War Was Easier than this, Says Lebanese Entrepreneur Hit by Economic Collapse

Suzanne Mouawad, a Lebanese entrepreneur, sits at her home in Mazraat Yachouh, Lebanon April 15, 2021. (Reuters)
Suzanne Mouawad, a Lebanese entrepreneur, sits at her home in Mazraat Yachouh, Lebanon April 15, 2021. (Reuters)
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War Was Easier than this, Says Lebanese Entrepreneur Hit by Economic Collapse

Suzanne Mouawad, a Lebanese entrepreneur, sits at her home in Mazraat Yachouh, Lebanon April 15, 2021. (Reuters)
Suzanne Mouawad, a Lebanese entrepreneur, sits at her home in Mazraat Yachouh, Lebanon April 15, 2021. (Reuters)

Suzanne Mouawad lived through Lebanon's civil war and built a successful advertising business in the hopeful days after the fighting ended, but she says her country's economic collapse is breaking her in a way that even missiles did not.

Mouawad, 56, comes from a well-to-do background and previously led a privileged life, running her agency as well as a family-owned paper manufacturing business, taking frequent holidays abroad and receiving rent from properties she owns.

Now, both the advertising and paper businesses have all but dried up, the tenants can no longer pay the rent, and she finds herself pondering the price of items in the supermarket during her weekly grocery shop.

"I didn't let Lebanon down. It let me down and it hurt me," she said.

With no end in sight to economic and financial paralysis, Mouawad feels a hopelessness that was not there during the war, which broke out when she was 12 and lasted 15 years.

"With war you get a couple of missiles falling one day and then the next day you pick up and you go back to school or back to work and you start producing and making money," she said.

"Now the money is being held at the banks and there is no work."

Stricken Lebanese banks, the biggest creditors to the bankrupt state, have locked customers out of their deposits under informal capital controls imposed without legislation since late 2019 when the country's financial meltdown started.

Any savings people had in Lebanese pounds have lost most of their value, while dollar deposits are inaccessible.

The crisis is driving a brain drain, with professionals such as doctors, academics, designers and entrepreneurs emigrating in large numbers, which in turn has a knock-on effect on the local economy, further depressing investments and demand for services.

When Mouawad set up her advertising agency in 1992, the long war was drawing to a close and hopes were high for Lebanon's future. A few years later, feeling optimistic, she sold a property she owned in Greece to re-invest back home.

But with her retail clients cash-strapped, her business has shrunk by about three quarters in the economic crisis. Mouawad herself is facing daily financial pressures.

"It's become like an obsession with living conditions," she said.

"All the time I'm thinking what will I do? Do I pay municipality fees or my mechanic fees or my electricity? I am under pressure and I never used to think like that before."

Instead of a busy work schedule, she works barely an hour a day online. At the large warehouse where the paper business is based, activity has dwindled and deliveries of raw materials have spaced out.

"In the normal days we used to re-stock every four days, now this is all for three weeks," she said, gesturing at some stacks of materials.

In spite of everything, she is not contemplating emigration. Having lived in the United States for six months in the 1990s and struggled to get used to it, she still wants to live in her home country.

"Everything I fought for is here and then I just leave it for someone else? No."



Israel Wary of Egypt's 'Military Infrastructure' in Sinai: Peace Treaty at Risk?

Egyptian army chief Ahmed Khalifa inspects troops near Israel's border late last year. (Military spokesman)
Egyptian army chief Ahmed Khalifa inspects troops near Israel's border late last year. (Military spokesman)
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Israel Wary of Egypt's 'Military Infrastructure' in Sinai: Peace Treaty at Risk?

Egyptian army chief Ahmed Khalifa inspects troops near Israel's border late last year. (Military spokesman)
Egyptian army chief Ahmed Khalifa inspects troops near Israel's border late last year. (Military spokesman)

Israel has voiced growing concerns over Egypt’s military presence in the Sinai Peninsula, fearing a potential escalation between the two sides amid the ongoing Gaza war.

Israeli media reports said Prime Minister Benjamin Netanyahu’s government has asked both Washington and Cairo to dismantle what it describes as a “military infrastructure” established by the Egyptian army in Sinai.

However, an informed Egyptian source and experts cited by Asharq Al-Awsat insisted that Egypt has not violated its peace treaty with Israel. They argued that Cairo’s military movements are a response to Israeli breaches of the agreement.

Israel’s Israel Hayom newspaper, citing a senior Israeli security official, reported that Egypt’s military buildup in Sinai constitutes a “major violation” of the security annex of the peace treaty.

The official said the issue is a top priority for Israeli Defense Minister Israel Katz, stressing that Israel “will not accept this situation” amid what it views as Egypt’s growing military footprint in the peninsula.

