A recent report from the World Bank revealed that poverty in Lebanon has more than tripled in the past decade, with 44% of the population now living below the poverty line. The study, conducted in five of the country’s eight governorates, highlighted stark differences in poverty rates across different regions, with Beirut experiencing a decrease in poverty levels while the neglected Akkar region saw a significant increase.
The report also shed light on the impact of the financial crisis on Syrian refugees in Lebanon, with an alarming 87% of them living in poverty. When considering factors like access to electricity and education, 73% of Lebanese and 100% of non-Lebanese residents were classified as poor.
Since the economic crisis began in 2019, Lebanon has been grappling with a currency collapse, soaring inflation, and a plummeting GDP. Many Lebanese have seen their life savings disappear, as the currency lost 95% of its value and banks restricted access to deposits. The IMF has been seen as a potential lifeline for the country, but progress on reforms necessary for a bailout has been slow.
During a recent visit to Beirut, an IMF delegation noted some progress in monetary and fiscal reforms but stated that more action is needed for a meaningful recovery from the crisis. The head of the IMF mission highlighted the additional challenges facing Lebanon, including the ongoing refugee crisis, border conflicts with Israel, and the spillover effects of the war in Gaza.
Overall, the report paints a grim picture of Lebanon’s economic situation, with urgent action needed to address the deepening poverty and economic instability affecting the country and its residents.
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