James Denselow

After 13 months of deadlock during which time layers of the Lebanese state and society have accelerated into an economic tailspin, white smoke emerged from the halls of Lebanon’s political elites with the announcement of a new government.

Unlike the iconic scenes in Kabul weeks earlier, this important step in the right direction for Lebanon barely made the Western press. Visible and chaotic scenes can grab headlines whilst Lebanon’s insidious crisis is both too complex and too incremental for much of the world to get its head round.

Perhaps the richest man in the country is new Prime Minister and to him and his cabinet lies the epic task of reversing a series of events that have forced all three-quarters of the Lebanese population into poverty. “The situation is very difficult. But it’s not impossible if we united as Lebanese. We have to put our hands together,” Prime Minister Navin Mikati told the press on Friday. “We are all going to work together, united with hope and determination.”

An EU statement in response to the news of a new government outlined their belief that “all parties involved should show the same resolve and ability to compromise, to adopt without delay the measures needed to ensure that the immediate needs and further legitimate expectations of the Lebanese people are met.”

The British Foreign Secretary issued a similar call for the new government to “be followed by implementation of urgent reforms”, going on to warn the new Lebanese leadership that “the UK supports Lebanon, but we must see concerted action”.

Whilst many seasoned observers of Lebanese politics are envisioning low expectations as to what the new government can and will do, there can be little doubting the scale of the challenge and its urgency. "We will tackle solutions to the fuel and medicine shortages in order to end the humiliation" to the population, Prime Minister Mikati said during the first meeting of the new leadership.

Tackling fires whilst attempting to address the root causes to Lebanon’s political wildfire crisis is the order of the day. Massive reforms and changes to the way the country is governed are clearly needed, but will a group of politicians who’ve emerged from the traditional months long horse-trading over control over ministries and patronage be the ones to deliver perhaps the most radical overhaul of Lebanese politics in the country’s history?

If the new government can stop hospitals having to switch off their ICU notes and protect the currency from sliding into complete worthlessness, the macro ambition is to unlock IMF support and the serious money that comes with it. Already the news has come through that Lebanon is to receive $1.135 billion in what are described as "Special Drawing Rights (SDRs)" from the International Monetary Fund to help the crisis-hit country tackle its deep economic depression.

Yet bigger money requires bigger reforms and herein lies the existential question facing this new cohort of Lebanese leaders. They are essentially products of a political system that they are now being asked to destroy in order to save the country. That’s the question at its most stark.

In its subtler forms the debate hinges on whether the IMF and the international community will settle on commercial banking reform and a restructuring of the Lebanese public sector, but even these are vast issues for a political team formed from consensus politics and prone to collapse for all the reasons that it took thirteen months to form.

Collapse would seem more likely than success unless those backers of each and every new Cabinet member realise the zero sum nature of that gamble if the country becomes essentially unliveable; with no fuel, no electricity, no infrastructure and a currency that is literally not worth the paper it is printed on.

A third alternative to success or collapse is increased competition along more historic sectarian lines. We’ve already seen how the politicisation of the country’s attempt to secure fuel has brought in Iranian tankers, US diplomats and a Lebanese delegation to Syria. Further unhelpful regionalisation or internationalisation of the crisis risks taking events into uncharted territory where prospects of violence become much more real. So the jury is now out for a critical few weeks and months that should tell us which way Lebanon is heading next.

by: James Denselow

James Denselow,

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BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).

Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.