Empresas y finanzas

Arab mediators expected to seal Lebanon deal

By Tom Perry

BEIRUT (Reuters) - An Arab League delegation is expected toconclude a deal to end fighting in Lebanon on Thursday afterthe U.S.-backed government backed down in a conflict withHezbollah.

The delegation is expected to announce talks in Qatar toresolve a broader political conflict that has paralysed Lebanonfor 18 months and is seen as a proxy struggle between theUnited States and Iran, which supports the Hezbollah movement.

Washington's allies in Lebanon's ruling coalition weredealt a severe blow by Hezbollah in a military campaigntriggered by government decisions last week which the Shi'itemovement said were a declaration of war.

The government cancelled the measures on Wednesday, meetingone of Hezbollah's demands and easing tension in Beirut, whichthe group briefly controlled during the campaign that triggeredfighting with Sunni and Druze government supporters.

At least 81 people were killed in the fighting, the worstamong Lebanese since the 1975-90 civil war.

Hezbollah, which leads an alliance of opposition factions,also demanded the ruling coalition agree to talks as acondition for ending a civil disobedience campaign which hasincluded roadblocks that have paralysed the capital.

The roadblocks, including barricades on the airport road,are expected to be lifted on Thursday after the Arab Leaguedelegation, headed by the prime minister of Qatar, announcesagreement on the talks to be held in Doha. The delegation wasalso to meet Hezbollah leaders at noon (0900 GMT).

The talks will tackle the dispute over how to share powerin the cabinet and the details of a new parliamentary electionlaw. It is not clear when they will begin. The row hasparalysed much of government and left Lebanon with no presidentsince November.

The dispute is seen as a struggle for influence betweenSyria, which backs the opposition, and Saudi Arabia, whichsupports the ruling coalition. Any deal would result in armycommander General Michel Suleiman being elected head of state.

The United States has blamed the trouble in Lebanon onIran, Syria and Hezbollah -- a political movement with apowerful guerrilla army.

Iran blames the United States for the violence, whicherupted after government action to outlaw a communicationsnetwork vital to Hezbollah's military and security wings.

The ruling coalition accuses the opposition of trying torestore Syrian control of Lebanon and secure a strongerfoothold for Iran in the country.

Syria dominated Lebanon until 2005, when the assassinationof statesman Rafik al-Hariri triggered international pressurethat forced it to end its military presence after nearly threedecades and plunged the country into crisis.

(Additional reporting by Laila Bassam; Editing by RichardMeares)

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