Reconstruction Studies Begin in Lebanon, Costs Exceed $6 Billion

A man walks past near the rubble of a building in Beirut's southern suburbs, after the ceasefire between Israel and Hezbollah, Lebanon November 29, 2024. REUTERS/Thaier Al-Sudani
A man walks past near the rubble of a building in Beirut's southern suburbs, after the ceasefire between Israel and Hezbollah, Lebanon November 29, 2024. REUTERS/Thaier Al-Sudani
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Reconstruction Studies Begin in Lebanon, Costs Exceed $6 Billion

A man walks past near the rubble of a building in Beirut's southern suburbs, after the ceasefire between Israel and Hezbollah, Lebanon November 29, 2024. REUTERS/Thaier Al-Sudani
A man walks past near the rubble of a building in Beirut's southern suburbs, after the ceasefire between Israel and Hezbollah, Lebanon November 29, 2024. REUTERS/Thaier Al-Sudani

As Lebanese return to their ruined cities and villages after the ceasefire between Hezbollah and Israel, the main question on their minds is: “When will reconstruction begin, and are the funds available, and if so, where will they come from?”

Unlike the aftermath of the 2006 war, which saw funds flow in automatically, the situation now is different.

The international conditions for reconstruction may be tougher, and Lebanon, already struggling with a financial and economic collapse since 2019, will not be able to contribute any funds due to the severity of the recent war.

Former MP Ali Darwish, a close ally of Prime Minister Najib Mikati, said a plan for reconstruction would likely be ready within a week.

The plan will identify the committees to assess damage, the funds for compensation, and whether the South Lebanon Council and Higher Relief Commission will be involved.

Speaking to Asharq Al-Awsat, Darwish explained that the matter is being discussed with international partners, and more details will emerge soon.

He added that the process is unfolding in stages, beginning with the ceasefire, followed by army deployment, and eventually leading to reconstruction.

To reassure its supporters, many of whom have lost their homes and been displaced, Hezbollah promised before the ceasefire that funds were ready for reconstruction.

Sources close to the group say Iran has set aside $5 billion for the effort, with part of it already available to Hezbollah and the rest arriving soon.

Political analyst Dr. Qassem Qassir, familiar with Hezbollah’s operations, said a reconstruction fund would be created, involving Iran, Arab and Islamic countries, international partners, religious leaders, and Lebanese officials.

He added that preparatory work, including committee formations and studies, has already begun.

However, many affected people are hesitant to start rebuilding, wanting to ensure they will be reimbursed.

Some reports suggest that party-affiliated groups advised not making repairs until damage is properly documented by the relevant committees. Citizens were told to keep invoices so that those who can pay upfront will be reimbursed later.

Ahmad M, 40, from Tyre, told Asharq Al-Awsat he began repairing his damaged home, paying extra to speed up the process. The high costs of staying in a Beirut hotel have become unbearable, and he can no longer wait.

Economist Dr. Mahmoud Jebaii says that accurate estimates of reconstruction costs will depend on specialized committees assessing the damage. He estimates the cost of destruction at $6 billion and economic losses at $7 billion, bringing total losses from the 2024 war to around $13 billion, compared to $9 billion in 2006.

Speaking to Asharq Al-Awsat, Jebaii explained that the 2024 destruction is much greater due to wider military operations across the south, Bekaa, and Beirut.

About 110,000 housing units were damaged, with 40,000 to 50,000 completely destroyed and 60,000 severely damaged. Additionally, 30 to 40 front-line villages were entirely destroyed.

Jebaii emphasized that Lebanon must create a clear plan for engaging the Arab and international communities, who prefer reconstruction to be managed through them.

This could involve an international conference followed by the creation of a committee to assess the damage and confirm the figures, after which financial support would be provided.

He added that Lebanon’s political system and ability to implement international decisions will be key to advancing reconstruction.



What to Know about the Ceasefire Deal between Israel and Lebanon's Hezbollah

People gather as cars drive past rubble from damaged buildings in Beirut's southern suburbs, after a ceasefire between Israel and Iran-backed group Hezbollah took effect at 0200 GMT on Wednesday after US President Joe Biden said both sides accepted an agreement brokered by the United States and France, in Lebanon, November 27, 2024. REUTERS/Mohamed Azakir
People gather as cars drive past rubble from damaged buildings in Beirut's southern suburbs, after a ceasefire between Israel and Iran-backed group Hezbollah took effect at 0200 GMT on Wednesday after US President Joe Biden said both sides accepted an agreement brokered by the United States and France, in Lebanon, November 27, 2024. REUTERS/Mohamed Azakir
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What to Know about the Ceasefire Deal between Israel and Lebanon's Hezbollah

People gather as cars drive past rubble from damaged buildings in Beirut's southern suburbs, after a ceasefire between Israel and Iran-backed group Hezbollah took effect at 0200 GMT on Wednesday after US President Joe Biden said both sides accepted an agreement brokered by the United States and France, in Lebanon, November 27, 2024. REUTERS/Mohamed Azakir
People gather as cars drive past rubble from damaged buildings in Beirut's southern suburbs, after a ceasefire between Israel and Iran-backed group Hezbollah took effect at 0200 GMT on Wednesday after US President Joe Biden said both sides accepted an agreement brokered by the United States and France, in Lebanon, November 27, 2024. REUTERS/Mohamed Azakir

