‘God help the country’: Hariri abandons bid to form Lebanese government

By Maha El Dahan and Laila Bassam

BEIRUT (Reuters) -Lebanese politician Saad al-Hariri abandoned his effort to form a new government on Thursday, dimming hopes of a cabinet being agreed any time soon to start rescuing the country from financial meltdown.

Hariri was designated in October to put together a government following the resignation of Prime Minister Hassan Diab’s cabinet in the wake of the catastrophic Beirut port explosion. Lebanon’s deeply divided politicians have failed to agree despite fears of social unrest over worsening living conditions.

“It is clear we will not be able to agree with his Excellency the President,” Hariri told reporters after meeting President Michel Aoun for barely 20 minutes.

“That is why I excuse myself from government formation and God help the country.”

Lebanon is suffering an economic depression the World Bank has described as one of the most severe in modern history. Its currency has lost more than 90% of its value in less than two years, leading to spiraling poverty and crippling shortages.

Hariri’s decision marks the culmination of months of conflict over cabinet posts between him and Aoun, the Maronite Christian head of state who is allied to the Iran-backed Shi’ite group Hezbollah.

There is no obvious alternative for the post, which must be filled by a Sunni Muslim in Lebanon’s sectarian system.

Barring significant changes in the political landscape, politicians and analysts say it now seems very difficult for a government to be formed before parliamentary elections next year, leaving Diab in a caretaker capacity.

Western governments have been piling pressure on Lebanese politicians to form a government that can set about reforming the corrupt state, threatening sanctions and saying financial support will not flow before reforms begin.

Earlier this month, Diab warned that Lebanon was days away from a social explosion, underscoring concerns about social unrest in a country that was shattered by civil war from 1975 to 1990.

Hariri said Aoun had requested fundamental changes to a cabinet line-up he had presented to him on Wednesday. Aoun had told Hariri that they would not be able to agree, Hariri said.

There was no immediate comment from the presidency.

Hariri was designated to form the new government in October. Diab continues in a caretaker capacity.

Aoun will be required to consult MPs over who to designate as a new premier. But analysts doubt that any Sunni politician of standing would accept the role without Hariri’s blessing.

The most influential Sunni politician in Lebanon, Hariri is backed by Lebanon’s Sunni religious establishment and, while his support from Sunni led-Saudi Arabia waned in recent years, he is still backed by other Sunni Arab-led states, including Egypt.

Following the announcement, the Lebanese currency weakened further on the parallel market, where dollars changed hands at more than 20,000 pounds, compared to around 19,000 earlier this morning, a dealer said.

(Reporting By Beirut Bureau, writing by Maha El Dahan/Tom Perry; Editing by Toby Chopra and Philippa Fletcher)

Beirut blast judge to question top politicians, security officials

By Maha El Dahan and Laila Bassam

BEIRUT (Reuters) -The judge in charge of the investigation into the Beirut port blast will seek to question top politicians and security officials, Lebanon’s national news agency said on Friday, almost a year after the explosion that devastated the capital.

The blast in August, blamed on a huge quantity of chemicals left for years in poor storage conditions, deepened a political and economic crisis in the heavily indebted country.

Ordinary Lebanese have grown increasingly angry that no senior officials have been held to account for the explosion that killed hundreds of people, injured thousands and ruined whole neighborhoods in the center of Beirut.

Judge Tarek Bitar, who became the lead investigator into the blast after his predecessor was removed in February, will call in caretaker Prime Minister Hassan Diab and others, the agency said, although it said no dates had yet been set.

He has also written to parliament asking to lift immunity from former Finance Minister Ali Hassan Khalil, former Public Works Minister Ghazi Zeaiter and former Interior Minister Nohad Machnouk as a first step towards charging them.

Zeaiter, a parliamentary deputy from speaker Nabih Berri’s bloc, and Khalil issued a statement later on Friday saying they would cooperate with the investigator to help determine those responsible for the blast, even before permission was issued. Machnouk declined to comment when contacted by Reuters.

