Lebanon: Government Personnel Spending: Scoping a Medium-Term Spending Envelope

This public sector pay mission scoped the available data and presents an indicative baseline and scenarios for reform. There is limited room for major increases in personnel spending and careful prioritization is needed.
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Volume/Issue: Volume 2026 Issue 009
Publication date: February 2026
ISBN: 9798229037334
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Topics covered in this book

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Labor , Economics- Macroeconomics , Public Finance , Taxation - General , Public Compensation , Public Administration , Wages , Wage adjustments , Employee contributions , Real wages

Summary

This public sector pay mission scoped the available data and presents an indicative baseline and scenarios for reform. There is limited room for major increases in personnel spending and careful prioritization is needed. If implemented in 2025, adjustments to pension benefits, expanded military and security sector recruitment, and a higher minimum wage for commercial public institutions would leave limited space, over the forecast horizon, for significant across-the-board increases in real wages.