Lebanon's new government wins confidence vote in parliament

Lebanon's new government won a confidence vote in parliament on Wednesday, following a speech by Prime Minister Nawaf Salam promising to push for economic and financial reforms and to start negotiations with the International Monetary Fund.

Salam's government won the backing of 95 lawmakers in the 128-seat chamber.

On Tuesday, the Iran-backed Lebanese group Hezbollah had given its backing to the government in a speech delivered by senior Hezbollah lawmaker Mohammed Raad.

Lebanon's political landscape has been turned on its head since Hezbollah, long a dominant player in Lebanese politics, was badly pummelled in last year's war with Israel.

Reflecting that shift, the new government's policy statement did not include language used in previous years that was seen as legitimising a role for Hezbollah in defending Lebanon.

"We will work on removing Lebanon from the grey list and start negotiations with the International Monetary Fund," Salam told parliament before the vote. "We will put depositors at the top of our priorities."

Lebanon has been in deep economic crisis since 2019, when its financial system collapsed under the weight of massive state debts, prompting a sovereign default in 2020 and freezing ordinary depositors out of their savings in the banking system.

Lebanon formed a new government on February 8, following unusually direct U.S. intervention in the process and in a step intended to bring the country closer to accessing reconstruction funds following the devastating war between Israel and Hezbollah.

Finance Minister Yassine Jaber told Reuters earlier this month that an IMF mission was expected to visit Lebanon in March.

Beirut reached a draft funding deal with IMF in 2022 - contingent on reforms that authorities failed to deliver.