The US will allow Lebanon to import natural gas and electricity from Egypt and Jordan through Syria…reports Asian Lite News
The US will allow Lebanon to import natural gas and electricity from Egypt and Jordan through Syria, without being subject to restrictions imposed by the US Caesar Act which prohibits cooperation with Syria, Lebanese Foreign Minister Abdallah Bou Habib has said.
The US authorities have informed Egyptian officials about Lebanon’s capability of importing energy through Syria, Bou Habib said on Thursday during his meeting at Baabda Palace with President Michel Aoun to inform him about his recent visit to the US.
The Energy and Oil Ministers of Jordan, Egypt, Syria, and Lebanon had agreed last September to supply Lebanon with electricity from Jordan and natural gas from Egypt through the Arab Gas pipeline to solve the electricity crisis in Lebanon, Xinhua news agency reported.
The Lebanese Foreign Minister also noted that US officials expressed keenness to resume the process of demarcating the southern maritime border between Lebanon and Israel, and the US mediator Amos Hochstein will come to Lebanon within the next few days to resume his efforts with the aim of moving forward in this regard.
Lebanon has been going through an unprecedented financial crisis due to the failing policies adopted by successive governments which resulted in a public debt hovering over $96 billion.
Lebanon’s merchants took a hit in 2021 by the country’s unprecedented economic and financial crisis with 35 percent of them shutting down their stores, according to the Beirut Traders Association…reports Asian Lite News
Adnan Rammal, representative of the trade sector in the Economic and Social Council, told Xinhua news agency that a large number of merchants had to close their stores last year as they were unable to cover the expenses in light of the drop in sales from 50 to 90 percent, varying among different sectors.
According to Rammal, the sectors that were most impacted include furniture, household appliances, electronics, and carpets, and the demand for food has also dropped by 40 percent.
Over the past two years, the country has witnessed an unprecedented financial crisis amid the shortage of the US dollar, which prompted a steep depreciation of the Lebanese pound.
As a result of the collapse of the local currency, citizens saw an obvious devaluation of their salaries.
Most of them are employed by the public sector and get paid in local currency, while only approximate of 20 percent of them receive their salaries in US dollars.
Moreover, the financial crisis forced banks to impose heavy restrictions on withdrawals from deposits, which has deteriorated people’s purchasing power.
Mohamad Rayes, the owner of a men’s clothes shop in Hamra, told Xinhua that sales at his shop dropped by over 80 percent compared to the pre-crisis years of 2017 and 2018, as people have been focusing their consumption on necessities.
“If we do not see any improvement in demand during the coming summer season, we will have to close doors and lay off employees,” he said.
For his part, Abed Ramadan, sales manager at Dallas, a famous clothes shop in Hamra, told Xinhua that his store has gained no profits since last summer, but the owner is keeping the shop open.
“Any decision to shut down the store will deprive several families from a source of income,” he said, adding that his store will not import new clothes for the coming summer season given the deteriorating living conditions of the Lebanese and the political instability.
Meanwhile, Tony Eid, head of Achrafieh’s Merchants Association, told Xinhua that a number of merchants are still in the market as some of the operation costs, such as electricity, rent, and salaries, can still be paid in Lebanese pound, which is cheaper.
He called on the government to follow a clear economic and financial strategy by adopting a specific exchange rate of the U.S. dollar to the Lebanese pound.
“We can no longer receive checks or credit card payments by our clients as the exchange rate in the bank is lower than that of the parallel market.”
Lebanese security authorities have arrested 23 Syrians for illegally entering the country, according to authorities…reports Asian Lite News
The Syrians, who were arrested on Friday in the northern district of Akkar, have been referred to judicial bodies for investigation and other legal procedures, Xinhua news agency reported.
Lebanon’s security forces have been exerting great efforts to fight against human smuggling from Syria.
President Michel Aoun has repeatedly urged the international community to secure a safe return for Syrian refugees to their homeland as Lebanon has been suffering an unprecedented financial crisis and cannot bear an additional burden of refugees on its territories.
According to UN figures, Lebanon currently hosts 865,530 registered Syrian refugees and estimates all Syrians in Lebanon at 1.5 million.
Lebanese Prime Minister Najib Mikati has called for a national dialogue among the different governing political parties to discuss ways to restore ties with Gulf countries…reports Asian Lite News
“We need to reach an understanding to strengthen Lebanon’s ties with Arab nations, especially Gulf countries, by not offending them or interfering in their internal affairs,” Xinhua news agency quoted Mikati as saying in a televised speech.
Lebanon Urges Gulf Nations To Resume Ties
The Prime Minister emphasised the need for Lebanon to disassociate itself from problems in the region to be able to preserve its ties with the Arab world and the international community.
Mikati added that he has been working on securing a meeting for the council of ministers to deal with the country’s economic crisis.
Beirut is currently facing a crisis in its relations with Saudi Arabia and its Gulf supporters after a Lebanese Cabinet Minister criticised over Riyadh’s ongoing military involvement in the Yemen war.
