HomeBusinessLebanon pays price as war costs exceed $5B, damage set to soar

Lebanon pays price as war costs exceed $5B, damage set to soar

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The World Bank reported Thursday that greater than a 12 months of escalating clashes, which have now devolved into struggle, has value Lebanon over $5 billion in financial losses and induced vital injury to just about 100,000 houses.

Since Sept. 23, Israel has intensified its air marketing campaign in Lebanon, later deploying floor troops after almost a 12 months of restricted cross-border exchanges initiated by Hezbollah in response to the newest Gaza battle.

The World Bank’s report offered injury estimates for the interval between Oct. 8, 2023, and Oct. 27, 2024, stating that “the conflict has caused $5.1 billion in economic losses,” with bodily injury to constructions amounting to “at least $3.4 billion” on high of that.

The losses are “largely concentrated in the commerce, tourism, and hospitality sectors… as well as in the agriculture sector,” the report stated.

“The final cost of damage and losses for Lebanon associated with the conflict is expected to significantly exceed those presented in this assessment,” the report added.

The battle has additionally “damaged an estimated 99,209 housing units,” primarily in Lebanon’s war-torn south close to the border with Israel, totaling $2.8 billion in damages.

Eighty-one% of the broken and destroyed houses are situated within the Tyre, Nabatiyeh, Saida, Bint Jbeil, and Marjayoun districts.

The World Bank estimates that the battle will lower Lebanon’s actual GDP progress for 2024 by not less than 6.6%.

Lebanon had already been reeling since 2019 from a extreme financial disaster that pushed many of the inhabitants into poverty.

“This compounds five years of sustained sharp economic contraction in Lebanon, which has exceeded 34% of real GDP, effectively losing the equivalent of 15 years of economic growth,” the World Bank stated.

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