New Government: Key Implications

July 2008 | Political Risk Analysis

The formation of a government is a good sign for Lebanon, and our short-term political risk rating has risen slightly from 38.5 to 41.9 as a result. However, in reality, the new cabinet is only a caretaker administration until the 2009 elections (currently scheduled for April). Although it may (and we stress may) herald a period of relative stability, we do not expect the new Siniora administration to take any major decisions, political or economic, in the run-up to the polls. In the mean time, we note a few key

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