Lebanon’s newly elected parliament must urgently tackle the country’s financial crisis or the cash-strapped country will not get access to help from the European Union and may even face sanctions, MEP Christophe Grudler told The National on Tuesday.
“The most important thing to do now that the elections are over is to focus on the financial system,” said Mr Grudler. “I think that the EU must not be afraid of inflicting sanctions if we give money and it ends up in the pockets of the same people.
“We’re not here to help Lebanese oligarchs.”
Lebanon’s economy crashed in 2019 after years of mismanagement of the country’s finances by its ruling elite. Poverty rates soared from 42 per cent of the population in 2019 to 82 per cent last year, according to the UN.
Sunday’s parliamentary election, including the provision of ballot boxes and ink, was funded in large part by the European Union. At a little more than 40 per cent, turnout was lower than in 2018.
The IMF agreed in April to give Lebanon access to the equivalent of around $3 billion, but only if it implements a series of difficult reforms, including restructuring the financial sector.
Lebanese politicians have promised yet not delivered such reforms since at least 2018, when France hosted an international community to help Lebanon.
"If there's no agreement with the IMF, Lebanon is dead. The number of people emigrating will be massive. (Lebanon) will be an empty shell," said Mr Grudler.
Lebanon is already experiencing its third mass exodus, the American University of Beirut said in September.
Analysts fear the results of the country's latest parliamentary election, which yielded a further polarized parliament, may delay decision-making.
Iran-backed Hezbollah and its allies lost their majority in parliament, while the Lebanese Forces, a Christian group fiercely opposed to Hezbollah, grabbed at least 10 more seats than in 2018.
But Mr Grudler, who was one of seven MEPs who took part in an EU election observation mission to Lebanon, said he was “optimistic” about the chances of lawmakers collaborating to implement reforms.
Mr Grudler, a French national, is a member of the centrist Renew group in the European Parliament and one of the rapporteurs of an EU parliament resolution that urged for sanctions on Lebanese officials in September 2021.
The resolution came three months after the EU adopted a legal framework to sanction Lebanese officials who undermine democracy or the rule of law. It has yet to implement it.
The election of around 13 independent Lebanese opposition figures on Sunday is a good signal to the international community, said Mr Grudler.
“It’s not a coincidence that some of the system’s most emblematic figures lost,” he told The National. “It’s the beginning of change.”
A handful of prominent MPs who had been in parliament since Lebanon’s first post-civil war election in 1992 lost their seats to newcomers. One of the most striking examples of such losses was the defeat of Druze leader Talal Arslane after 30 years in power, in the face of an opposition candidate, university professor Marc Daou.
Speaking about Lebanon’s traditional parties, Mr Grudler said they needed to reform. “We know there will be international investigations into the country’s finances and ill-gotten wealth,” he said.
The EU’s criminal justice agency froze in late March assets worth 120 million euros ($132 million) of Lebanese assets as part of an investigation into central bank governor Riad Salameh.
'Voter choice undermined by vote-buying'
The chief observer of the EU election observation mission to Lebanon, Gyorgy Holvenyi said on Tuesday it was “a great success that the election took place”.
Yet the mission wrote in a preliminary statement issued on the same day that “vote-buying and clientelist practices seriously undermined the voters’ choice”.
The EU’s statement noted that “election day was marked by localised tensions, weak performance of the polling staff, and often intrusive presence of candidate agents”.
Representatives of political parties are allowed in polling stations to observe the election but often outnumbered state representatives who were not often in control of the process, according to the EU.
“I was very struck by how vote buying was quite open. Each party said others did it, but not them,” said Mr Grudler. “Corruption won’t disappear from one day to the next. It will take time.”
