Lebanon's economy, already sinking before the explosion that knocked out its main port, could now shrink by double the rate previously forecast for this year, making it even harder to secure the financing the country needs to get back on its feet.
AMMAN - Lebanon’s economy, already sinking before the explosion that knocked out its main port, could now shrink by double the rate previously forecast for this year, making it even harder to secure the financing the country needs to get back on its feet.
Lebanese officials have estimated losses due to the blast, which killed 150 people, left thousands injured and rendered tens of thousands homeless, could run into billions of dollars. While there has been an outpouring of sympathy for the country this week, there has been a notable absence of aid commitments so far, beyond urgent humanitarian aid.
“It’s highly unlikely that Lebanon will be able to unlock the financing that it needs to overcome its fundamental economic problems. Some partners may be reluctant to provide support given the influential role of Iran-backed Hezbollah in the Lebanese government,” said Jason Tuvey, senior emerging markets economist Capital Economics.
Economists predict more erosion in the purchasing power of the pound, which has lost nearly 80% of its value since October with skyrocketing inflation topping 56%, accentuating social tensions. Businessmen and economists say the port - one of the biggest in the eastern Mediterranean and where over 40% of transshipments went to Syria and the Middle East region - has already lost revenues and business since the blast to other rival ports as shipping lines divert transit cargo.
Deutschland Neuesten Nachrichten, Deutschland Schlagzeilen
Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.
Lebanon's economy was already in crisis. Then the blast hit BeirutIn the past year, a breakdown Lebanon's banking system and skyrocketing inflation had triggered mass protests. Even before the Covid-19 pandemic hit, the World Bank projected that 45% of people in Lebanon would be below the poverty line in 2020.
Weiterlesen »
Beirut port explosion: A crippling blow to Lebanon’s food securityLebanon imports 80 percent of its food supplies and the Port of Beirut was a vital lifeline for the country’s grain imports, storing 85 percent of its cereals.
Weiterlesen »
Lebanese Bride Almost Hit By Explosion While Filming Wedding VideoIsraa Seblani said the shockwave from the blast nearly blew her off her feet.
Weiterlesen »
World Bank says ready to mobilize financing for Lebanon blast recoveryThe World Bank Group said on Wednesday it stands ready to assess Lebanon's damage and needs after a devastating Beirut port explosion and will work to help mobilize public and private financing for reconstruction and recovery.
Weiterlesen »
Lebanon mourns victims of devastating blast, searches for missingLebanon mourned on Thursday the victims of the most powerful blast to hit the country that was already being crushed by an economic crisis, as rescuers searched for those missing since the explosion that flattened Beirut port and devastated the city.
Weiterlesen »
Factbox: Countries rally round Lebanon after Beirut blastCountries and international organisations have lined up to help Lebanon after a massive warehouse explosion sent a blast wave across Beirut, killing at least 145 people and injuring nearly 5,000.
Weiterlesen »