The political body of the Free Patriotic Movement held its periodic meeting and issued a statement in which it expressed its rejection of the “financial gap” draft law in its current form, considering it unfair to depositors as it holds them fully responsible for the consequences of the financial collapse, despite the fact that they are rights holders and not investors.
The Movement explained that this draft treats depositors as if they bear the results of the crisis, while the current formulation perpetuates the injustice that has befallen them since October 17, 2019, noting that the provisions of the law are random in determining the ceilings of deposits and the periods and methods of their recovery, without clear foundations or audited figures.
The Movement stressed the importance of completing the forensic audit of the accounts of the Bank of Lebanon, and conducting a comprehensive accounting audit, in order to reach the truth of the figures and determine the actual ability to restore deposits in a reasonable period of time, through clear and transparent mechanisms, while holding all those involved accountable. In this context, the Movement stressed the need to preserve the banking sector so that it returns as a pillar of the national economy.
While the Movement praised the inclusion of a clause on recovering funds transferred abroad in the draft law, it recalled that it had submitted a similar draft law in 2020, considering that it is unacceptable, after five years, to merely refer to this clause without taking concrete executive steps.
In contrast, the Movement affirmed the importance and necessity of approving the financial gap law, explaining that its observations aim to improve the law, not to obstruct it, in order to achieve its intended goal. It considered that the establishment of the trust fund is the best way for the state to contribute to enhancing the ability to restore depositors’ funds and improve public services, without resorting to selling state assets.
The Movement warned against turning rights into promises that are difficult to achieve in the absence of a clear commitment from a government it described as incapable and confused, stressing that preserving the banking sector is indisputable, but it does not justify in any way evading accountability or exemption from responsibilities.
This position comes at a time when the government is intensifying its discussions on the “financial gap” draft law, which is considered one of the most important laws required to address the accumulated losses in the financial and banking system since the collapse in 2019. The project has sparked increasing objections from political forces, trade unions and depositor groups, due to fears of burdening them with the largest part of the losses, in light of the delay in completing the forensic audit and the absence of a clear vision of how to recover deposits and hold those responsible for the collapse accountable.
