Weekly MENA Newsletter will be delivered to your email in PDF format every Friday (52 Issues per Year).
Lebanon’s Ministry of Finance is to return to the bond market this month with a new issue of $1.3bn, following government approval at the end of August. This follows an IMF warning the previous month that “with public debt already exceeding 130% of GDP and gross financing needs around 25% of GDP in 2015, Lebanon faces significant risks to public debt sustainability.”
Lebanon’s gross public debt hit $69bn at end-June – a whopping 133% of GDP – up from $66.6bn at end-2014. The IMF predicts the debt will further rise to $72bn by end of this year (see graph).
The IMF’s latest report on Lebanon, released in July, includes a special section on Lebanon’s public debt sustainability. Under the “baseline scenario” Lebanon’s debt and financing needs continue to rise as a share of GDP, reaching 143% and 40% respectively by 2020, the end of the IMF’s forecast period.
DON'T HAVE AN ACCOUNT?
NEED TO UPGRADE YOUR CURRENT SUBSCRIPTION?
By upgrading your Print or Digital subscription you will gain access to the MEES Archives Database with past articles and data dating back from 1984.UPGRADE