The caretaker prime minister and others listed as targets for questioning by the judge could not immediately be reached for comment.

Diab and the same ex-officials were charged last year by judge Fadi Sawan, who previously led the probe, but they refused to be questioned as suspects, accusing him of overstepping his powers.

Judge Bitar also asked for permission from caretaker Interior Minister Mohamed Fahmy to question Lebanon’s security chief Abbas Ibrahim, the agency said.

Fahmy told Reuters he had not been notified yet about the process but would take all legal steps required once he was.

Bitar’s list included another former public works minister, Youssef Finianos, and Tony Saliba, the head of state security.

Sawan was removed from the investigation in February by the court of cassation after a request by Khalil and Zeaiter, a major setback for the families of victims seeking justice.

Sawan accused the three ex-ministers and caretaker prime minister of negligence. The court of cassation cited “legitimate suspicion” over Sawan’s neutrality, partly because his house was damaged in the blast.

(Reporting By Maha El Dahan and Laila Bassam; Editing by Edmund Blair and Cynthia Osterman)

Lebanon Hezbollah chief says attacks on Jerusalem mean regional war

BEIRUT (Reuters) – Lebanon’s Hezbollah chief Sayyed Hassan Nasrallah said on Tuesday any aggression against Jerusalem or its holy sites would mean regional war.

Nasrallah’s comments, in a televised speech, were his first since a ceasefire ended the fiercest fighting in years between Israel and Gaza-based Islamist militant group Hamas.

The Israel-Hamas hostilities were set off on May 10 in part by Israeli police raids on the Al-Aqsa mosque compound in Jerusalem’s Old City and clashes with Palestinians during the Muslim holy month of Ramadan.

“When holy sites face serious threats there are no red lines,” Nasrallah said. “All the resistance movements can’t sit back and watch if holy sites are in danger.”

The Iranian-backed Lebanese group is a staunch opponent of Israel and Nasrallah’s speech marked the commemoration of Israel’s withdrawal from southern Lebanon in 2000.

Nasrallah also said that the fighting showed Hamas had greatly advanced its rocket capabilities, which he said was a big military achievement.

“They had the ability to launch rockets for 11 days and they could continue,” he said.

(Reporting By Laila Bassam and Maha El Dahan; Editing by Alex Richardson)

One man’s mission offers Beirut neighborhood a vision of hope after blast

By Ayat Basma and Issam Abdallah

BEIRUT (Reuters) -The sheer scale of the destruction in Beirut’s Karantina district after the massive explosion at the port last August made rebuilding a daunting feat. That was where Marc Torbey El Helou, a charity worker, came in.

The low-income neighborhood was one of the closest to the blast that killed 200 people. It stands across from the giant, mutilated grain silo that has become a symbol of the tragedy.

Helou decided a day after the explosion to dedicate himself, and the aid group he runs, to rebuilding the neighborhood.

Just removing the rubble required 300 truckloads. Some buildings needed immediate help to stop them collapsing. Helou says the same of Karantina’s residents. “There were children here who would not laugh or play for months.”

The neighborhood is home to Lebanese, Syrian and other residents, a fire brigade and dozens of stores selling everything from car parts to clay pots. All were hit hard.

Helou’s charity, Offre Joie (Joy of Giving), has repaired Lebanese districts hit by war and violence since 1985.

“Unfortunately, it means we have the experience for this,” said Helou, 33, who has used a wheelchair since a diving accident in 2016.

With the Lebanese state hollowed out by decades of corruption and failure, it fell to aid groups and volunteers like Helou to rebuild the city.

Offre Joie took on six blocks in Karantina and nearby. That includes the homes of about 350 families.

More than seven months after the explosion, one of the largest non-nuclear detonations on record, many residents have yet to return. But the streets are bustling with life again, and the buildings never looked so good.

