Lebanon has been asked by the International Monetary Fund to amend a proposed law allowing depositors to reclaim funds trapped in the country’s banking system, Prime Minister Nawaf Salam said.

The IMF, which is negotiating with Salam’s government on a program to stabilize Lebanon’s ailing finances, “cannot endorse the draft as presented” and suggested a series of changes, the prime minister said in an interview with Bloomberg TV at the World Economic Forum in Davos on Wednesday.

“Saying the IMF ‘rejected’ it is an exaggeration,” Salam said. “The Fund simply cannot support the law in its current form and proposed amendments. I prefer to describe the interaction as positive. We will continue our engagement with the IMF. Our goal is to reach a program with the Fund, as clearly outlined in the government’s policy statement. The IMF’s comments are not directives; this is a negotiation process, and I am confident we can find solutions to the issues they raised.”

On Lebanon’s capacity to return $100,000 to all depositors over four years, Salam said: “We are confident in our liquidity. The central bank has reserves, and commercial banks have available cash. We are planning not just based on the present situation but with a four-year outlook. We are confident we can meet these commitments—and even achieve a surplus—while the economy grows.”

Regarding the possible sale of Lebanon’s gold to repay depositors, Salam said: “This is a delicate matter. Gold cannot be used without parliamentary approval, so it is not on the table at this time.”

Salam also noted a series of high-level international meetings, including with the UN High Commissioner for Refugees, the UN Office for the Coordination of Humanitarian Affairs (OCHA), and the President of the World Bank’s International Bank for Reconstruction and Development.

“My message in every meeting is clear: Lebanon is gradually and steadily regaining the trust of the international community and its partners,” he said.

The prime minister outlined his government’s strategy, which he said rests on two main pillars.

“The first is rebuilding state institutions through reforms, starting with financial reforms but extending well beyond them. We passed a critical law to ensure the independence of the judiciary, introduced a new mechanism for state employee appointments, and for the first time in years, appointed regulatory bodies in key sectors, including electricity, telecommunications, and aviation,” he said.

“The second pillar is restoring the state’s monopoly on weapons. For the first time since 1969—over 50 years—the Lebanese state now has full operational control over the area south of the Litani River,” Salam added. “On August 5, we consolidated the state’s control over arms. It was a historic moment: despite extremely challenging circumstances, we successfully restored state sovereignty over southern Lebanon.”

Salam said the Lebanese Army has now moved to the second phase of its disarmament plan, which covers the area north of the Litani River.

On security challenges in the south, Salam described the situation as “a unilateral attrition campaign,” condemning ongoing Israeli strikes and the continued presence of Israeli forces in southern Lebanon. “Israel still occupies parts of southern Lebanon—the so-called five points. We are mobilizing the international community and using every diplomatic and political tool to pressure Israel to comply with its commitments under the ceasefire agreement and fully withdraw from Lebanese territory,” he said.

Asked about unrest in Iran, Salam said he prefers caution.

“Whenever Iranian officials visit, I make it clear that we want to rebuild Lebanese-Iranian relations on the basis of mutual respect and non-interference in domestic affairs. That is why I avoid commenting on Iran’s internal situation. Iran is a key regional player with direct influence on Lebanon—I am fully aware of that—but I prefer not to comment on their internal affairs,” he said.

Salam dismissed reports that Hezbollah’s ties with Iran have weakened. He urged the group to act as a Lebanese political actor, placing the country’s interests above any regional agenda.

On the upcoming parliamentary elections, Salam stressed government neutrality.

“Since forming this government, I have made it clear that it will oversee the elections. To ensure impartiality, I will not run, and any minister wishing to run must resign from the Cabinet. Ensuring government neutrality is essential. We want the elections to take place on schedule and with the highest degree of fairness,” he said.