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Lebanon Daily Digest

September 19, 2025

Daily News

Lebanon’s Distressed Debt Soars to Shaky New Heights
Libby George reports, “Lebanon’s defaulted government bonds have nearly quadrupled in price over the past year as investors bet on signs of economic recovery but a wild variance in estimates of their likely worth after a restructuring could restrain any further rally. A ‘recovery value’ for the bonds will not become clearer until lawmakers decide what level of losses struggling local banks must take, which in turn will inform how much money the government can funnel to bondholders.” [Reuters] Israel, the Humbling of Hezbollah – and the Lebanese People Caught in the Crossfire
Jamie Prentis and Nada Homsi report, “With Israel refusing to honour its side of the ceasefire, Hezbollah asks, why should they? And with an underfunded army struggling to secure even basic equipment, what would stop Israel from invading again – as it has repeatedly done throughout Lebanon’s history? Some argue, however, that Lebanon has little choice. Since the ceasefire began, Israeli operations have killed at least 79 civilians, including 15 women and 10 children, without a single reported Israeli casualty.” [The National] Rights Groups Urge Lebanon to Protect Freedom of Expression in New Media Law
“Lebanon’s parliament should ensure that a draft media law it is considering upholds the right to freedom of expression, 14 Lebanese and international rights organizations urged on Tuesday. This includes decriminalizing defamation, blasphemy, insult and criticism of public officials; prohibiting pretrial detention in speech-related violations; and removing onerous restrictions on the establishment of media outlets.” [Arab News]

OPINION & ANALYSIS

The Tahrir Institute for Middle East Policy
Stalled Momentum and Incomplete Reforms in Lebanon
Jean Kassir

“The initial breakthrough that led to the lifting of the bank secrecy law was the product of both a local momentum for reform and a clear US imperative to kick-start the financial restructuring plan. The US foreign policy back then was adamant that political and financial reforms, and resolving Hezbollah’s disarmament question, came hand-in-hand. Israel’s near-daily violations of the ceasefire, combined with a US policy shift prioritizing the disarmament question over anything else, has further fragilized the reform path. The latest visit by US envoy Tom Barrack and Senator Lindsey Graham clearly tied access to foreign aid to a full disarmament of Hezbollah. The adoption of an IMF plan will no longer be sufficient for Lebanon to access money the country desperately needs to rebuild the areas destroyed during the latest war…Furthermore, the lack of foreign funds has prevented the adoption of socioeconomic aid programs that would have alleviated the hardships on the population after years of economic freefall. At the same time, the single-handed focus on the disarmament question has provided an opportunity for some reform obstructors to benefit from the new regional dynamics. Members of the political and financial establishment have been eager to fill the power-vacuum left by Hezbollah, to further entrench their power in Lebanon’s political system and to avoid any kind of accountability, and such easing of foreign pressure on reform only fuels that ambition.”

Read Here Haaretz
Lebanon’s Push to Centralize Arms Marks a Step Toward Sovereignty, but Hurdles Remain
Jack Khoury

“According to the source, U.S. pressure to hand over weapons is primarily tied to Israel’s security, which is why the efforts are focused on collecting heavy arms. He explains that the motivation behind the disarmament drive is not necessarily rooted in a desire for internal Lebanese peace. As a result, armed organizations are determined to hold on to their stockpiles of light weapons. Palestinians in Lebanon – as well as other communities such as Shiites, Druze, and Christians – fear being left without the means for self-defense. The severe violence in places like Sweida in southern Syria and the Alawite coastal region in the north has only heightened concerns of persecution, so long as the Lebanese army is not perceived as a force capable of providing protection for all citizens. Naturally, the initiative could also affect plans to disarm Hezbollah. Government spokespeople are seeking to project a message of unified sovereignty, according to which all weapons, whether Palestinian or Lebanese, should be under the army’s control. In practice, however, Lebanon’s political and security establishment draws a distinction between the Palestinian factions and Hezbollah, which is regarded as a domestic Lebanese actor.”

Read Here LEBANON SPOTLIGHT L’Orient Today
Studying and Working in Lebanon: Resilience of Youth in Struggle
Joanne Naoum

“The topic of “brain drain” in Lebanon is a common one, referring to the brilliant minds who leave the country in search of a more stable future; but some stay, against all odds. These are the rare sparks who, despite economic crises, wars and obstacles, choose to defy the impossible and build their story here, on a battered but beloved land.

Being a student in Lebanon is not an ordinary experience. It’s an obstacle course, but there is tremendous willpower. The Lebanese student embodies both ambition, versatility, inner strength and extraordinary resilience. They seize opportunities wherever they see them and strive to shine from within their own country.”

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