Lebanon’s government has drafted a 2026 budget aimed at achieving a zero deficit, balancing revenues and expenditures, and relying on domestic resources to fund public services and reconstruction efforts, Finance Minister Yassine Jaber said.

The budget, estimated at 505.7 trillion Lebanese pounds ($5.65 billion), dedicates more than half of its total to salaries and related allowances, placing heavy demands on the central bank, Annahar newspaper reported, and the domestic market to secure roughly $250 million in cash monthly.

Despite the high payroll costs, the budget avoids new taxes or additional burdens on citizens. Spending on the electricity sector is limited to a $250 million World Bank loan, while the agriculture sector benefits from $200 million in World Bank financing. Jaber noted that these funds alleviate some pressure on state finances and support economic projects across Lebanon.

The budget also includes investments in industrial zones on state-owned land in the North, South, and Bekaa regions, benefiting from tax exemptions under the Investment Development Authority of Lebanon (IDAL) law. Additionally, the government is contributing to the reconstruction of 500 buildings in southern Beirut suburbs at an estimated total cost of $40 million.

Jaber emphasized that the budget relies on improved tax collection, enhanced customs enforcement, and tighter monitoring of imports to generate revenues without depending on external aid. The Ministry of Finance plans to deploy three new high-capacity scanners at Beirut and Tripoli ports and implement a new customs information system funded by the European Union and the World Bank.

Revenues from maritime properties are projected at $40 million for 2025–2026, lower than initial expectations. Nevertheless, Jaber said, if early 2026 revenues show improvement, the government could approve additional budget appropriations.

The budget also covers the needs of Lebanon’s army and security forces for nearly 3,000 personnel and ensures payments to contractors, social security, and treasury bond interest.

On reconstruction, Jaber announced a $250 million World Bank fund for infrastructure damaged by Israeli attacks, with France contributing €75 million and additional support expected from Arab and international donors, potentially bringing the total to $1 billion. The Ministry has already allocated 1,600 billion pounds to the South Council and 200 billion pounds to the Higher Relief Commission for debris removal and infrastructure rehabilitation.

“The 2026 budget is balanced and designed to be self-sustaining,” Jaber said. “It reflects strict fiscal discipline, zero deficit, and a focus on supporting economic growth without imposing new taxes on the Lebanese people.”