“The difficult situation facing the country, people, and government is largely the result of the fiscal and economic crisis which is a painful fact and the main concern in every dwelling and for every citizen... It is not beneficial for us to keep asking whether the crisis was a storm that swept us by surprise or the outcome of mistakes that accumulated and finally exploded. There is also no sense in wasting our time looking for the culprits and those responsible, because our duty at the moment is to head off the deterioration [of the socio-economic situation] and push aside the spectre of a breakdown... Nevertheless, we are not facing a fatal catastrophe.. or a hopeless case; on the contrary, we are as far as we can be from despair, surrender, or panic... Taking into consideration the gravity and sensitivity of the [socio-economic] situation, we hereby lay emphasis on the following questions in order of priority:

“This subject will top the priorities of the Government because of its importance and impact on the national economy. We are duty - bound not to underestimate the resources and capabilities upon which Lebanon’s fiscal and economic infrastructure relies. The foundation is solid and, if properly exploited and reinvested, it will help revive the economy in conjunction with the expertise and skills of the Lebanese, which qualify them to get back on their feet and rebuild their country. The pivotal fiscal problems which we are facing is the growing budget deficit and rising public debt which have been increasing day after day. It is natural that the deficit will reflect adversely on the exchange rate of the national currency, especially since we import most of our consumer needs. Therefore, it is most urgent that we follow an austerity policy in public, as well as in private spending, and confine spending to urgent and essential projects.

“Simultaneously, the Government will reactivate the departments in charge of collecting state revenues and will modernize the taxation system and the apparatus for levying taxes... At the same time, we will create an appropriate atmosphere to encourage foreign investment in Lebanon. This will include improving transportation facilities and telecommunications services, consolidating peace and security by all possible means, and collecting taxes and custom fees... All this is bound to create more job opportunities for our youth residing in Lebanon and those who are outside the country, hopefully, only temporarily..

“We do no need to mention that prosperity and development imply a growth in production, and that the two main factors of production are capital and labor. The option of privatization will be considered under specific and well-studied conditions which will maintain government control and supervision. We will also work on consolidating legitimate control over outlets and curbing smuggling by all available means. Moreover, the Government is determined to follow through on fulfilling the promises made by brotherly Arab states and foreign countries to provide aid and assistance for Lebanon’s reconstruction, and we will work on strengthening the banking sector with a view to encouraging the flow of foreign and Arab investment into Lebanon.

“There is no doubt that the public administration is in a shambles and needs urgent reforms with regard to modernizing its performance and improving the quality of its personnel. It is most urgent that we put into effect an overall plan for civil service reforms. The implementation of these reforms will hear fruit in the near future with the restoration of a balance in the public budget and the curbing of inflation. the foreign debt is not large enough to pose any serious danger and can be serviced fairly easily, but the main concern lies in the domestic public debt that has expanded alarmingly.

“As part of its determination to put into effect economic and fiscal policies, the Government will take into account the social consequences of these policies, and will be certain to safeguard labor rights and boost industrial and agricultural productivity. It will also seek to improve public services, including public health, communications, transportation, housing, public works, water, and electricity.

“The Government strongly condemns the continued Israeli occupation of parts of Lebanese territory and repeated (Israeli) aggression against the security of our people. It will work for the liberation of all national territory by completing the Army’s deployment to the internationally-recognized border. We emphasize the right of the Lebanese people and government to counter the occupation and to work for liberation by all means in accordance with the Charter of the United Nations and the Universal Declaration of Human Rights. We shall work in unison with our Arab brothers to confront Israeli intransigence and procrastination with regard to implementing international resolutions, especially resolutions 242 and 338, and granting the Palestinian people their right to self-determination.

“In order to bolster democracy and the parliamentary system of which we are proud and keen to safeguard, and with a view to speeding up moves to eliminate political confessionalism, and in line with the provisions of the Taif Agreement, the Government announces that it will be ready to hold general elections in the summer of 1992 and to endorse the necessary draft laws needed to complete that task. Nevertheless, the final decision in that respect remains in the hands of the Parliament.

“The return of the displaced Lebanese to their homes and properties is the basis of national reconciliation and at the core of the spirit of the Taif agreement on reunification and coexistence. The Government, with the assistance o Parliament, and with the help of well-mentioned initiatives from religious and political leaders, will spare no effort to reach a happy ending to this issue.

“The Government strongly affirms its genuine intention to complete the implementation of treaties defining the distinctive relations between the two brotherly countries, Lebanon and Syria. We will work together in a spirit of solidarity to achieve the mutual interests of both states.

“In line with our commitment to the terms of the national reconciliation pact, the government will submit to the Parliament a draft law on citizenship.

“The Government is determined to improve the state’s information services and media outlets within the limits of the law, and within the framework of responsible [press] freedom to serve the objectives of national reconciliation and the country’s supreme interest.”