Lebanon: From Bad to Worse and Worst

Report: 16 to 25 June 2021

Security agencies warned the Lebanese government of security breaches if something is not done. Unfortunately, Lebanese leaders remain indifferent.  Photo credit: MTV.

Security agencies warned the Lebanese government of security breaches if something is not done. Unfortunately, Lebanese leaders remain indifferent.  Photo credit: MTV.

Mostly all nations covered by this publication have scored positive developments, despite the obstacles they have faced. Even Palestine is receiving the assistance it needs in terms of reconstruction and sustainable development to its economy. However, the case is not the same for Lebanon; it is still in the “deliberate depression” phase whereby there is no signs of relief. Lebanon, the heart of the ME, is sinking and many of its rulers seem content to watch such a spectacle. If international actors do not intervene on a deeper and impartial scale, Lebanon sinking deeper into its problems will have profound socioeconomic and security effects on the whole region.  


1- The socio-economic situation


Egypt

Corona cases, deaths and recovered are distributed as follows:

-279,184 corona confirmed cases

-208,192 recovered

-16,002 deaths

Egypt’s Minister of International Cooperation Rania Al-Mashat and the World Bank’s country director for Egypt, Yemen and Djibouti Marina Wes. June 20, 2021, ahramonline.

Egypt’s Minister of International Cooperation Rania Al-Mashat and the World Bank’s country director for Egypt, Yemen and Djibouti Marina Wes. June 20, 2021, ahramonline.

Throughout the recent years, Egypt has benefitted from the great financial support it gained from international organizations by bolstering up the economy and initiating new massive projects. However, the country’s leadership doesn’t seem intent on stopping any time soon. Instead, Egypt’s Minister of International Cooperation Rania Al-Mashat convened with the World Bank’s country director for Egypt, Yemen and Djibouti Marina Wes, to secure funding to finance the country’s second wave of economic reforms that focus on structural reforms. The negotiations were expected to concentrate on Egypt’s financial stability, green recovery, private sector participation and boosting women’s participation in the economy.

The economic reform program also had positive implications on the nation’s trade. As such, non-oil exports rose by 50% in May when compared to the previous year siting a major success in Egypt’s effort to diversify its economy. Industries that witnessed an increase in production were: Medical, leather, engineering and electronic goods sectors. Other successes that Egypt was able to achieve, was the launching of direct flights for the first time from Cairo to Montreal, which will help the Egyptian tourism sector and boost foreign investments.  

Jordan

Corona cases, deaths and recovered are distributed as follows:

-748,685 corona confirmed cases

-732,475 recovered

-9,703 deaths

Jordan is trying to reboot its tourism industry with a set of measures that would partially decrease the economic burdens on business owners. March 17, 2020, (AFP).

Jordan is trying to reboot its tourism industry with a set of measures that would partially decrease the economic burdens on business owners. March 17, 2020, (AFP).

This month, Jordan stumbled upon some positive economic developments that would surely ease its reform process and allow the leadership to tackle the various socioeconomic challenges gripping the nation. For instance, the World Bank approved the launching of a US$500 million Program to prepare public and private investment in Jordan for a green and inclusive recovery from the COVID-19 pandemic. The Asian Infrastructure Investment Bank (AIIB) is also preparing an additional US$250 million in financing to support the Program. All of this is dubbed as the World Bank’s Inclusive, Transparent and Climate Responsive Investments Program-for-Results (PforR). The Program also helps Jordan’s economy to be more inclusive for women who constitute an untapped potential for the kingdom.

In terms of new policies, the Jordanian government ordered the full exemption from licensing fees and fines for 2021 for businesses which entirely shut down due to COVID-19. The government also ordered a 25 percent discount for commercial establishments on all fees and fines on professional licenses and the extension of renewal period for licenses, fees and billboards.

Iraq

Corona cases, deaths and recovered are distributed as follows:

-1,311,093 corona confirmed cases

-1,217,982 recovered

-16,999 deaths

Iraq has signed a contract to drill 96 oil wells in the West Qurna-1 oil field located in the southern province of Basra to raise the production, according to a statement by the Ministry of Oil. June 18, 2021. https://www.business-standard.com/.

Iraq has signed a contract to drill 96 oil wells in the West Qurna-1 oil field located in the southern province of Basra to raise the production, according to a statement by the Ministry of Oil. June 18, 2021. https://www.business-standard.com/.

