Lebanon’s Finance Ministry defends fuel tax before State council

Tuesday 19 August 2025 - 17:30

By: Sahili Aya

Lebanon’s Finance Ministry defends fuel tax before State council

Lebanon’s Finance Minister, Yassine Jaber, has formally submitted a statement to the State Council defending the government’s decision to impose a tax on certain fuels and allocate the revenue to support the Lebanese army, according to an informed source at the Finance Ministry.

The minister described the submission as a “normal” step to present the executive branch’s position before the country’s highest administrative court. The State Council had suspended the tax in July following a legal challenge filed by the Lebanese Forces, pending a full review of the case.

The Finance Ministry source indicated that the minister argued the government retains the authority to intervene in customs matters under Law No. 93 of October 10, 2018, extended by subsequent legislation that temporarily suspended the application period. Finance Minister Jaber and Defense Minister Michel Menassa agreed that army support should continue to be funded by the fuel tax.

Lebanese soldiers are currently deployed to reinforce security along the Syrian border, following last year’s regime change in Syria, and to assist in disarming local militias, including Hezbollah and those in Palestinian camps. However, soldiers’ salaries have suffered significantly since the Lebanese pound’s devaluation and have not been fully adjusted to compensate for the loss in purchasing power.

The fuel tax initially sparked public outcry when adopted by the Council of Ministers. It was in effect for roughly six weeks before being suspended by the State Council.