Debating Lebanon's 2024 Budget: MPs Urge Reforms, Criticize Taxation, and Call for National Dialogue

On Thursday, the Lebanese Parliament held its third session to discuss the 2024 budget.

During the session, MP Halime El Kaakour affirmed that taxes are necessary for the state, adding: "We must not 'neglect' them and the budget should impose progressive taxes."

Expressing that "there are numerous flaws affecting the 2024 budget project," she stated that Lebanon urgently needs a budget that promotes economic growth.

In turn, MP Alain Aoun reported that the government is not effectively combating tax evasion and is putting pressure on those committed to payment. 

"The 2024 budget follows a 'scissors and paper' logic without a deficit," he said.

MP Cynthia Zarazir said that the budget does not include any financial reforms to protect the society, nor does it build a productive economy. Instead, it legitimizes "the dismantling of the state, responds to brokerage logic, and affirms that this system is incapable of implementing reforms."

MP Razi EL Hage said: "We need a budget that promotes economic recovery and growth, not exclusively tied to public accounting but rather focused on 'unleashing' the economic wheel." 

MP Osama Saad, meanwhile, commented: "It is time for a national consensus on Lebanon's defense policy, and the election of the president is our role as representatives of the country."

He added that the Lebanese people deserve an independent president free from international and regional axes.
 
Saad, from the Parliament, revealed that: "We are discussing the budget amid serious social repercussions, and reports indicate that 84 percent of the Lebanese people cannot meet their basic needs. The budget has not addressed the problems of these individuals; instead, it has further complicated the situation."
 
MP Bilal Abdallah noted from the Parliament that the private sector in Lebanon "considers its earnings as an economy that escapes direct taxes. It is time to put an end to this, and I advocate raising taxes on medications manufactured in Lebanon."

He urged the increase of the value of contributions to the National Social Security Fund and addressed the constant "attacks" on the poor in the public sector who still receive the minimum wage.

MP Selim Sayegh said: "We deal with this budget, prioritizing the people's interests as it reflects a flawed accounting reality and lacks a thoughtful financial perspective."

Sayegh asked: "How will the Central Bank of Lebanon determine a unified exchange rate, and under which exchange rate system will this be established in a 'dollarized' system?"
 
Meanwhile, MP Fayssal Karame said that constitutionally, "this session was supposed to be for the election of a president, but everything in the country has become 'exceptional,' and despite that, we still hear voices rejecting dialogue."

He appealed to parliamentary blocs to place political differences in their proper context, suggesting that the parliament speaker is the one to call for dialogue to elect a president.

He added: "Any budget approved without 'balancing accounts' is unconstitutional."
 
Speaking in Parliament, MP Mark Daou suggested that this budget still follows the "same logic;" therefore, it is necessary to reduce indirect taxes that affect the general population. 

Additionally, he said that the government has not allocated sufficient financial amounts for municipalities within the budget.