In a surprising news, the Iraqi government announced plans for the construction of a new capital city near Baghdad; it would be located on a 400 sq km parcel of land near Baghdad International Airport. The first phase of the project will be about constructing some 75,000 homes for up to 300,000 people and also about building shops, offices, hospitals, schools and leisure amenities. It is expected that the project will meet the need of about 1 million people and will also provide more than 100,000 job opportunities. However, the government did not provide any details about what are the actual costs involved. All what media is reporting is its location next to Bismayaha City, a $7.7bn residential project launched back in 2013 and being constructed by South Korea’s Hanwha Company. When complete, Bismayaha will house over 600,000 people.

In terms of other construction efforts, Iraq is also aiming to build 96 more oil wells in city of Basra to boost oil production. This will give it additional 200,000 barrels per day, an amount which is really needed to satisfy its economic expansion plans.

Lebanon

Corona cases, deaths and recovered are distributed as follows:

-544,002 corona confirmed cases

-531,156 recovered

-7,835 deaths

Just another day in Lebanon, June 12, 2021, Middle East Eye.

Just another day in Lebanon, June 12, 2021, Middle East Eye.

Among all the Middle East countries, Lebanon is in a bizarre,  nearly-unexplainable situation. Overnight, people lost their entire life savings as the dollar crisis kicked in. Soon after, all of the diffirent socio-economic woes started to show up revealing how fragile the ‘strong’ and ‘carefuly engineered’ banking system is. Like a house of cards, all the layers of corruption came crashing down on the people that inhibit this broken country. Nowadays, people are desperatly lining up in gigantic lines infront of fuel stations, in hopes of extracting a few liters of fuel to go to their jobs or return home. Laughably,  a large percentage of the fuel in Lebanon, is being smuggled to Syria.

In all of Lebanon’s years, including the bloody 15-year civil war, this is the worst place the country is in. Meanwhile, leaders continue to take jabs at one another, treating the whole government formation thing as a boxing game: Egos collide with one another while the rest of the population suffers.

Palestine

Corona cases, deaths and recovered are distributed as follows:

-313,015 corona confirmed cases

-306,532 recovered

-3,555 deaths

A Palestinian man plays with a child among the ruins of a building destroyed during recent Israeli bombing in Rafah, in the southern Gaza Strip. AFP.

A Palestinian man plays with a child among the ruins of a building destroyed during recent Israeli bombing in Rafah, in the southern Gaza Strip. AFP.

So far, the international community has pledged $860m for the reconstruction of Gaza after the escalation had ended. UNCTAD (United Nations Conference on Trade and Development) estimates that it would cost a minimum of $838m per year to lift Gaza’s population out of poverty. While Palestinians saw the cease fire as a victory, human and material losses say otherwise. But are the reconstruction efforts really what Palestinians truly need? No trial has been held so far to hold Israel responsible for the casualties during the whole ordeal. If nothing is done concerning Israel’s asymmetric responses, then the UN and all the international organizations that deal with human rights and sustainable peace, must shut down their offices and call it quits. Unless, the international community likes the fact that Palestine is a financial sink hole, they can continue to send millions of dollars. The World Bank has recently pledged a 30 million USD grant hoping to support Palestinians in digital economy, governance, and pandemic resilience. As little as this quantity may sound when compared to the damages, it may prove especially beneficial to Palestinians; as Israel cannot damage abstract things.

Syria

Corona cases, deaths and recovered are distributed as follows:

-25,287 corona confirmed cases

-21,774 recovered

-1,859 deaths

During the first part of the year, President Biden ordered airstrikes into Syria. Now, he is requesting financial support for the country. Ndtv.com.

During the first part of the year, President Biden ordered airstrikes into Syria. Now, he is requesting financial support for the country. Ndtv.com.

The Biden administration’s new approach regarding Syria was embodied in the form of its 2022 budget request to Congress, asking USD 125 million in economic assistance for Syria. Whether or not the congress will approve such a request, this clearly shows that the new administration is willing to consider other options besides airstrikes and sanctions. The news came as a relief for Syria which had withstood years of economic sanctions, the downfall of the Lebanese economy, and of course, the COVID-19 pandemic. Indeed, the US may be trying to show Syria that it is willing to improve relations. However, the European Union, the US’s partner in dealing with the Syria crisis, claimed that there will be no easing of sanctions until a political transition has taken place.