Terror attacks in Paris, November 13, 2015
- At 9.16pm, three suicide attackers killed one person outside the Atade de France during a foootball match between France and Germany
- At 9.25pm, three attackers opened fire on restaurants and cafes over 20 minutes, killing 39 people
- Shortly after 9.40pm, three other attackers launched a three-hour raid on the Bataclan, in which 1,500 people had gathered to watch a rock concert. In total, 90 people were killed
- Salah Abdeslam, the only survivor of the terrorists, did not directly participate in the attacks, thought to be due to a technical glitch in his suicide vest
- He fled to Belgium and was involved in attacks on Brussels in March 2016. He is serving a life sentence in France
BUNDESLIGA FIXTURES
Saturday, May 16 (kick-offs UAE time)
Borussia Dortmund v Schalke (4.30pm)
RB Leipzig v Freiburg (4.30pm)
Hoffenheim v Hertha Berlin (4.30pm)
Fortuna Dusseldorf v Paderborn (4.30pm)
Augsburg v Wolfsburg (4.30pm)
Eintracht Frankfurt v Borussia Monchengladbach (7.30pm)
Sunday, May 17
Cologne v Mainz (4.30pm),
Union Berlin v Bayern Munich (7pm)
Monday, May 18
Werder Bremen v Bayer Leverkusen (9.30pm)
Jetour T1 specs
Engine: 2-litre turbocharged
Power: 254hp
Torque: 390Nm
Price: From Dh126,000
Available: Now
BMW M5 specs
Engine: 4.4-litre twin-turbo V-8 petrol enging with additional electric motor
Power: 727hp
Torque: 1,000Nm
Transmission: 8-speed auto
Fuel consumption: 10.6L/100km
On sale: Now
Price: From Dh650,000
Company profile
Name: Infinite8
Based: Dubai
Launch year: 2017
Number of employees: 90
Sector: Online gaming industry
Funding: $1.2m from a UAE angel investor
Desert Warrior
Starring: Anthony Mackie, Aiysha Hart, Ben Kingsley
Director: Rupert Wyatt
Rating: 3/5
Our legal columnist
Name: Yousef Al Bahar
Advocate at Al Bahar & Associate Advocates and Legal Consultants, established in 1994
Education: Mr Al Bahar was born in 1979 and graduated in 2008 from the Judicial Institute. He took after his father, who was one of the first Emirati lawyers
The Comeback: Elvis And The Story Of The 68 Special
Simon Goddard
Omnibus Press
Top financial tips for graduates
Araminta Robertson, of the Financially Mint blog, shares her financial advice for university leavers:
1. Build digital or technical skills: After graduation, people can find it extremely hard to find jobs. From programming to digital marketing, your early twenties are for building skills. Future employers will want people with tech skills.
2. Side hustle: At 16, I lived in a village and started teaching online, as well as doing work as a virtual assistant and marketer. There are six skills you can use online: translation; teaching; programming; digital marketing; design and writing. If you master two, you’ll always be able to make money.
3. Networking: Knowing how to make connections is extremely useful. Use LinkedIn to find people who have the job you want, connect and ask to meet for coffee. Ask how they did it and if they know anyone who can help you. I secured quite a few clients this way.
4. Pay yourself first: The minute you receive any income, put about 15 per cent aside into a savings account you won’t touch, to go towards your emergency fund or to start investing. I do 20 per cent. It helped me start saving immediately.
Global state-owned investor ranking by size
|
1.
|
United States
|
|
2.
|
China
|
|
3.
|
UAE
|
|
4.
|
Japan
|
|
5
|
Norway
|
|
6.
|
Canada
|
|
7.
|
Singapore
|
|
8.
|
Australia
|
|
9.
|
Saudi Arabia
|
|
10.
|
South Korea
|
Lexus LX700h specs
Engine: 3.4-litre twin-turbo V6 plus supplementary electric motor
Power: 464hp at 5,200rpm
Torque: 790Nm from 2,000-3,600rpm
Transmission: 10-speed auto
Fuel consumption: 11.7L/100km
On sale: Now
Price: From Dh590,000
Jebel Ali Dragons 26 Bahrain 23
Dragons
Tries: Hayes, Richards, Cooper
Cons: Love
Pens: Love 3
Bahrain
Tries: Kenny, Crombie, Tantoh
Cons: Phillips
Pens: Phillips 2
The%20specs
%3Cp%3E%3Cstrong%3EEngine%3A%20%3C%2Fstrong%3E3.6-litre%2C%20V6%0D%3Cbr%3E%3Cstrong%3ETransmission%3A%20%3C%2Fstrong%3Eeight-speed%20auto%0D%3Cbr%3E%3Cstrong%3EPower%3A%20%3C%2Fstrong%3E285hp%0D%3Cbr%3E%3Cstrong%3ETorque%3A%20%3C%2Fstrong%3E353Nm%0D%3Cbr%3E%3Cstrong%3EPrice%3A%20%3C%2Fstrong%3EDh159%2C900%0D%3Cbr%3E%3Cstrong%3EOn%20sale%3A%20%3C%2Fstrong%3Enow%3C%2Fp%3E%0A
The specs
Engine: 4.0-litre V8 twin-turbocharged and three electric motors
Power: Combined output 920hp
Torque: 730Nm at 4,000-7,000rpm
Transmission: 8-speed dual-clutch automatic
Fuel consumption: 11.2L/100km
On sale: Now, deliveries expected later in 2025
Price: expected to start at Dh1,432,000