CORRECTED-Lebanon banking association says may withdraw from finance ministry talks

(Corrects headline and first paragraph to make clear the banking association was talking about talks with the finance ministry, not the IMF)

BEIRUT, July 23 (Reuters) - Lebanon’s banking association said on Thursday there was a possibility it would pull out of talks with the finance ministry and the government’s adviser Lazard, which aim to reach an agreement over a financial recovery plan.

“The atmosphere that prevailed at a meeting today at the finance ministry brought matters back to square one and does not encourage moving forward towards an understanding. ... Not continuing the negotiations on the part of the banking association is a possibility,” it said in a statement.

A second statement issued shortly after was almost identical but did not mention a possibility of withdrawing. (Reporting by Ellen Francis and Laila Bassam;)