Mikati’s speech comes one day after an address by Lebanese President Michel Aoun who called for a national dialogue to put an end to the governmental paralysis, getting through important legislation, in addition to holding an urgent dialogue on a financial recovery plan, administrative and financial decentralization, and the defence strategy.
The year-end holiday period has brought a glimpse of hope for the sector as reservations saw a slight increase in the past few days…reports Asian Lite News
Due to the Covid-19 pandemic, Lebanon’s hotels suffered a steep decline in the occupancy rate, but the year-end holiday period has brought a glimpse of hope for the sector as reservations saw a slight increase in the past few days, a top official said here.
New Year brings hope for Lebanon’s hotel crisis
On Monday, Pierre Ashkar, head of the Syndicate of Hotel Owners in Lebanon, told Xinhua news agency that the monthly average occupancy rate over the past year stood at around 23 per cent but reservations in Beirut hotels for the period extending from December 28, 2021 to January 1, 2022 increased to around 50 per cent.
He noted that reservations in the very few hotels in Faraya and Faqra, villages mostly known for their snow slopes, stand at around 75 per cent in New Year.
“Most of the demand on hotel rooms in Beirut and in mountain areas during the festive season come from Lebanese expatriates arriving from the Gulf and African countries,” Ashkar said.
Ashkar attributes the low occupancy rate in hotels to political instability which forced the US, Canada and many countries in Europe, to warn their citizens against traveling to Lebanon.
He added that the diplomatic row with Saudi Arabia deprived Lebanon from Gulf tourists who used to spend at least 15 days in the country while allocating a big budget for spending during the festive season.
“It’s a pity to have lost a big number of tourists from different places,” he said.
Ashkar noted that the tourism sector used to generate around $10 billion in yearly revenues which have dropped to $3 billion in light of political instability and the pandemic.
“A big number of hotels shut down instead of maintaining their operations and incurring increased losses in the absence of tourists amid the current increase in expenses,” Ashkar said.
Hotels interviewed by Xinhua reported a steep decline in occupancy throughout the year except for the New Year’s five-day vacation which has seen a recent increase in demand on hotel rooms.
“We have suffered throughout this past year to be able to register an occupancy rate of 35 per cent at our hotel, but demand for rooms during the New Year vacation is acceptable,” Ayman Nasreddine, operations manager at Cavalier Hotel, a four-star hotel in Hamra, told Xinhua.
“Most of the demand comes from Egyptians at an average room rate at $70 per night compared to $120 in the past,” Nasreddine said.
Likewise, Rami Fakhreddine, head of Front Desk office at 35 Rooms Hotel in Beirut, told Xinhua that most of the demand for New Year at his hotel comes from Egyptians who now find Lebanon an affordable destination given the collapse of the local currency compared to the US dollars.
“There have also been a lot of packages to Lebanon which saw a great demand by Egyptians,” he said.
Dalia Doumani, head of reservations at Riviera, a five-star hotel in Beirut, told Xinhua that reservations at her hotel for New Year reached around 60 per cent so far and they are expected to go higher in the coming days.
She noted that even Lebanese expatriates who are paid in US dollars consider prices too high when they convert them into Lebanese pounds in light of the collapse of the local currency which also explains the lower occupancy rates compared to previous years.
Visiting UN Secretary-General Antonio Guterres said that Lebanon is at the centre of all strategies and efforts of the world amid the multiple crises in the country…reports Asian Lite News
“Lebanon is today at the centre of all our strategies and efforts, both at the level of the Secretariat and at the level of the different agencies that are cooperating with the Lebanese authorities,” Guterres said during a meeting with Prime Minister Najib Mikati and the Lebanese cabinet at the Grand Serail on Monday.
The Secretary-General emphasized the importance of adopting unified strategies among the UN and Lebanese leaders that are aligned in pursuit of a stable peaceful Lebanon to offer hope and opportunity to all its people.
Antonio: Lebanon is at centre of UN strategies, efforts
Guterres noted that the UN stands ready to support Lebanon in its negotiations with international financial institutions to encourage them to provide the maximum possible support for the country.
For his part, Mikati said that Lebanon urgently needs more aid, especially for a cash assistance program for hundreds of thousands of families.
He asked for the help of the international community to facilitate the return of Syrian refugees to their homeland.
Earlier on Monday, Guterres met House Speaker Nabih Berri, vowing to facilitate negotiations for maritime border demarcation allowing Lebanon to take full profit of the natural resources.
The UN Secretary-General laid a wreath earlier in the day at a memorial for the August 2020 Beirut port blast.
Guterres arrived on Sunday in Lebanon to express solidarity with the people of Lebanon amid the country’s multiple crises.
Visiting Secretary-General of the United Nations Antonio Guterres has urged the international community to increase its support for Lebanon…reports Asian Lite News
“I believe that the international community did not offer enough support for Lebanon, Jordan and other countries that have opened their borders and hearts to receive refugees,” Guterres said at a joint press conference with Lebanese President Michel Aoun at Baabda Palace on Sunday.
UN Secretary-General urges more support for Lebanon
Guterres encouraged all UN member countries to assume their full responsibilities by increasing their support for Lebanon, Xinhua news agency reported.
