In Lebanon's Tripoli, Crushing Poverty Fuels Protests

Lebanese anti-government demonstrators wave flags and shout slogans during a demonstration in Tripoli's al-Nour Square. (AFP)
Lebanese anti-government demonstrators wave flags and shout slogans during a demonstration in Tripoli's al-Nour Square. (AFP)
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In Lebanon's Tripoli, Crushing Poverty Fuels Protests

Lebanese anti-government demonstrators wave flags and shout slogans during a demonstration in Tripoli's al-Nour Square. (AFP)
Lebanese anti-government demonstrators wave flags and shout slogans during a demonstration in Tripoli's al-Nour Square. (AFP)

In a dusty alley streaked with sewage in Lebanon's northern port city of Tripoli, Fatima, her husband and 11 children live crippled by debt and wondering where their next meal is coming from.

"We're a poor people here in Tripoli," said the 38-year-old mother, in the city that has taken center stage in Lebanon's ongoing protests denouncing official corruption and inequality.

Fresh laundry hangs outside her two-room breeze-block dwelling, its corrugated iron roof held in place by the weight of a few old car tires.

"There have been days in the past week when my children haven't had breakfast -- and my little one’s milk -- before five o'clock in the evening," said Fatima, whose youngest is just two and a half years old.

Her husband sells fish from a cart for a living, and Fatima sometimes helps out with special orders to cook up the fresh catch, said AFP.

But sales have been few and far between since the unprecedented demonstrations erupted nationwide last month, demanding a complete overhaul of the political system.

Tripoli has been a hotspot of the anti-government protests and become known as "the bride of the revolution" for its festive night-time rallies.

In the beginning Fatima took part, but soon the bus fare to the city's main square became too much.

"I stopped going, to spend the money instead on bread and milk for my children," she said.

More than half of Tripoli's population live at or below the poverty line, the United Nations says, and more than a quarter live in extreme poverty.

Fatima's family are struggling to pay the bills and already up to $5,000 in debt.

Her 17-year-old son has left school so he can help provide for the family, and so has her 15-year-old daughter, who must now look after her siblings.

The mother fears her other children may soon have to drop out too, because she can't afford the $100 a month for the school bus.

Life 'sweeping stairs'

In a city whose political leaders are among the richest in the nation, Fatima is terrified her children will grow up to a life "sweeping stairs and peddling chewing gum".

Forbes magazine this year listed former prime minister Najib Mikati and his brother, who both hail from the city, as being worth $2.5 billion.

But in Fatima's neighborhood, dozens of families live in tiny homes without even a connection to the main sewage system.

Instead, they have dug small cesspits they cannot afford to empty, and whose foul-smelling contents often leak out into the alleyways or even inside their homes.

One woman, aged in her 50s, has placed cement blocks outside her front door to try to protect her 10-year-old autistic son from the wastewater and rats outside.

"If a political leader's dog gets sick, they rush it off to private hospital, but we can't even treat our children," she said, as around her the scent of fried food mixed with the stench of a blocked toilet.

"They come and see us during elections, and then they forget all about us afterwards," she said, preferring not to give her name.

'Kiss 100 hands'

Not far off, Jamal Shaaban said he had resorted to collecting scrap metal to earn money and feed his seven children, and despaired as to how he would ever find them employment.

Without personal connections, "I can't find my kids jobs even as porters" in the city's neglected port, said the 40-year-old, wearing a black cap and sunglasses.

"I need to kiss a hundred hands -- even for a job as a rubbish collector," he said angrily.

Tripoli is now known as a protest center, but from 2007 to 2014 it was infamous for deadly shootouts and bombings.

With school dropout rates and unemployment high in its poorer districts, many young residents have joined armed groups in exchange for a little financial support.

They have also been easy recruits for extremist groups.

"What other future do they expect for a generation brought up in a neighborhood like this?" Shaaban said.

"Some people take a wrong turn. But who's to blame -- us or the living conditions?"

Several kilometers (miles) away, in a neighborhood pockmarked with bullets holes, Amina Abdallah Sweid said she was struggling to feed her five children after their father was killed in the clashes.

