FLagarde: France extends Lebanon debt repayment

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French Finance Minister Christine Lagarde announced on Friday a one-year extension on a 225 million euro (323 million dollar) loan to Lebanon agreed in January 2007, pending economic reforms.

“France will extend for one year the loan agreed to as part of the Paris III accords for the reconstruction of Lebanon,” Lagarde told reporters during her visit to Beirut where she was accompanied by 23 French business leaders.

The extension until December 2010 “will allow Lebanon to meet, with an additional delay of one year, the conditions for the release of the second tranche…(namely) the liberalization of the mobile phone sector and the privatization of the electricity sector,” she added.

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