War revives debate over partial sale of Lebanon’s gold to fund return of deposits

BEIRUT — Long considered taboo, the possibility of selling part of Lebanon’s gold reserves is now the subject of discreet discussions within the Cabinet. Behind the shift lies the economic fallout from the war between Israel and Hezbollah, which is undermining one of the key pillars of the draft financial restructuring and deposit recovery law.According to L’Orient Today’s information, several government officials are exploring different scenarios to preserve the ‘gap resolution’ draft law’s flagship promise: repaying up to $100,000 per depositor over four years. Prime Minister Nawaf Salam has repeatedly framed the pledge as the social core of banking reform. The cost of repaying nearly 782,000 accounts holding less than $100,000 — around 84% of all accounts — was estimated at $20 billion, with Banque du Liban (BDL, central bank)...