In the past few days, she said they had been living off a single bag of potatoes donated by a relative and some bread from the neighbors.

Her children sometimes collect scrap metal to sell, but even on a good day that only fetches around six dollars.

That means, she said, that "there's nothing left for us to do but beg".



Iran's Revolutionary Guards Extend Control over Tehran's Oil Exports

Iranians drive as smog obscures the skyline in Tehran, Iran, 18 December 2024. EPA/ABEDIN TAHERKENAREH
Iranians drive as smog obscures the skyline in Tehran, Iran, 18 December 2024. EPA/ABEDIN TAHERKENAREH
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Iran's Revolutionary Guards Extend Control over Tehran's Oil Exports

Iranians drive as smog obscures the skyline in Tehran, Iran, 18 December 2024. EPA/ABEDIN TAHERKENAREH
Iranians drive as smog obscures the skyline in Tehran, Iran, 18 December 2024. EPA/ABEDIN TAHERKENAREH

Iran's Revolutionary Guards have tightened their grip on the country's oil industry and control up to half the exports that generate most of Tehran's revenue and fund its proxies across the Middle East, according to Western officials, security sources and Iranian insiders.

All aspects of the oil business have come under the growing influence of the Guards, from the shadow fleet of tankers that secretively ship sanctioned crude, to logistics and the front companies selling the oil, mostly to China, according to more than a dozen people interviewed by Reuters.
The extent of the Iranian Revolutionary Guard Corps' (IRGC) control over oil exports has not previously been reported.

Despite tough Western sanctions designed to choke Iran's energy industry, reimposed by former US President Donald Trump in 2018, Iran generates more than $50 billion a year in oil revenue, by far its largest source of foreign currency and its principal connection to the global economy.

Six specialists - Western officials and security experts as well as Iranian and trading sources - said the Guards control up to 50% of Iran's oil exports, a sharp increase from about 20% three years ago. The sources declined to be identified due to the sensitivity of the matter.

Three of the estimates were based on intelligence documents about Iranian shipping while others derived their figures from monitoring shipping activity by tankers and companies linked to the IRGC. Reuters was unable to determine the exact extent of the IRGC's control.

The IRGC's growing domination of the oil industry adds to its influence in all areas of Iran's economy and also makes it harder for Western sanctions to hit home - given the Guards are already designated as a terrorist organization by Washington.

Trump's return to the White House in January, however, could mean tougher enforcement of sanctions on Iran's oil industry. The country's oil minister said Tehran is putting measures in place to deal with any restrictions, without giving details.

As part of their expansion in the industry, the Guards have muscled in on the territory of state institutions such as the National Iranian Oil Company (NIOC) and its NICO oil trading subsidiary, according to four of the sources.

When sanctions hit Iran's oil exports years ago, the people running NIOC and the wider industry were specialized in oil rather than how to evade sanctions, added Richard Nephew, a former deputy special envoy for Iran at the US State Department.