A ceasefire deal that went into effect on Wednesday could end more than a year of cross-border fighting between Israel and Lebanon's Hezbollah militant group, raising hopes and renewing difficult questions in a region gripped by conflict.
The US- and France-brokered deal, approved by Israel late Tuesday, calls for an initial two-month halt to fighting and requires Hezbollah to end its armed presence in southern Lebanon, while Israeli troops are to return to their side of the border. It offers both sides an off-ramp from hostilities that have driven more than 1.2 million Lebanese and 50,000 Israelis from their homes.
An intense bombing campaign by Israel has left more than 3,700 people dead, many of them civilians, Lebanese officials say. Over 130 people have been killed on the Israeli side.
But while it could significantly calm the tensions that have inflamed the region, the deal does little directly to resolve the much deadlier war that has raged in Gaza since the Hamas attack on southern Israel in October 2023 that killed 1,200 people.
Hezbollah, which began firing scores of rockets into Israel the following day in support of Hamas, previously said it would keep fighting until there was a stop to the fighting in Gaza. With the new cease-fire, it has backed away from that pledge, in effect leaving Hamas isolated and fighting a war alone.
Here’s what to know about the tentative ceasefire agreement and its potential implications:
The terms of the deal
The agreement reportedly calls for a 60-day halt in fighting that would see Israeli troops retreat to their side of the border while requiring Hezbollah to end its armed presence in a broad swath of southern Lebanon. President Joe Biden said Tuesday that the deal is set to take effect at 4 a.m. local time on Wednesday (9 p.m. EST Tuesday).
Under the deal, thousands of Lebanese troops and U.N. peacekeepers are to deploy to the region south of the Litani River. An international panel led by the US would monitor compliance by all sides. Biden said the deal “was designed to be a permanent cessation of hostilities.”
Israel has demanded the right to act should Hezbollah violate its obligations, but Lebanese officials rejected writing that into the proposal. Israeli Prime Minister Benjamin Netanyahu said Tuesday that the military would strike Hezbollah if the UN peacekeeping force, known as UNIFIL, does not enforce the deal.
Lingering uncertainty
Hezbollah indicated it would give the ceasefire pact a chance, but one of the group's leaders said the group's support for the deal hinged on clarity that Israel would not renew its attacks.
“After reviewing the agreement signed by the enemy government, we will see if there is a match between what we stated and what was agreed upon by the Lebanese officials,” Mahmoud Qamati, deputy chair of Hezbollah’s political council, told the Qatari satellite news network Al Jazeera.
“We want an end to the aggression, of course, but not at the expense of the sovereignty of the state” of Lebanon, he said.
The European Union’s top diplomat, Josep Borrell, said Tuesday that Israel’s security concerns had been addressed in the deal.
Where the fighting has left both sides After months of cross-border bombings, Israel can claim major victories, including the killing of Hezbollah’s top leader, Hassan Nasrallah, most of his senior commanders and the destruction of extensive militant infrastructure.
A complex attack in September involving the explosion of hundreds of walkie-talkies and pagers used by Hezbollah was widely attributed to Israel, signaling a remarkable penetration of the militant group.
The damage inflicted on Hezbollah has hit not only in its ranks, but the reputation it built by fighting Israel to a stalemate in the 2006 war. Still, its fighters managed to put up heavy resistance on the ground, slowing Israel’s advance while continuing to fire scores of rockets, missiles and drones across the border each day.
The ceasefire offers relief to both sides, giving Israel’s overstretched army a break and allowing Hezbollah leaders to tout the group’s effectiveness in holding their ground despite Israel’s massive advantage in weaponry. But the group is likely to face a reckoning, with many Lebanese accusing it of tying their country’s fate to Gaza’s at the service of key ally Iran, inflicting great damage on a Lebanese economy that was already in grave condition.
No answers for Gaza Until now, Hezbollah has insisted that it would only halt its attacks on Israel when it agreed to stop fighting in Gaza. Some in the region are likely to view a deal between the Lebanon-based group and Israel as a capitulation.
In Gaza, where officials say the war has killed more than 44,000 Palestinians, Israel’s attacks have inflicted a heavy toll on Hamas, including the killing of the group’s top leaders. But Hamas fighters continue to hold scores of Israeli hostages, giving the militant group a bargaining chip if indirect ceasefire negotiations resume.
Hamas is likely to continue to demand a lasting truce and a full Israeli withdrawal from Gaza in any such deal, while Netanyahu on Tuesday reiterated his pledge to continue the war until Hamas is destroyed and all hostages are freed.
Palestinian Authority President Mahmoud Abbas, whose forces were ousted from Gaza by Hamas in 2007 and who hopes to one day rule over the territory again as part of an independent Palestinian state, offered a pointed reminder Tuesday of the intractability of the war, demanding urgent international intervention.
“The only way to halt the dangerous escalation we are witnessing in the region, and maintain regional and international stability, security and peace, is to resolve the question of Palestine,” he said in a speech to the UN read by his ambassador.