Lebanon Forms New Government after 9 Months of Deadlock

In a statement read from the presidential palace on Thursday, Prime Minister Saad Hariri apologized to the people of Lebanon for the time it had taken to form the government and noted that they were "living in concern” over the economy, Reuters reported.

Hariri must now deliver on promises to rein in public spending to address the country’s finances, and enact reforms that could unlock billions of dollars in pledged aid and loans for infrastructure investment.

The time for "painkillers” was over, he said on Thursday, adding, "No one can put their head in the sand anymore.”

Earlier on Thursday, he said the new government would be forced to "take difficult decisions” to reduce spending.

Concerns have grown over the state of the economy and government finances. Finance Minister Ali Hassan Khalil, who retained his post, warned last month that Lebanon was in an economic crisis that had "started to turn into a financial one.”

Lebanon’s public debt is one of the highest in the world relative to the size of its economy, and it has suffered low growth for years, in part because of regional turmoil.

Source:ISNA