Politics

Lebanon crisis back under world spotlight

A trio of high-profile political or diplomatic institutions have looked again at Beirut but without enough attention on the financial aspect of its woes

AFP

A woman stands with a sign during a protest by the Depositors Solidarity Union group protesting against the Lebanese Central Bank's monetary policies and the deteriorating economic situation, outside bank headquarters in Beirut.

Lebanon crisis back under world spotlight

Toufic Chanbour

last update on 29 Jul 2023

Lebanon’s current crisis has made the agenda of three high-profile events on the world political stage in recent days, as international attention on the troubled country intensifies.

This renewed attention is welcome, as are any high-profile contributions that can boost the chances of a breakthrough in Beirut. But once again, there were gaps in the response to the turmoil that continues to blight a long-suffering people, with no mention made of Lebanon’s financial, monetary, and banking crisis.

The gap applied in the three places where Beirut was in the spotlight: At the European Parliament; the second meeting of the Quintet Group in Doha – Qatar, Saudi Arabia, France, the United States, and Egypt – powers with influence over Lebanon; and at Beirut’s Pine Palace, the official residence of the French ambassador.

It is all the more notable that the financial elements of Lebanon’s crisis were left out at each place after the World Bank categorised it as one of the most severe global crises of its kind since the mid-19th century.

A grave situation

This situation is so serious it could even amount to financial genocide, with national resources plundered to such an extent the country cannot function.

A Lebanese depositor chants slogans as he protests in front of a local bank branch whose entrance was set on fire in Beirut.

The gravity of the situation warrants a thorough international investigation to identify culpability and determine appropriate consequences. There should also be measures to assist in the recovery of funds illicitly transferred to the European Union.

The gravity of the situation warrants a thorough international investigation to identify culpability and determine appropriate consequences. There should also be measures to assist in the recovery of funds illicitly transferred to the European Union.

The extent of Lebanon's financial plight is enough to halt elections from being held, worsening the country's institutional deadlock.

Positive developments

But on a positive note, the European Council made a commendable decision by renewing their commitment – until July 31, 2024 – to sanction individuals involved in undermining democracy, the rule of law, the electoral process, and authentic reforms, including financial and banking reforms.

The @EUCouncil extends, for one year until 31 July 2023, the framework for targeted sanctions to address the situation in Lebanon
More in our press release below https://t.co/ar8x7YOmPn
— EU Council Press (@EUCouncilPress) July 26, 2022

They also seek to hold accountable those who mismanage public funds, in line with the principles outlined in the United Nations Convention against Corruption. The imposed sanctions encompass travel bans to the European Union and asset freezes.

The European decision also strongly condemned the obstruction of investigations into the devastating explosion at the Beirut port, recognised as the largest non-nuclear explosion globally.

The European Council urged the United Nations Security Council to adopt a resolution to establish an international mission aimed at uncovering the truth and finding who was responsible. This step is crucial in pursuing accountability and may also involve the potential initiation of legal action in foreign courts.

It has been three years since the explosion, yet the investigation into its causes remains at a standstill due to overt political interference, as highlighted by international organisations like Human Rights Watch and Amnesty International.

Smoke rises from the grain silos in Beirut, which were severely damaged in 2020 by the explosion that destroyed the vicinity of the port.

Specifically, the Amal movement, Hezbollah, and their allies have been implicated in various forms of interference, including the killing of a security official at the port who had warned about the storage of nitrates, and the killing of a photographer near the storage facility.

Moreover, 21 lawsuits were filed against the investigating judge and the Supreme Judicial Council that dismissed the request for the judge's removal.

It has been three years since the Beirut port explosion, yet the investigation into its causes remains at a standstill due to overt political interference — specifically from the Amal movement, Hezbollah, and their allies.

The minister of finance refused to sign a decree appointing judges to the authority handling the cases, and the investigating judge faced direct threats of dismissal, while parliament remained unresponsive to the plea for lifting the immunity of three deputies holding ministerial positions connected to the port's nitrates storage. Two of them were re-elected.

Concern over treatment of refugees

Europe also addressed the presence of over one and a half million Syrian refugees in Lebanon, in addition to more than 200,000 Palestinian refugees, most of whom endure challenging living conditions and extreme poverty and rely on assistance provided by the United Nations Relief and Works Agency (UNRWA).

Deep concern was expressed over the escalating anti-refugee rhetoric in Lebanon and there was recognition of the unsuitable conditions for their voluntary, dignified, and safe repatriation. Europe also urged Lebanon to accede to the United Nations' 1951 Convention relating to the Status of Refugees and its 1967 Protocol.