"The IRGC guys were much, much better at smuggling, just terrible at oil field management, so they began to get a larger control of oil exports," said Nephew, who is now a researcher at Columbia University.
The IRGC, NIOC, NICO and Iran's foreign ministry did not respond to requests for comment.
RISK APPETITE
The IRGC is a powerful political, military and economic force with close ties to Supreme Leader Ali Khamenei.
The Guards exert influence in the Middle East through their overseas operations arm, the Quds Force, by providing money, weapons, technology and training to allies Hezbollah in Lebanon, Hamas in Gaza, Yemen's Houthis and militias in Iraq.
While Israel has killed a number of senior IRGC commanders over the past year, the oil specialists in its ranks have been able to continue their operations, two Western and two Iranian sources said.
The Iranian government began allotting oil, instead of cash, to the IRGC and Quds Force around 2013, according to Nephew.
The government was under budgetary pressure then because it was struggling to export oil due to Western sanctions imposed over Iran's nuclear program.
The IRGC proved adept at finding ways to sell oil even under sanctions pressure, said Nephew, who was actively involved in tracking Iranian oil activities then.
Iranian oil revenues hit $53 billion in 2023 compared with $54 billion in 2022, $37 billion in 2021 and $16 billion in 2020, according to estimates from the US government's Energy Information Administration.
This year, Tehran's oil output has topped 3.3 million barrels per day, the highest since 2018, according to OPEC figures, despite the Western sanctions.
China is Iran's biggest buyer of oil, with most going to independent refineries, and the IRGC has created front companies to facilitate trade with buyers there, all the sources said.
Oil export revenues are split roughly evenly between the IRGC and NICO, said one source involved in Iranian oil sales to China. The IRGC sells oil at a $1-$2 barrel discount to prices offered by NICO because buyers take a bigger risk buying from the Guards, the person said.
"It depends on a buyer's risk appetite, the higher ones will go for the IRGC, which the US designates as a terrorist group."
Two Western sources estimated that the IRGC offered an even bigger discount, saying it was $5 per barrel on average but could be as much as $8.
The oil is allocated directly by the government to the IRGC and Quds Force. It's then up to them to market and ship the oil - and work out a mechanism for disbursing the revenue, according to the sources and intelligence documents seen by Reuters.
NIOC gets a separate allocation.
CHINESE FRONT
One of the front companies used is China-based Haokun. Operated by former Chinese military officials, it remains an active conduit for IRGC oil sales into China, despite Washington hitting it with sanctions in 2022, two of the sources said.
The US Treasury said China Haokun Energy had bought millions of barrels of oil from the IRGC-Quds Force and was sanctioned for having "materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of, the IRGC-QF".
In one oil transaction dated March 16, 2021 involving Haokun and parties including Turkish company Baslam Nakliyat - which is under US sanctions for its trading links to the IRGC - a payment was processed via US bank JP Morgan and Turkish lender Vakif Katilim, according to the intelligence documents.
The transaction took place before the companies were sanctioned. Reuters has no indication JP Morgan or Vakif Katilim were aware of the Iranian connection - highlighting the risks of companies getting inadvertently caught up in the shadow trade.
JP Morgan declined to comment. Vakif Katilim said in a statement: "Our bank performs its activities within the framework of national and international banking rules."
Haokun declined to comment. Baslam did not respond to a request for comment.
'GHOST FLEET'
Quds Force commander Qassem Soleimani, who was killed in a US strike in Baghdad in 2020, had set up a clandestine headquarters and inaugurated that year for the unit's oil smuggling activities, initially staffed by former oil minister Rostam Ghasemi, according to the intelligence documents.
Reuters could not determine where all the oil money funneled through the IRGC goes. The IRGC headquarters and day-to-day operations has an annual budget of around $1 billion, according to assessments from two security sources tracking IRGC activities.
They estimated that the IRGC budget for Hezbollah was another $700 million a year.
"Exact figures remain undisclosed, as Hezbollah conceals the funds it receives. However, estimates are that its annual budget is approximately $700 million to $1 billion. Around 70%-80% of this funding comes directly from Iran," Shlomit Wagman, former director general of Israel’s Money Laundering and Terrorism Financing Prohibition Authority, said separately.
Hezbollah did not respond to a request for comment.
The former Secretary General of Hezbollah, Hassan Nasrallah, who was killed in an Israeli airstrike, said Iran provided the group's budget, including for salaries and weapons.
Iran's main tanker operator NITC, which previously played a key role in exports, also now provides services to the IRGC.
It executes ship-to-ship transfers of Iranian oil onto vessels operated by the IRGC to ship crude into China, according to sources and ship-tracking data. Such transfers are common practice to help disguise the origin of the oil tankers carry.
NITC did not respond to a request for comment.
In August, Israel's National Bureau for Counter Terror Financing, part of the country's defense ministry, imposed sanctions on 18 tankers it said were involved in transporting oil belonging to the Quds Force.
In October, the US Treasury slapped sanctions on 17 separate tankers it said formed part of Iran's "ghost fleet", outside of NITC vessels. It followed up with sanctions on a further 18 tankers on Dec. 3.