No matter what the outcome of Biden’s request may be, Syria continues to invest in its relationship with its strategic partners. For instance, Iranian Transport and Urban Development Minister met with Syria’s Internal Trade and Consumer Protection Minister Talal al-Barazi to discuss ways for expanding trade ties between the two countries. Since sanctions are in place affecting both nations’ banking sectors, the meeting focused on facilitating barter trade. Yet the Syrian has a menace to contend with: the inflation beast which heavily impacted many industries such as the pharmasutical one, whereby some medicines increased by  a thousand percent.

Cyprus

Corona cases, deaths and recovered are distributed as follows:

-74,174 corona confirmed cases

-72,199 recovered

-374 deaths

The National Recovery Plan is set to have positive long term benefits. June 15, 2021. Photo credit: Stock watch.

The National Recovery Plan is set to have positive long term benefits. June 15, 2021. Photo credit: Stock watch.

Despite Cyprus’s drop to number 33 in the World Competitiveness Ranking, the island’s vaccination campaign benefited the economy and its long term prospects, according to a report by the Economic Research Centre. Moreover, Cyprus’ National recovery and resilience plan will expand the country`s potential for economic, social and environmentally sustainable long-term growth and prosperity. The government is estimating the country`s GDP will increase by 7 percentage points during the five years of implementation of the plan. Moreover, employment is expected to increase from 13.2%, at 29.3%. The General Director of the Ministry of Finance said that it’s expected that the formal adoption of the Cyprus plan by the European Commission, will mobilize public resources of € 1.23 billion. According to Director General of the Ministry of Finance, George Pantelis, all what is being planned will have a multiplier effect in the long term future.

2- The Refugee situation

Egypt                                                            

  • The European Commission mobilized €5 million in humanitarian aid to help vulnerable refugees and asylum seekers in Egypt access protection services and education, as well as help them meet their most basic needs.

Jordan

The UNHCR states that there are currently 666,692 registered refugees in Jordan up until the beginning of June.

The proportion of Syrian displaced people registered within the UNHCR for May, are distributed as follows:

-196,509 in Amman Governorate (29.5 %)

-165,949  in Mafraq Governorate (24.9%)

-136,563 in Irbid Governorate (20.5%)

-97,427 in Zarqa Governorate (14.6%)

-18,352 in Balqa Governorate (2.8%)

-13,109 in Madaba Governorate (2%)

-9,335 in Jarash Governorate (1.4%)

-8,548 in Karak Governorate (1.3%)

-8,311 in Maan Governorate (1.2%)

-6,499 in Ajlun Governorate (1.0%)

-3,733 in Aqaba Governorate (0.6%)

-1,689 in Tafilah Governorate (0.3%)

  • During this month, the United Nations World Food Programme cut aid to 21,000 Syrian refugees due to limited financial resources.[1]

  • Up to this month, almost a third of the refugees eligible for the COVID-19 vaccine in Jordan have received their first dose, according to the UN refugee agency. Moreover, UNHCR and its partners are intensifying their vaccine advocacy campaign. [2]

 

Iraq

The UNHCR states that there are currently 247,305 registered Syrian refugees in Iraq.

The proportion of displaced Syrian people registered within the UNHCR up until the beginning of June, are distributed as follows:

-125,577 in Erbil (50.8%)

-84,983in Dahuk (34.4%)

-32,264 in Sulaymaniyah (13.0%)

-1,412 in Anbar (0.6%)

-3,069 in other areas (1.3%)[3]

  • The government of Switzerland contributed 1.1 million USD to the WFP to provide monthly food assistance to hundreds of thousands of internally displaced people, and Syrian refugees living in Iraq. [4]

  • WFP released a report claiming that it had provided the previous month, cash and food assistance to 189,092 IDPs and 69,523 refugees, and 4,838 returnees and people from vulnerable communities through resilience building initiatives.[5]

 

Lebanon

[Please note that this statistics section is yet not updated by UNHCR]

Since March, the number of registered Syrian refugees in Lebanon is 865,531.

