How is the economic in Lebanon?

How is the economic in Lebanon?

In fact, Lebanon’s GDP plummeted from about US$55 billion in 2018 to a projected US$20.5 billion in 2021, while real GDP per capita fell by 37.1%. Such a brutal contraction is usually associated with conflicts or wars. Meanwhile, inflation rate averaged 131.9% over the first six months of 2021 (6M-2021).

What rank is Lebanon economy?

Lebanon is ranked 12th among 14 countries in the Middle East and North Africa region, and its overall score is below the regional and world averages. The Lebanese economy is rated mostly unfree for the ninth year in a row. Lebanon’s already feeble political institutions were further weakened in 2020.

Is Lebanon a poor country 2020?

In an earlier report, published one year ago, ESCWA found that between 2019 and 2020, the headcount poverty rate had already jumped from 28% to 55%. According to the last update, the multidimensional poverty rate in Lebanon has nearly doubled from 42% in 2019, to 82% in 2021.

Why is Lebanon’s economy collapsing?

Shortages of basic supplies, including fuel and medicine, and restrictions on bank withdrawals and transfers, particularly in foreign currency, have increased the desperation of the Lebanese in the once middle-class country.

How much is Lebanon debt?

In 2020, the national debt of Lebanon amounted to around 95.49 billion U.S. dollars.

What is Lebanon main source of income?

Tax revenues are an important source of income for the Lebanese government, among which domestic taxes on goods and services and income tax are the most significant.

Where does Lebanon get its money from?

Lebanon for years has relied on remittances from millions of expatriates living in its diaspora, especially in the Gulf, to replenish hard currency. Some 43 percent of remittances come from the Gulf, according to the World Bank.

How much is Lebanon in debt?

How poor is Lebanon?

The UN estimates that 78 percent of the Lebanese lives below the poverty line – some three million people – with 36 percent of the population living in extreme poverty. The Lebanese pound has lost 90 percent of its value against the dollar amid Lebanon’s economic meltdown over the past two years.

Is Lebanon going to default?

Lebanon defaulted on its international debt in March 2020, after years of political upheaval and economic mismanagement left it unable to service a debt burden that was then worth more than 170% of GDP.

What is Lebanon economic growth?

GDP Annual Growth Rate in Lebanon averaged 2.94 percent from 1971 until 2019, reaching an all time high of 83.28 percent in the fourth quarter of 1977 and a record low of -56.99 percent in the fourth quarter of 1976.

Is Lebanon rich in resources?

Lebanon has various mineral products which include limestone, gypsum, oil, natural gas, and salt. Other important commodities include semiprecious gemstones and pearls among others.

Why is Lebanon’s economy failing?

Lebanon is enduring a severe, prolonged economic depression: real GDP growth contracted by 20.3% in 2020 and inflation reached triple digits, while the exchange rate keeps losing value. Poverty is rising sharply. The banking sector, which informally adopted strict capital controls, has ceased lending and does not attract deposits.

What happened to Lebanon’s GDP in 2020?

The World Bank estimates that in 2020 real GDP contracted by 20.3 percent, on the back of a 6.7 percent contraction in 2019. In fact, Lebanon’s GDP plummeted from close to US$55 billion in 2018 to an estimated US$33 billion in 2020, while GDP per capita fell by around 40 percent in dollar terms.

How can Lebanon’s New $25 million grant help preserve jobs?

For nearly 18 months now, Lebanon has been assailed by compounded crises—specifically, an economic and financial crisis, followed by COVID-19 and, lastly, the explosion at the Port of Beirut on August 4, 2020. A new $25 million grant will support micro and small enterprises affected by the Port of Beirut blast and help preserve jobs.

How will Lebanon’s recession be reversed?

Lebanon’s recession is likely to be arduous and prolonged given the lack of policymaking leadership and reforms. Macroeconomic stabilization is a key prior action for Lebanon’s recovery process.