“Lebanon needs increased support as it is going through very tough circumstances,” he said.
Guterres added that the UN appreciates Lebanon’s generous hospitality during a time when some rich countries were closing their borders to refugees.
He also called upon Lebanese politicians to deal with the current economic crisis and put an end to the collapse of institutions.
Guterres reiterated the UN’s continuous support for Lebanon, pledging continued international support for the Lebanese army and other military institutions.
President Michel Aoun emphasised the need to find a solution for the return of Syrian refugees to their homeland, citing the crisis’s significant burden on Lebanon, which is already suffering from multiple problems.
Guterres arrived in Lebanon on Sunday afternoon where he will meet with Lebanese officials and civil society representatives, as well as pay a visit to UN forces in southern Lebanon.
He will also pay a visit to the Beirut port, which was rocked by two big explosions last year, killing more than 200 people and injuring more than 6,000 others while destroying a large part of the city.
Lebanon’s Central Bank Governor, Riad Salameh has denied media allegations that he transferred public funds to a company owned by his brother…reports Asian Lite News
Salameh said in a statement that “not a single penny” was taken from public funds to pay fees and commissions to his brother’s company Forry Associates Ltd, a firm whose transactions and investments have been the focus of media reports.
Salameh said his opponents had disseminated the false information.
Lebanon’s Central Bank Governor denies misusing public funds
He said that the source of his wealth was “clear and documented,” as he had been a successful private banker at Merrill Lynch for around 20 years with an annual income of about $2 million before he left that company in 1993, Xinhua news agency reported.
Salameh recently came under heavy criticism following the collapse of the Lebanese pound. He was accused of enriching himself and his inner circle through years of corruption.
Lebanon has been going through an unprecedented financial crisis with the local currency depreciating by over 90 per cent, limiting people’s ability to afford their basic needs…reports Asian Lite News
A senior UN official has warned that Lebanon may be turned into a “failing state” if the government does not succeed in implementing quick and serious reform measures amid the current unprecedented financial crisis.
“The Prime Minister should exercise his authority and move the country forward. There is no time to waste,” Olivier De Schutter, UN Special Rapporteur on extreme poverty and human rights, said during a press conference held at the end of his mission in the capital Beirut.
UN official urges reform measures amid crisis in Lebanon
He also noted that with a highly regressive tax system, Lebanon is “among the most unequal countries on the planet whereby 10 percent of the wealthiest people earn 70 percent of the total wealth”.
De Schutter pointed out that Lebanon is facing four main crises, including the presence of a big number of Syrian refugees; the devaluation of the Lebanese pound amid the rising inflation; the Covid-19 outbreak which increased school drop-out among students; and the impact of the 2020 Beirut port blasts which left thousands of people homeless and hundreds of thousands others jobless.
“Behind all of these crises, there is a crisis of trust,” he added.
The official emphasised the need for the political system to recover its integrity, especially when it comes to the banking sector responsible for the downfall of the Lebanese pound and the impoverishment of people.
He noted that one of the inconveniences facing the banking sector is the fact that 18 out of 20 banks have major shareholders linked to the political elites.
“We need to prevent the conflict of interests between the business sector and politicians, otherwise Lebanon will become a state that is captured by economic interests,” he said.
Lebanon has been going through an unprecedented financial crisis with the local currency depreciating by over 90 per cent, limiting people’s ability to afford their basic needs.
The country’s social stability started deteriorating since the October 2019 uprising, adding to it is the economic impact of Covid-19 and the deadly Port of Beirut explosions in August 2020.
Moreover, the failure to form an effective government to implement much-needed financial reforms accelerated the deterioration of the socioeconomic situation by resulting in the collapse of the Lebanese pound and an increase in annual inflation by 158 per cent with food inflation going up by 550 per cent.
The country’s poverty rate is currently hovering over 78 per cent.
Two big explosions rocked the Beirut port on August 4, 2020, killing more than 200 people, wounding over 6,000 others and destroying a big part of the city…reports Asian Lite News
Lebanese Prime Minister Najib Mikati has launched a $25 million fund to support the recovery of targeted micro and small enterprises (MSEs) damaged by the Beirut port explosion, a statement by Lebanon’s Council of Ministers reported.
Lebanese Prime Minister Najib Mikati
The Building Beirut Businesses Back and Better Fund (B5 fund) is financed by the Lebanon Financing Facility (LFF), a multi-donor trust fund established in December 2020 by the World Bank to pool grant resources from donors in support of the immediate socio-economic recovery of vulnerable people and businesses impacted by the explosion, Xinhua news agency reported.
NAJIB MIKATI, PRIME MINISTER, LEBANON: “Today, with a great effort by the World Bank and the European Union, the B5 fund is the first emergency initiative to provide business enterprises with vital support and ensure their ability to continue in light of the multiple crises afflicting Lebanon.”
Two big explosions rocked the Beirut port on August 4, 2020, killing more than 200 people, wounding over 6,000 others and destroying a big part of the city.
