The reform programme will be gradually implemented over the period 2007-2011. Its objectives are to
- boost the economy by improving the business
environment and supporting the productive fabric;
- improve living conditions for all Lebanese;
- return to overall financial equilibrium (cut Lebanon's debt from 180% of GDP in 2006 to 144% in 2011).
- a growth rate of -5% in 2006, rising
as from 2007 to roughly 4% to 5%, returning to the trend line observed
before last summer's fighting;
- an inflation rate of 7.5% in 2006, stabilising later to between 2% and 2.5%.
1. Social: specific action in favour of vulnerable groups, extension of social security benefits, action in the fields of education and health, etc.
2. Structural: reform of public administration, improvement of the legal environment for business, reform of the financial sector and debt management, enhanced funding for small firms, etc.
- Increased tax revenues: VAT to be raised
from 2008 to 2010; gradual removal of the fuel tax ceiling; higher taxation
of financial products; introduction of a unified income tax from 2008,
- Controlled expenditure: reduction in State expenses; restructuring of Electricité du Liban; fewer civil servants hired, etc.
The programme will be implemented in 2007-2011 with the financial and other support of the international community.