IN THE RUBBLE

“We never dreamed we’d have a neighborhood like this. I have called it the French neighborhood because it looks like the elegant streets in France,” said Vera Yaghelian, 75, pointing from her balcony to facades painted in bright pastel colors.

“Look, there’s nothing more beautiful.”

Born in Karantina, the mother of four never left, even during the massacres of Lebanon’s 1975-1990 civil war.

When she sees Helou with teams of volunteers and engineers, she often sends over coffee.

As Helou roams the streets on his electric wheelchair, construction crews get to work and residents stop to say hello.

One woman asks about government compensation promised but not received. Another asks about the renovation of her kitchen cabinets, and a third about the roof of her patio.

“Without you, we would still be living in the rubble,” she tells him.

Helou said that after the blast, he was determined not to let his spinal cord injury stop him. “I understood that I had a mission now and I’m on it.”

The charity’s budget was trapped in the bank thanks to controls imposed during Lebanon’s financial crisis. But donations poured in from abroad: up to three million dollars in cash, construction material and containers full of food. Thousands of volunteers also came, including engineers and psychologists.

Particularly devastating was the death of a number of young firemen and women who had rushed to put out a fire at the port just before the explosion. Their fire brigade building still needs repairs but is operational again.

Another blow was the destruction of a decades-old local church, which was damaged during the civil war and renovated in the 1990s. The explosion brought down its ceiling and façade.

Volunteers have rebuilt it and worshippers gathered there for mass on Christmas Eve.

Yaghelian, who recalls walking down the staircase to find each one of her neighbors wounded and bloodied last August, said she could not contain her emotions days later when she saw the neighborhood teeming with helpers.

“They were the only ones who asked us: What do you need?”

(Writing by Ayat BasmaEditing by Ellen Francis and Giles Elgood)

Brawls in shops as Lebanon’s financial meltdown hits supply of food

By Maha El Dahan and Ellen Francis

BEIRUT (Reuters) – The collapse of Lebanon’s currency has forced many grocery shops to temporarily shut within the last 24 hours, raising fears that a country reliant on imports could soon face shortages of food.

Food shops around the country were locking their doors, halting online deliveries or restricting customers’ orders. Others stayed open, but could not say for how long.

“There’s a big possibility we will close if it stays like this. I don’t know where will we get supplies, and no one is helping us,” said Beirut grocer Mohieldin Fayed, who has kept his shop open.

The pound tumbled to 15,000 to the dollar on Tuesday, losing a third of its value in the last two weeks. It has now sunk by 90% since late 2019.

“If this persists, things will start to disappear, traders will prioritize what to get,” said Hani Bohsali, head of the foodstuffs importers syndicate. “We’ll have to buy less, in variety and quantity, because we can’t find the money.”

He estimated the country has roughly two months of supplies, while it was getting more and more difficult for importers to obtain the dollars they need to keep buying.

The economy’s collapse has pushed much of the population into poverty and poses the biggest threat to stability since the 1975-1990 civil war.

Social media users have been sharing videos of supermarket brawls, such as a fight between a man and a woman trying to buy powdered milk. Prices of many consumer goods such as diapers or cereals have nearly tripled during the crisis.

Nabil Fahed, head of the syndicate of supermarket owners, said some of the shops that had shut on Tuesday reopened on Wednesday after replenishing stocks. But he said permanent closures would happen if no exchange stability was reached.

“What we’re afraid of is that these eventually turn from temporary closures … that it becomes final because it is a dire situation, their capital is being eroded and they don’t have money to pay for goods.”

The vice president of Lebanon’s bakeries’ syndicate said bakeries were supplying the country with bread for now, but could not do so indefinitely without a solution. Lebanon imports almost all of its wheat.

“If we continue at this pace, in the end we will reach a forced closure until the exchange rate stabilizes,” Ali Ibrahim, who tried to resign from his position two weeks ago because of the dire situation, said in a statement.

