Lebanon’s Acting Central Bank Governor Wassim Mansouri announced that the International Monetary Fund (IMF) is open to resuming negotiations with Lebanon and that its Managing Director is expected to visit Beirut soon.

However, talks will only move forward once the newly formed government secures a vote of confidence in the Parliament, he said in an interview with Al Arabiya.

Mansouri highlighted a noticeable improvement in Lebanon’s monetary situation following the election of a president and the formation of a government, attributing the rise in bond prices to growing investor confidence in the country’s political and financial stability.

“The new government will engage with bondholders, and market expectations now suggest a recovery rate higher than 25% for Eurobond holders,” Mansouri said.

However, he stressed that depositors would be prioritized over bondholders when it comes to repayment.

“The government is working to build a relationship of trust with investors holding Lebanon’s bonds,” he added, noting that Lebanese banks currently hold a deposit portfolio estimated at $86 billion.

Mansouri also confirmed that the Central Bank will cooperate with the government to draft a "fair" plan aimed at gradually returning depositors’ funds.

Lebanon has been in a deep economic meltdown since 2019, with its banking sector largely paralyzed and depositors unable to access their savings. Efforts to secure an IMF bailout have stalled due to the lack of key reforms, but Mansouri’s remarks suggest a potential shift in momentum with the new government in place.