Middle East & Central Asia News
LAST UPDATE: September 27, 2025
IMF urges Lebanon to improve reform laws, consider tax reforms
The IMF concluded its mission to Lebanon urging improvements to the recently approved Bank Resolution Law to meet international standards and protect small depositors. The IMF expects a more ambitious 2026 budget approach and suggests tax policy reforms for reconstruction and social protection.
Insight
Despite reform promises six years after financial collapse, the IMF remains concerned about Lebanon’s legislative gaps and the need for stronger depositor protections and fiscal discipline.
Lebanon to release former central bank governor Salameh on bail
Former central bank governor Riad Salameh will be released after posting record-high bail of $14 million and 5 billion Lebanese pounds following nearly 13 months in detention. He is banned from traveling outside Lebanon for one year while facing charges including embezzlement of public funds.
Insight
Salameh’s release on Lebanon’s highest-ever bail amount reflects the gravity of allegations against the once-powerful banker who presided over the 2019 financial meltdown that devastated depositors.
Iraq’s Long-Awaited Oil Pipeline Restart Is Greeted With a Shrug
The imminent restart of Iraq’s northern oil export pipeline after a two-year dispute received muted market reaction. Traders expect the pipeline to initially divert local supplies rather than flood markets with new oil, causing Brent prices to rise.
Insight
Market skepticism about immediate impact suggests the pipeline restart may provide less additional supply than anticipated, highlighting ongoing complexities in Iraq-Kurdistan revenue disputes.
An Abu Dhabi EM debt record
Abu Dhabi achieved record-breaking tight spreads in emerging markets debt issuance, pricing far inside even the best US corporates in a $3 billion bond offering.
Insight
The emirate’s ultra-tight pricing reflects strong investor confidence in Abu Dhabi’s credit quality and establishes new benchmarks for emerging market sovereign debt.
Pakistani PM appeals for India talks, hails Trump role
Pakistani PM Shehbaz Sharif addressed the UN calling for comprehensive dialogue with India and praised Trump’s role in resolving May’s conflict. Trump intervened after four days of fighting between India and Pakistan over Kashmir, establishing a ceasefire and plans for neutral talks.
Insight
Trump’s mediation marks a significant shift in US-Pakistan relations, moving away from Biden’s arm’s-length approach and potentially reshaping South Asian geopolitics amid broader US-India tensions.
