PARIS, 26 January 2007 — International donors pledged $7.62 billion in aid, loans and other help yesterday for war-scarred Lebanon and the economic reform plans of its prime minister. Out of this, Saudi Arabia, a regional heavyweight, alone announced a contribution of $1.1 billion.
“I have the pleasure of announcing that the government of the Kingdom has decided to give new aid totaling $1.0 billion,” Saudi Foreign Minister Prince Saud Al-Faisal said, adding that there would be an additional $100 million gift to support the Lebanese budget.
The money was pledged at a donor conference in Paris. The host, French President Jacques Chirac, announced the dollar figure after the more than 40 nations and financial institutions attending took turns over four hours in announcing their contributions.
The aid was toward the top end of what analysts had expected and was a rich reward for Lebanese Prime Minister Fouad Siniora, who took the risk of traveling to Paris while his government is locked in a power struggle with Hezbollah and its allies.
Donors said they wanted to help Lebanon tackle its debt and the pressing task of rebuilding the devastation from last summer’s war between Hezbollah and Israel that left parts of southern Lebanon in ruins.
They also sent strong signals of support for Siniora’s fragile elected government and blended aid announcements with warnings that Lebanon’s difficulties could, if left unresolved, thwart hopes for peace in the Middle East. “Everyone knows that Lebanon’s stability is decisive for the entire region’s stability,” Chirac said.
“The cost of failure is too great to contemplate,” Siniora said. “Your support will be essential in seeing Lebanon through.”
Chirac played auctioneer, pressuring participants to give. He gently chided Japan for not giving more than $11 million, and checked whether other pledges were in dollars or euros.
“Be brief, be good and be generous,” he said. Lebanon “more than ever needs the unanimous international support of the international community.”
Announcing Saudi Arabia’s contribution, Prince Saud said the Kingdom had been providing substantial aid to Lebanon since the Taif Agreement in the early 90s. It included a total of $3.4 billion as grants and soft loans.
The prince urged all parties in Lebanon to strive to end internal squabbles by exercising self-restraint. The Saudi foreign minister also called on all Lebanese groups to protect the national unity of the country by eschewing confrontations and adopting dialogue as a means to resolve differences.
