U.S. treasury official urges Lebanon to prevent funding flow to Hamas
US Deputy Assistant Secretary of the Treasury Jesse Baker urges Lebanese authorities to stop money flowing to Hamas via Lebanon during visit to region
During a major visit, Jesse Baker, the US Deputy Assistant Secretary of the Treasury for Asia and the Middle East, reportedly urged Lebanese authorities to stop money from flowing to Hamas via Lebanon.
Baker spoke with lawmakers and banking industry leaders in Lebanon on Thursday and Friday during his tour. Among other things, he discussed the need for decisive steps to stop the flow of money linked to Hezbollah and Hamas.
Baker’s visit falls in line with the impasse in the talks between Israel and Hamas on a cease-fire in Gaza. There are still worries that if the fighting continues into the approaching Muslim holy month of Ramadan, it may spark more regional escalation, notably in Lebanon, where Hezbollah and Israeli troops have been engaged in intermittent fighting for more than five months.
Speaking under anonymity, a Treasury official revealed that Baker voiced “specific concerns” about the flow of money associated with Hezbollah and Hamas, emphasizing the need for Lebanon to prove that it complies with international anti-money laundering and counterterrorism financing regulations.
The official underlined how important financial compliance is to bringing in investment and solving Lebanon’s ongoing economic problems. Over the last four years, Lebanon’s official banking system has collapsed gradually, creating a sizable cash economy and a profusion of illegal financial service providers.
Baker emphasized the need of taking tough measures against illicit financial activities, such as money transfer operations without a license and unlawful money exchange, which have given organizations like Hezbollah and Hamas ways to evade US sanctions.
Hamas representative in Lebanon, Walid Kilani, responded to questions by saying he had “no information” about the situation. The central bank of Lebanon’s spokeswoman, Halim Berti, said that the talks went well and reaffirmed the bank’s commitment to overseeing financial services that are regulated, even as he acknowledged the difficulties presented by unlicensed businesses operating outside of its purview.
Lebanon’s capacity to resolve the issues brought up by Baker could be crucial to its attempts to draw in foreign capital and get through its lengthy economic crisis in the face of continuing tensions in the region.
Source: AP