LOOMING SUBSIDY REMOVAL

Many shops in Lebanon were already shut because of the coronavirus pandemic, and streets have also been closed by roadblocks during anti-government demonstrations. But until this week, groceries had mostly stayed open. Many have been offering deliveries online.

On Tuesday, a number of online grocery shops disappeared from apps. Others refused to accept orders.

Lebanon’s central bank has drawn on already critical foreign reserves to subsidize three key commodities – wheat, fuel and medicine – and a basket of other basic goods, as dollars inflows dried up. It has provided hard currency to importers at the old peg of 1,500 Lebanese pounds to the dollar.

But the state, fast running out of cash, has signaled multiple times that the subsidies would soon be lifted, although it has yet to give a timeline or announce a plan.

Supermarket syndicate head Fahed said the central bank was often slow to release dollars to food importers, causing shortages which in turn provoke consumers to hoard goods. In one example, he said a supermarket had sold a typical month’s stock of 5,000 gallons of subsidized cooking oil in only five hours.

The looming removal of subsidies has triggered fears of shortages, said Nasser Saidi, an economist and former cabinet minister.

“As soon as you announce that subsidies might be lifted or reduced…automatically consumers hoard goods,” he said.

(Reporting By Maha El Dahan, Ellen Francis, Imad Creidi and Alaa Kanaan; Writing by Maha El Dahan; Editing by Peter Graff)

World Bank threatens to cut Lebanon’s vaccine aid over line-jumping

By Ellen Francis and Laila Bassam

BEIRUT (Reuters) – The World Bank threatened on Tuesday to suspend its multi-million dollar financing for Lebanon’s COVID-19 vaccination drive over politicians jumping the line.

The controversy, which echoed favoritism by elites in other countries as the world rushes to inoculate against the coronavirus, added to frustration among Lebanese over delays and violations in the vaccination campaign.

Local media and politicians said that some lawmakers got shots in parliament on Tuesday – despite not necessarily being in priority groups.

“Upon confirmation of violation, World Bank may suspend financing for vaccines and support for COVID19 response across Lebanon!!” the World Bank’s regional director Saroj Kumar Jha tweeted, saying it would be a breach of the national plan.

“I appeal to all, I mean all, regardless of your position, to please register and wait for your turn.”

The World Bank’s reallocation of $34 million has enabled Lebanon to receive its first two batches of about 60,000 Pfizer-BioNTech doses this month. The bank had said it would monitor the vaccine rollout and warned against favoritism in Lebanon, where decades of waste and corruption brought a financial meltdown and protests.

‘SELFISH’

One lawmaker, who asked not to be named, told Reuters that some older current and former lawmakers, as well as administrative staff, were vaccinated in the parliament hall.

“What’s the big deal? … They’re registered,” he said, referring to an online platform for vaccines. He added that doses were also sent last week to the Baabda palace for President Michel Aoun and about 16 others.

Aoun’s office said it would issue a statement.

Deputy parliament speaker Elie Ferzli, who at 71 is not in the first phase priority group, tweeted that he got a shot.

The doctor who heads Lebanon’s COVID-19 vaccination committee, Abdul Rahman Bizri, said it was unaware vaccines would be sent to parliament. “What happened today is unacceptable,” he told reporters.

Around the nation, outrage spread.

“My grandfather is an 85-year-old decent man suffering from heart and cardiovascular problems. My grandfather is a priority and he still did not get the vaccine,” tweeted Jad al-Hamawi.

“What are you? Bunch of hypocrites. Selfish. Criminals.”

Jonathan Dagher added on Facebook: “As our loved ones gasp for oxygen in COVID-19 wards, MPs cut the line today to take the vaccine.”

The health ministry did not immediately comment.

A surge in infections since January has brought Lebanon’s death toll over 4,300.

(Reporting by Ellen Francis and Laila Bassam; Additional reporting by Maha El Dahan; Editing by Andrew Cawthorne)

Prominent Hezbollah critic killed in Lebanon

By Ellen Francis and Laila Bassam

BEIRUT (Reuters) – A prominent Lebanese Shi’ite publisher who criticized the armed Hezbollah movement was shot dead in a car in southern Lebanon on Thursday, the first such killing of a high-profile activist in years.

