Economics
Lebanon’s Debt Clock Ticks as 2020 Budget Passes With 6% Deficit
- Legislature passes budget as new government takes over
- Market is on edge over a $1.2 billion Eurobond due March 9
Riot police advance toward anti-government protesters in Beirut on Jan. 25.
Photographer: Sam Tarling/Getty Images
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Lebanese lawmakers approved a 2020 budget plan with a crucial Eurobond payment weeks away, leaving it to the new government to decide on whether to pay creditors or save what’s left of the country’s reserves.
The fiscal program passed on Monday by a vote of 49 to 13, with eight abstentions. The legislature approved the budget that envisages a 6% deficit, a far cry from a goal set by Lebanon’s former government to bring it close to zero. It includes no new taxes.