That part of the European statement, in the last paragraph, stoked widespread condemnation and sparked protests due to its perceived call for refugee settlement.

Obstructed reforms

It received significant media coverage, which also highlighted the European Union's urgency to implement economic and financial reforms focused on governance and ensuring judicial independence.

But the crux of the issue lies in the fact that the individuals involved in such reforms are the subjects of ongoing judicial investigations.

The prime minister is currently under investigation by the Monaco prosecutor in a money laundering case, while the governor of Lebanon's central bank has two international warrants for his arrest.

Axel Rangel Garcia

The crux of the issue lies in the fact that the individuals involved in reforms are the subjects of ongoing judicial investigations. The prime minister is currently under investigation by the Monaco prosecutor in a money laundering case, while the governor of Lebanon's central bank has two international warrants for his arrest.

Call for Hezbollah disarmament

It is widely known that the dominant party controlling Lebanon's affairs – Hezbollah – is an armed and unlawfully established entity that impedes the establishment of a functional state.

Therefore, Europe's call for the disarmament of Hezbollah is significant. It signifies a change in how the party is perceived, undermining its credentials as a resistance force, which is a term better used for domestic forces pushing back against an occupying enemy.

Hezbollah members stand at attention during the funeral of a fighter, who was killed in conflict in the mountainous area around the Lebanese town of Arsal on the eastern border with war-ravaged Syria on August 28, 2017.

When a resistance force comes to power, it should give up its guns. If it does not, it starts to look more like a militia. And a militia receiving payment becomes a mercenary group, a distinction drawn by Nelson Mandela — the late South African activist and president.

Titanic comparisons

At the Pine Palace, Anne Grillo, the French ambassador, openly acknowledged the absence of an effective state in Lebanon upon her arrival.

She issued a candid and alarming statement, stating that Lebanon is currently facing significant challenges, despite some people's belief that it has overcome the crisis.

Europe's call for the disarmament of Hezbollah is significant. It signifies a change in how the party is perceived, undermining its credentials as a resistance force. When a resistance force comes to power, it should give up its guns. If it does not, it starts to look more like a militia.

The present stability is deceptive, "and the melodies resonating through the streets of its towns and villages resemble the music that accompanied the sinking of the Titanic."

The root cause behind this situation is the expansion and proliferation of the informal economy, which is deeply concerning as it thrives on the rising influx of money laundering and organised crime activities.

Apart from corruption, Lebanon is also plagued by the fear of uncertainty, and this fear is exploited and fuelled by those who gain from its amplification.

The biggest concern among the Lebanese population currently is the fear of not having access to medication, the inability to afford school fees and the uncertainty around being able to feed their families.

Lebanon has consistently aimed to serve as a bridge between the East and the West, fostering peaceful coexistence among all its inhabitants. This is the essence of the Lebanese identity, and without it, the financial and national structure would crumble.

Regrettably, this cornerstone of national identity and self-image is eroding further, as it has over the past seven decades, prompting Henry Kissinger to famously remark to the late President Suleiman Frangieh that Lebanon is not a nation.

The present stability is deceptive, "and the melodies resonating through the streets of its towns and villages resemble the music that accompanied the sinking of the Titanic."

Anne Grillo, the French ambassador to Lebanon

Quintet's contribution

The outcome of the Quintet Group focused on measures against those hindering the election of a suitable president – one who embodies integrity, fosters national unity, prioritises the country's interests, and prioritises the welfare of its citizens.

The Quintet also emphasised the importance of forming an inclusive coalition to implement crucial economic reforms, particularly those advised by the International Monetary Fund.

These criteria are in stark contrast to Hezbollah's requirements for a president. They want one who protects the resistance, without specifying the extent of this protection, whether it pertains to the Beqaa, the South, within Lebanon's borders, or extends beyond them to Syria, Iraq, Tehran, or Yemen.

The position taken by the Quintet underscored the importance of adhering to the decisions of the UN Security Council, as well as other international agreements and resolutions, including those issued by the Arab League.

Moreover, the Quintet emphasised the importance of upholding Lebanon's National Reconciliation Document.

It was hoped that its recommendations would include the reactivation of UN Security Council Resolution 128 – issued in July 1958 – in response to internal turmoil. This resolution called for the deployment of an observation team to Lebanon to prevent any infiltration of individuals or weapons from Syria into its territory.

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