World Bank report: Lebanon 'In the grip of a new crisis'

Lebanon has been suffering from an economic and financial crisis for more than four years, a political crisis, a presidential vacancy, and many institutional vacancies.

Additionally, the Israel-Gaza war has exacerbated the situation.

According to the new report by the World Bank titled "In the Grip of a New Crisis," Lebanon is facing a challenging situation.

According to the bank, if we go back before the outbreak of the war on October 7th, Lebanon's economy in 2023, for the first time in five years, was expected to show growth instead of deterioration, albeit modestly at +0.2%.

Furthermore, this was attributed to two main sectors: tourism, which grew by more than 25% in the first nine months of 2023, and transfers from expatriates, exceeding $6 billion annually.

However, this trajectory is unlikely to happen due to the war and developments in the south of Lebanon.

The bank predicts that the economy will diminish by the end of 2023 instead of growing, declining to below zero percent (between -0.6% and -0.9%).

Thus, there are concerns about Lebanon's economy, not only from the scenario of the war expanding but also from its continuation for an extended period.

Moreover, the state is not taking reform measures or planning to save the country from its crisis.