A judge following the case said the body of Lokman Slim had four bullets in the head and one in the back. A security source said his phone was found on the side of a road.

They said the motive remained unclear.

Slim, who was in his late 50s, ran a research center, made documentaries with his wife and led efforts to build an archive on Lebanon’s 1975-1990 sectarian civil war.

He spoke against what he described as the Iranian-backed, Shi’ite Muslim Hezbollah’s intimidation tactics and attempts to monopolies Lebanese politics.

His sister suggested Slim was murdered because of this. He was last seen after visiting a poet friend. His wife said he went missing overnight and did not answer his phone.

Hezbollah did not respond to a request for comment on his death, which the French ambassador and Lebanese officials, including the president, called “an assassination.”

Amnesty International, a top U.N. diplomat in Lebanon and the EU ambassador to the country, Ralph Tarraf, all demanded an investigation. “We deplore the prevailing culture of impunity,” Tarraf wrote in a tweet.

A Lebanese press freedom center, SKeyes, said it feared a cover-up of the crime and more attempts to eliminate “symbols of free political thought.”

The center was founded after a car bomb killed journalist Samir Kassir in 2005, at a time when a series of assassinations hit Lebanon targeting critics of Syria’s 15-year domination.

At Slim’s family home in Beirut’s southern suburbs, where Hezbollah holds sway, family members sat in shock. Some wept in silence. A relative said they found out about his death from a news alert while at a police station.

“What a big loss. And they lost a noble enemy too … It’s rare for someone to argue with them and live among them with respect,” his sister Rasha told reporters, without naming Hezbollah.

She said he had not mentioned any threats. “Killing is the only language they are fluent in,” she added. “I don’t know how we will go on with our work … It will be hard.”

‘A BIG LOSS’

In an interview last month on Saudi’s al-Hadath TV, Slim said he believed Damascus and its ally Hezbollah had a role in the port blast that ripped through Beirut in August, killing 200 people and injuring thousands.

Hezbollah has denied any links to the explosion.

President Michel Aoun, a political ally of Hezbollah, said he had ordered an investigation into the crime.

Slim’s criticism of Hezbollah faced rebuke from its supporters, who called him “an embassy Shi’ite,” accusing him of being a tool of the United States.

Washington, which classifies Hezbollah as terrorists, has ramped up sanctions against it to pressure Tehran.

Slim founded a nonprofit to promote civil liberties which received a grant under the U.S. Middle East Partnership Initiative and worked with an American think tank, leaked WikiLeaks diplomatic cables said in 2008.

In late 2019, Slim said people had gathered in his garden, chanting slurs and threats. His statement held Hezbollah’s leader responsible.

At the time, Slim also said he had received death threats after speaking in a debate at a Beirut camp that activists set up when protests against all the country’s political leaders swept Lebanon.

“His murder is a very big loss for Lebanon, for culture,” said Hazem Saghieh, a well-known Lebanese journalist. “He was one of a few who only knew how to speak his mind.”

(Additional reporting by Maha El Dahan, Alaa Kanaan and Beirut TV; Writing by Ellen Francis; Editing by William Maclean, Mark Heinrich and Giles Elgood)

Lebanon tightens lockdown, imposes 24-hour curfew, as hospitals buckle

BEIRUT (Reuters) – Lebanon announced a tightening of its lockdown on Monday, introducing a 24-hour curfew from Thursday as COVID-19 infections overwhelm its medical system.

The new all-day curfew starts at 5 a.m. (0300 GMT) on Thursday and ends at 5 a.m. on Jan. 25, a statement by the Supreme Defense Council said.

Lebanon last week ordered a three-week lockdown until Feb. 2 that included a nighttime curfew from 6 p.m. to 5 a.m.  But tighter measures were now necessary as hospitals run out of capacity to treat critically ill patients, President Michel Aoun said in the statement. “We have seen dreadful scenes of citizens waiting in front of hospitals for a chair or a bed,” he said.

