Lebanon’s newly named prime minister said on Thursday he would quickly form a government to pull the country out of economic crisis. The protests continue after Hezbollah backs a “Weekend Prime Minister” with little support from key Sunni groups and the Gulf countries.
Hassan Diab, a little-known academic and former education minister,who surfaced as a candidate overnight, said he would address the grievances of protesters. The Lebanese people have been demonstrating for two months against their corrupt government.
Many, however, believe Hezbollah’s goal is not to secure western aid but rather to turn Lebanon into a mini-Iran
The designation set the stage for a cabinet that excludes allies of the United States and Sunni Gulf Arab countries. One that underlines the influence of Iran’s friends in Lebanon. The move would complicate efforts to secure Western financial aid, analysts say. Many, however, believe Hezbollah’s goal is not to secure western aid but rather to turn Lebanon into a mini-Iran.
Lebanon, facing its worst economic crisis since the 1975-90 civil war, has been seeking a new government since Prime Minister Saad al-Hariri resigned on Oct. 29. The protests against the ruling elite prompted Hariri to resign.
Efforts to reach a deal on a new premier have been hampered by divisions. They reflect tensions between Hariri, who is aligned with Western and Gulf Arab states, and Shi’ite Muslim Hezbollah. Washington regards the heavily armed Hezbollah as a terrorist group and has imposed sanctions on it.
PROTESTS CONTINUE AFTER HEZBOLLAH BACKS A “WEEKEND PRIME MINISTER”
President Michel Aoun, a Hezbollah puppet, has also been at political loggerheads with Hariri. He held consultations with deputies on Thursday on designating the new premier. Under the country’s sectarian political system the PM must be a Sunni Muslim.
Aoun, a Maronite Christian, is required to designate the candidate with the most support. In this case, Aoun selected a candidate that Hezbollah and the Iran-backed political parties want.
The move to nominate Diab signaled a decision by Hezbollah and its allies to abandon efforts to forge a consensus with Hariri and pick a candidate of their choosing.
But it was not immediately clear how quickly a government would be formed. For now, Hariri, Lebanon’s leading Sunni politician, will stay on as caretaker prime minister.
Support from Iran-backed Hezbollah guarantees Diab a thorny path. It will certainly invite criticism from Western and Gulf nations that had supported Hariri.
ENDURING CRISIS
Maha Yahya, director of Carnegie Middle East, a Beirut-based think tank, said Diab arrives with no support from his community and no consensus at a time when Lebanon is facing an economic meltdown and needs international assistance.
She said:
The problem is he is coming on as a weakened prime minister.
Lebanon’s crisis has been growing. Banks have imposed tight capital controls and the Lebanese pound has slumped by a third from its official rate. In addition, companies have been shedding jobs and cutting salaries.
Fitch last week cut Lebanon’s credit rating for the third time in a year, and it warned that it now expects the country to restructure or default on its debt.
Jason Tuvey, senior emerging markets economist at Capital Economics, said:
A government with a Hezbollah-backed prime minister would be even less likely to secure support from the Gulf countries…and might also potentially reduce the chances of Lebanon getting support from the IMF if the U.S. raises concerns.
A senior banker expressed concern Hezbollah is too preoccupied with its struggle with the United States. He said the “real battle” was against “liquidity meltdown.”
Members of parliament with Hariri’s Future Movement told Aoun it would not take part in the next government.
Hariri withdrew his candidacy on Wednesday.
COMMENTS