legislative approval, effective enforcement and structural reforms will be key to rebuilding trust in the country’s banking sector.

Lebanon’s government has repeatedly emphasized that restoring stability to the banking system is a priority, noting that timely reforms are crucial to unlocking international funding and preventing further economic deterioration.