What Role Can Elon Musk Play in Lebanon’s Government Formation?

Lebanon is witnessing the genesis of a new political chapter, yet the discussion within the halls of power is merely regarding who gets what ministry; classified as sovereign/services ministries that attract the most competition, whereas other ministries are “consolation prizes”; however, these ministries can transform a nation crippled by corruption and inefficiency to a productive entity collectively.

As an unexpected twist from the tech world to bureaucracy, Elon Musk has been appointed as head of the Department of Government Efficiency (DOGE), seeking a modern approach to governance. Much like his influence in the private sector, Musk's initiative of DOGE should present a unique opportunity to annihilate Lebanon’s mechanisms of corruption and inefficiency. Accordingly, could we adopt DOGE “à la libanaise”?

DOGE “à la libanaise”?

If reform is genuinely pursued, the Ministry of Administrative Development should be the first between equals of ministries in the “political auction”. In a country where corruption drains a staggering $4.5 billion annually from the economy, a golden opportunity to deviate from decay to dynamism is present, through shifting to digital governance.

In a country where corruption drains a staggering $4.5 billion annually from the economy, a golden opportunity to deviate from decay to dynamism is present, through shifting to digital governance.

The new ministry’s strategy for digitalization shall include the automation of several governmental processes:

• Transitioning from paper-based to electronic registries for registrations and records amendments will cut down on bureaucracy and open doors to transparent governance through limiting discretionary powers and therefore bribery.

• Implementing online systems for governmental contracts and procurement processes will promote fair practices, eliminate undue discretion by officials, and encourage competition from small and medium enterprises by making tendering processes more accessible.

• Using blockchain to secure judicial documents ensures that each transaction and amendment is recorded indelibly, reducing the risk of corruption and enhancing transparency.

• Overhauling tax and customs with digital solutions can streamline operations, prevent tax evasion, and tackle smuggling effectively.

• Introducing digitalized instruments in recruitment processes to eliminate nepotism in favor of merit.

• Shifting towards e-payments for government fees and taxes to enhance transparency and effectiveness.

With the involvement of the local private sector as regulated in Law No. 48/2017 regarding Public-Private Partnerships (PPP), the above-mentioned measures will significantly reduce the corruption and inefficiency present in the Lebanese bureaucracy. For instance, TEDMOB SAL is a Lebanese corporation that has developed the Ogero Lebanon application locally and HASIBATI for the Saudi Electricity Company; and within the apps, the same efficient and effective payment methods utilized by the private entities provided by Areeba could be embedded to facilitate the payment for various public services.

The digital revolution – hopefully – conducted by the Ministry of Administrative Development is expected to have wide-reaching effects. Transparent and efficient governance will make Lebanon a more attractive destination for investment, both domestic and international. When citizens see their government working efficiently and transparently, trust is restored, which is fundamental to build a vibrant economy and to the social contract between the state and its people, in addition to improving the credibility of the Lebanese government and thereby moving it away from grey lists of financial compliance.

If Lebanon could achieve a minimum 10-20% reduction in corruption and inefficiency-related losses through digitalization, this could translate into savings of $450 million to $900 million annually, which could be employed in profound investments in the infrastructure projects or remunerate debtors of the government and eventually remit the depositors their lost funds.

A minimum 10-20% reduction in corruption and inefficiency-related losses through digitalization could translate into savings of $450 million to $900 million annually.

As Lebanon stands on the brink of a crucial transformation, the refurbishment of the Ministry of Administrative Development within a visionary leadership represents more than just an administrative shift to modern technological means but also a profound opportunity for systemic change. This ministry, once perceived as a peripheral entity in the political field, now has the potential to lead Lebanon’s Chehabi-like administrative renaissance and serve as a catalyst for the Lebanese economy’s prosperity.