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Monday, Mar 31, 2025

Lebanon Appoints New Central Bank Governor Amid Diplomatic Engagements from France

Lebanon Appoints New Central Bank Governor Amid Diplomatic Engagements from France

The Lebanese government faces critical challenges with the appointment of Karim Said as the new governor of the Central Bank during intensified international diplomatic efforts.
Lebanon's political landscape is currently marked by significant internal and external developments as the country grapples with pressing financial and economic challenges.

In recent hours, the focus has shifted toward the appointment of Karim Said as the new governor of the Central Bank of Lebanon, a move deemed crucial for the nation's economic future.

The decision is set against a backdrop of increasing external interest in Lebanon, particularly from France, as diplomatic activities ramp up ahead of the Eid al-Fitr holiday.

French presidential envoy Jean-Yves Le Drian has arrived in Lebanon to convey Paris's positions on border security and reconstruction efforts.

His visit precedes a scheduled meeting with Lebanese President Joseph Aoun in Paris today, where discussions are anticipated to center around Israel's border situation and an upcoming conference in Paris dedicated to reconstruction.

The coordination between the members of the Quint Group, particularly France and the United States, has been apparent during Le Drian's mission.

Reports indicate he urged Lebanese officials to respond positively to proposals from the U.S. regarding negotiations, emphasizing the need for proactive engagement rather than remaining in a negative posture.

Le Drian highlighted the importance of maintaining international momentum that accompanied the new administration and the formation of the government, advocating for the implementation of necessary reforms and unity among the Lebanese people to restore international and Arab confidence in Lebanon and attract investment.

Furthermore, two key messages reportedly emerged from Le Drian’s discussions.

First, there was an explicit invitation for Lebanon to cooperate with the U.S. proposal to form negotiation committees with Israel as the current geopolitical dynamics necessitate such engagement.

The second message indicated a potential postponement of the international support conference for Lebanon until July, contingent upon the government's commitment to actual reform implementation.

Simultaneously, preparations are underway for a confirmed visit from U.S. Deputy Envoy to the region, Morgan Ortagus, set for early April.

Ortagus is expected to adopt a robust approach regarding the Lebanese-Israeli conflict, reinforcing U.S. mediation efforts concerning the three proposals previously shared, focusing on five areas controlled by Israel, the matter of Lebanese prisoners, and the demarcation of land boundaries.

The illuminated efforts to address these negotiation matters highlight the Lebanese government's reluctance to engage in diplomatic discussions, an issue that remains contentious.

In the meanwhile, all eyes were on the recent Cabinet session, which included appointing three critical positions: the governorship of the Central Bank, the management of Télé Liban, and various military council members.

Despite initial tense discussions over the appointment of the new Central Bank governor, said appointment was ultimately decided in favor of Karim Said, who secured 17 out of 24 votes in the Cabinet.

It is notable that the voting process required a two-thirds majority for ratification.

Insight into the discussions indicates a degree of internal disagreement regarding Said's candidacy.

President Nawaf Salam reportedly expressed reservations, viewing the appointment as potentially challenging his position as the head of the executive branch.

He emphasized the need for consensus in the appointment process, underscoring the importance of designating the new governor through established mechanisms instead of by a simple vote.
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