Lebanon Starts Central Bank Audit In Effort to Exit Financial Crisis

Lebanon has started a forensic audit of the central bank, the Finance Ministry said on Wednesday, one of the steps donors want to see to help the nation claw its way out of a crippling financial crisis, Reuters reported. The government agreed in July to hire turnaround specialist Alvarez & Marsal to conduct the forensic audit, which typically involves close examination of an institution’s financial records and can potentially identify any misuse of funds. Starting the audit was a requirement in a French roadmap that sets out steps to secure desperately needed international aid and help end a crisis that poses the biggest threat to Lebanon’s stability since the 1975-1990 civil war. The ministry said, as a first step, Alvarez would present to caretaker Finance Minister Ghazi Wazni “a preliminary list of information required from Banque du Liban,” the central bank whose role has faced close scrutiny since the crisis erupted. Read more