$250 million loan marks start of Lebanon’s major reconstruction efforts—the details

 
Early next week in Beirut, Finance Minister Yassine Jaber and Jean-Christophe Carret, the World Bank’s regional director for the Middle East, will sign a $250 million loan agreement dedicated to rebuilding infrastructure, restoration, and clearing the remaining rubble from the Israeli assault. The loan will be subject to parliamentary approval in early September.

This loan serves as seed funding for a $1 billion financing program known as LEAP, which will launch reconstruction and recovery efforts. The remaining $750 million is expected to come in the form of grants from international entities and organizations. 

An initial installment of 75 million euros has already been provided by Paris, while $20 million from Iraq has been transferred through the relevant ministries.

What about the overall reconstruction process, estimated at about $7 billion—$4 billion for residential buildings, $1 billion for infrastructure, and $2 billion for economic institutions?

Clearing debris and rubble began months ago. The Finance Ministry has transferred 600 billion LBP to the Council for South Lebanon to advance this effort, and another 200 billion LBP to the Higher Relief Commission to complete debris removal.

A separate $40 million loan is allocated for agriculture, benefiting southern farmers in areas affected by erosion, fire, or phosphorus. 

In addition, the $250 million electricity loan recently approved by Parliament will also benefit the south, alongside other regions, by repairing transmission networks to reduce technical losses.