Cracking down on smuggling: Key reform for Lebanon’s economy

Report by Bassam Abou Zeid, English adaptation by Karine Keuchkerian

Controlling smuggling and increasing customs revenues is one of the reforms required both locally and internationally. While the army works to close illegal land crossings along the border with Syria, the Ministry of Finance and the Customs Administration are working to regulate legal land, sea, and air crossings.

The Customs Administration needs to strengthen its capabilities, including personnel, patrol vehicles, and modern detection equipment, particularly at land crossings. 

Currently, there is only one scanner at the Masnaa border crossing, which does not have the technical capacity required for such a facility. Available information indicates gaps at this crossing that allow smuggling to continue.

Customs revenues, which include customs duties and VAT, reached approximately $1.681 billion last year. In 2025, through the end of August, revenues reached $1.454 billion. Revenues could be increased through further anti-smuggling measures.

It cannot be denied that Lebanon needs funding from countries and donor institutions, but the amount could be lower than widely reported if the economy and investment were to function properly and if corruption and tax evasion were controlled.

Additionally, appointments within the Customs Administration need to be addressed to prevent the agency from being subjected to political interference.