The official added that the issue goes beyond the deployment of Egyptian forces in Sinai exceeding the quotas set under the military annex of the Camp David Accords.

The real concern, he said, lies in Egypt’s continued military buildup in the peninsula, which Israel views as an irreversible step.

Moreover, he stressed that while Israel is not seeking to amend its peace treaty with Egypt or redeploy troops along the border, it believes the current situation requires urgent action to prevent a potential escalation.

Egypt-Israel relations have not seen such tensions since the outbreak of the Gaza war, particularly after Israel violated a ceasefire agreement with Hamas brokered primarily by Egypt. Israeli forces resumed airstrikes on Gaza last month and failed to fulfill their commitments to withdraw from the Philadelphi Corridor and Palestinian border crossings.

A senior Egyptian source dismissed Israel’s accusations, telling Asharq Al-Awsat that “these repeated Israeli pretexts ignore the fact that Israeli forces have violated the peace treaty, seizing control of areas where Egypt objects to their presence without the necessary coordination with Cairo.”

Egypt has the right to take all necessary measures to safeguard its national security against any threats, emphasized the source.

“Nevertheless, Cairo remains fully committed to the peace treaty and has no intention of aggression against any party,” it added.

Israeli forces seized control of the Gaza-Egypt border, including the Philadelphi Corridor and the Rafah crossing, in May 2024. Israel has accused Egypt of not doing enough to stop weapons smuggling into Gaza through border tunnels—an allegation Cairo has denied.

Under the terms of the ceasefire agreement with Hamas, which Israel later broke, Israeli forces were supposed to begin withdrawing from the Philadelphi Corridor on March 1, completing the pullout within eight days. However, Israel failed to do so and instead resumed airstrikes on Gaza.

Israel also announced the creation of an administration aimed at facilitating the “voluntary departure” of Gaza residents, a move Cairo strongly rejected and formally condemned.

Egypt has insisted that Palestinians must remain in their homeland and has put forward a reconstruction plan for Gaza and called for the implementation of the two-state solution. The plan was endorsed at an emergency Arab summit three weeks ago.

Media reports have indicated that Egypt responded to Israel’s control of the Gaza border by increasing its military presence near the frontier—an act that some Israeli officials claim violates the peace treaty and threatens Israel’s security.

Former Egyptian intelligence official Gen. Mohammed Rashad told Asharq Al-Awsat that Israel itself violated the peace treaty by seizing the Philadelphi Corridor, controlling border crossings, and blocking aid to Gaza while seeking to forcibly displace Palestinians into Egypt.

“Every Israeli action along Gaza’s border with Egypt constitutes hostile behavior against Egypt’s national security,” said Rashad, who previously headed the Israeli military affairs division in Egypt’s intelligence service.

“Egypt cannot sit idly by in the face of such threats and must prepare for all possible scenarios.”

The Philadelphi Corridor is a strategically sensitive buffer zone, serving as a narrow 14-kilometer passage between Egypt, Israel, and Gaza, stretching from the Mediterranean Sea in the north to the Kerem Shalom crossing in the south.

Military expert General Samir Farag insisted that Egypt has not violated the peace treaty or its security annex in over 40 years, arguing that Israel has repeatedly breached the agreement and is attempting to shift blame onto Cairo.

“Israel is doing this to distract from its internal problems, including public discontent over its ballooning defense budget,” Farag told Asharq Al-Awsat.

“It also wants to deflect attention from Egypt’s reconstruction plan for Gaza and leverage its claims to pressure the United States for more military aid by portraying Egypt as a threat.”

Farag emphasized that Egypt’s actions are solely aimed at protecting its national security, adding: “There is no clause in the peace treaty that prevents a country from defending itself.”

“The so-called ‘military infrastructure’ Israel refers to consists of roads and development projects in Sinai.”

“The US has satellite surveillance over the region—if Egypt had violated the treaty, Washington would have flagged it. Moreover, security coordination between Egypt and Israel continues daily,” he explained.

Egypt and Israel signed their landmark peace treaty on March 25, 1979, committing to resolving disputes peacefully and prohibiting the use or threat of force. The agreement also established military deployment guidelines and a joint security coordination committee.

Meanwhile, US Republican Party member Tom Harb told Asharq Al-Awsat that Washington has received intelligence from multiple sources indicating that Egypt has amassed a significant military force in Sinai.

Israel considers this a breach of the peace treaty, which designates Sinai as a demilitarized zone to prevent surprises like the 1973 war, Harb said.

While the US fully supports Israel’s concerns, it also wants to prevent further escalation, as that would destabilize the region, he added.

Ultimately, Egypt must clarify whether its troop movements are aimed at threatening Israel or preventing Palestinians from crossing into Egyptian territory, he stated.