Refugees in Lebanon are distributed as follows:

-334,668 in Bekaa (39.1%)

-230,601 in North Lebanon (27%)

-197,410 in Beirut (23.1%)

-92,493 in South Lebanon (10.8%)[6]

  • The Lebanese authorities expelled 15 Syrian refugees from among a group of people who tried to reach the coast of Cyprus but were pushed back by Cypriot authorities.[7]

  • According to a UN top official, Lebanon, over the next eight months, will need around $300 million to provide vital aid to around 1.5 million Lebanese and 400,000 migrant workers living in the country.[8]

  • According to recent data by the UN High Commissioner for Refugees (UNHCR), Lebanon has the highest ratio of refugees to citizens, with around 12.5 percent of people living in Lebanon refugees - one in eight.[9]

 

Syria

  • As Syria emerges from a decade of war, aid is shifting to smaller projects to help families plant seeds, breed sheep and find ways of making a living while the shattered economy rebuilds, the head of the Red Cross network claimed.

  • Millions of people in northwest Syria face disaster if the United Nations fails to approve an extension of cross-border humanitarian operations next month, a senior U.N. aid official said.[10]

  • U.S. Ambassador to the United Nations announced more than $239 million in additional humanitarian assistance for the people of Syria while in Turkey at the Bab al-Hawa border crossing with Syria. Through the U.S. Agency for International Development (USAID).[11]

  • UNICEF continued to support water trucking to targeted beneficiaries in Al-Hol camp, and collective shelters in Al-Hasakeh city (covering 50,000 people), in addition to water trucking for 31 host communities in Eastern Ghouta and Rural Damascus.[12]

  • Syria received the first batch of COVID-19 vaccines (256,800 doses of AstraZeneca SII COVIDSHILD) on 21 April 2021 , which were delivered as part of COVAX mechanism. 203000 doses were allocated for Syrian governorates, including northeast Syria and 53800 were allocated through Gaziantep to target populations in northwest Syria.

Cyprus

  • On 20 May 2021, the Minister of Interior, Nikos Nouris, sent a letter to the European Commission informing it that Cyprus cannot withstand further migration flows and therefore the country is entering in a state of emergency.[13]

  • The Commissioner for Administration and Protection of Human Rights Maria Stylianou-Lottides, on the occasion of the World Refugee Day, noted that the growing trend of large waves of refugees and migrants also increases racist behavior, xenophobia, rhetoric and hate crimes against the most vulnerable victims. As such it is up to Cyprus’s government and citizens to protect them. [14]


Communication and Public Relations Department


[1] Middle East Eye, June 21, 2021, https://www.middleeasteye.net/features/syrian-refugees-jordan-contemplate-return-home-un-cuts-aid

[2] Arab News, June 24, 2021, https://www.arabnews.com/node/1867471/middle-east

[3] https://data2.unhcr.org/en/situations/syria/location/5

[4] OCHA, https://reliefweb.int/report/iraq/switzerland-helps-wfp-provide-critical-food-assistance-and-boost-people-s-resilience

[5] OCHA, June 23, 2021, https://reliefweb.int/report/iraq/wfp-iraq-country-brief-may-2021

[6] https://data2.unhcr.org/en/situations/syria/location/71

[7] Info Migrants,  June 9, 2021, https://www.infomigrants.net/en/post/32823/lebanon-expells-syrian-refugees-pushed-back-by-cyprus

[8] OCHA, June 14, 2021, https://reliefweb.int/report/lebanon/around-15-million-lebanese-need-top-un-humanitarian-official-there-warns

[9] Middle East Eye, June 23, 2021, https://www.middleeasteye.net/news/turkey-lebanon-jordan-refugees-european-union-funding-approved

[10] Reuters, June 3, 2021, https://www.reuters.com/world/middle-east/millions-syria-face-disaster-if-aid-crossing-is-shut-un-2021-06-03/

[11] USAID, June 3, 2021, https://www.usaid.gov/news-information/press-releases/jun-3-2021-us-announces-additional-humanitarian-assistance-people-syria

[12] OCHA, June 20, 2021, https://reliefweb.int/sites/reliefweb.int/files/resources/Syrian%20Arab%20Republic%20-%20COVID-19%20Humanitarian%20Update%20No.%2026%20As%20of%2010%20June%202021.pdf

[13] OCHA, May 21, 2021, https://reliefweb.int/report/cyprus/cyprus-population-movement-emergency-plan-action-epoa-dref-emergency-appeal-n-mdrcy002

[14] Cyprus Mail, June 20, 2021, https://cyprus-mail.com/2021/06/20/lottides-calls-for-more-tolerance-on-world-refugee-day/

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