The new measures also include stricter procedures at the airport for passengers arriving from Cairo, Addis Ababa, Baghdad, Istanbul and Adana. Travelers arriving from these destinations will have to quarantine for seven days at a hotel while all others will quarantine up to 72 hours. Overall air traffic at the airport will also be cut to 20% from normal operating levels and supermarkets will be limited to delivery services.

Anticipation of stricter measures on Monday had driven many Lebanese to wait in long queues in front of supermarkets and empty shelves.

Lebanon registered 3,743 new infections on Sunday, bringing its total to 219,296 cases and 1,606 deaths since Feb. 21.

Adherence to social distancing and other preventive measures has been lax prompting government fears of a significant rise in cases after the Christmas and New Year holidays.

Daily infections reached an all time high of 5,440 on Friday.

“Sadly we are being faced with a frightening health situation,” Caretaker Prime Minister Hassan Diab said. “The corona pandemic is out of control because of the stubbornness of people and their rebellion against measures we take to protect them from its dangers.”

The lockdown faces resistance amid concerns over soaring unemployment, inflation and poverty.

Lebanon is still dealing with a devastating financial crisis that has crashed the currency, paralyzed banks, and frozen savers out of their deposits.

Medical supplies have dwindled as dollars have grown scarce.

(Reporting By Maha El Dahan and Laila Bassam; Editing by Toby Chopra)

U.S. ready to mediate discussions between Israel and Lebanon -Pompeo

WASHINGTON (Reuters) – U.S. Secretary of State Mike Pompeo on Tuesday said the United States is ready to keep working with Israel and Lebanon on negotiations for a maritime boundary, as the countries struggle to come to an agreement.

“Regrettably, despite goodwill on both sides, the parties remain far apart,” Pompeo said in a statement.  “The United States remains ready to mediate constructive discussions and urges both sides to negotiate based on the respective maritime claims both have previously deposited at the United Nations. ”

(Reporting by Lisa Lambert; Editing by Alison Williams)

Lebanon sets starting point for sea border negotiations with Israel

BEIRUT (Reuters) – President Michel Aoun on Thursday specified Lebanon’s starting point for demarcating its sea border with Israel under U.S.-mediated talks, in the first public confirmation of a stance sources say increases the size of the disputed area.

Israel and Lebanon launched the negotiations last month with delegations from the long-time foes convening at a U.N. base to try to agree on the border that has held up hydrocarbon exploration in the potentially gas-rich area.

A presidency statement said Aoun instructed the Lebanese team that the demarcation line should start from the land point of Ras Naqoura as defined under a 1923 agreement and extend seaward in a trajectory that a security source said extends the disputed area to some 2,300 square km (888 sq. miles) from around 860 sq. km.

Israel’s energy minister, overseeing the talks with Lebanon, said Lebanon had now changed its position seven times and was contradicting its own assertions.

“Whoever wants prosperity in our region and seeks to safely develop natural resources must adhere to the principle of stability and settle the dispute along the lines that were submitted by Israel and Lebanon at the United Nations,” Yuval Steinitz said.

Any deviation, Steinitz said, would lead to a “dead end”.

Last month sources said the two sides presented contrasting maps for proposed borders. They said the Lebanese proposal extended farther south than the border Lebanon had years before presented to the United Nations and that of the Israeli team pushed the boundary farther north than Israel’s original position.

The talks, the culmination of three years of diplomacy by Washington, are due to resume in December.

Israel pumps gas from huge offshore fields but Lebanon, which has yet to find commercial gas reserves in its own waters, is desperate for cash from foreign donors as it faces the worst economic crisis since its 1975-1990 civil war.

(Additional reporting by Ari Rabinovitch in Jerusalem; Writing by Ghaida Ghantous; Editing by Janet Lawrence)