Israel's next mission: stopping Hezbollah's takeover of Lebanon's treasury

The article examines the economic struggle between Israel, Lebanon, and Hezbollah after the ceasefire. The central bank governor revoked the license of an Iranian bank, and the Shiite community opposes this. INSS researchers warn that reconstruction funds could leak to Hezbollah through Shiite ministers in the government.

The article analyzes the economic struggle between Israel, Lebanon, and Hezbollah after the April 2026 ceasefire. In July, Hezbollah attempted to rehabilitate a bank branch in Tyre, but local traders opposed it for fear of Israeli bombings. On October 15, the governor of Lebanon's central bank revoked the license of the Iranian bank 'Sadarat Iran', which the US supports as a terror supporter. The Shiite community demanded the decision be annulled. Lebanon's economy is expected to contract by 6.4% in 2026 with 17.5% inflation, and war damage is estimated at over $27 billion. INSS researchers warn that reconstruction funds could leak to Hezbollah through Shiite ministers in the government. Israel prefers US-Israeli oversight of aid, not European, learning from UNIFIL's operations which are set to end in about two months.