Lebanon's Economic Collapse in Numbers

A woman washes dishes in her kitchen as she uses a portable electric light due to a power cut, in Beirut, Lebanon July 6, 2020. Picture taken July 6, 2020. Reuters
A woman washes dishes in her kitchen as she uses a portable electric light due to a power cut, in Beirut, Lebanon July 6, 2020. Picture taken July 6, 2020. Reuters
TT

Lebanon's Economic Collapse in Numbers

A woman washes dishes in her kitchen as she uses a portable electric light due to a power cut, in Beirut, Lebanon July 6, 2020. Picture taken July 6, 2020. Reuters
A woman washes dishes in her kitchen as she uses a portable electric light due to a power cut, in Beirut, Lebanon July 6, 2020. Picture taken July 6, 2020. Reuters

Lebanon is battling its worst economic crisis since the 1975-1990 civil war. The national currency is in freefall, while poverty and unemployment are on the rise.

Here are some numbers:

Plummeting pound
The Lebanese pound has lost around 90 percent of its value against the dollar on the black market in 18 months of crisis.
While the currency remains officially pegged to the greenback at 1,507 Lebanese pounds, the exchange rate has shot up to around 15,000 on the black market.

Poverty
Some 55 percent of Lebanese live below the poverty line of 3.84 dollars a day, the United Nations says.

Up to 23 percent of Lebanese live in extreme poverty, compared with just eight percent in 2019.

Inflation
Consumer prices rose by almost 146 percent during 2020, official statistics show.

Food prices overall rose by more than 400 percent last year, the World Food Program says.

The price of a basket of key survival items such as rice, pasta and cooking oil has almost tripled since October 2019, the WFP says.

The price of subsidized bread has risen by 91.5 percent since May 2020, as the cash-strapped government has gradually increased the price of a large packet of flatbread while also diminishing its weight.

The price of meat has increased by 110 percent over the past year, while the cost of chicken has risen by 65 percent, the World Bank says.

Median salary
Before the economic crisis broke in 2019, the median salary in Lebanon was more than 950,000 Lebanese pounds, official statistics show, according to Agence France Presse.

While that salary was worth around $630 dollars before the crisis, its value on the black market on Tuesday was just $63.

Unemployment
In late 2020, unemployment stood at 39.5 percent.

From 2019 to 2020, full-time employment dropped by 40 percent in the construction sector, while it fell by 31 percent in the hotel and restaurant sector, the United Nations says.
Aid

A World Bank loan of $246 million is to provide aid to around 786,000 hardest hit Lebanese.

Recession
Lebanon's gross national product fell by 25 percent last year, the International Monetary Fund says.

Debt
Public debt reached $95.6 billion in late 2020, the country's third largest lender, Byblos Bank, says.

That is equivalent to 171 percent of GDP, the International Monetary Fund says.

Foreign currency reserves
On March 15, the central bank had $17.5 billion in reserves, its website said, even if analysts have alleged the figure is likely lower.

At the end of February 2020, it had stood at $30.3 billion, Byblos Bank analysts said, explaining the drop was mainly due to spending on subsidies including wheat and fuel.
Trade deficit

Lebanon's balance of payments deficit reached $10.2 billion by the end of November 2020, almost double that registered a year before, central bank statistics showed, according to a report by top lender Bank Audi.

Electricity
The government has spent $40 billion on the power sector since 1992, accounting for 40 percent of public debt, a report by the American University of Beirut has said.

Yet the state utility covers only 63 percent of electricity demand, which results in rolling blackouts, a December study by the AUB said.

Now just two weeks remain before a nationwide blackout unless emergency funding is secured to buy fuel oil to operate power plants, the caretaker energy minister has warned.

Coronavirus
Even as it battles with economic crisis, Lebanon has recorded at least 418,448 Covid-19 cases since early last year, 5,380 of them fatal.

Port explosion
A massive explosion at Beirut port last year killed more than 200 people and ravaged swathes of the capital.

It caused between $6.7 billion and $8.1 billion in damage and economic losses, the World Bank said.

Refugees
Lebanon's more than six million inhabitants include around 1.5 million Syrians who have fled war in their homeland, of whom almost one million have been registered as refugees with the United Nations.

Nine out of 10 Syrian refugee families in Lebanon live in extreme poverty, the UN says.

Nearly 180,000 Palestinians also live in Lebanon, according to an official census.

In a May 2020 survey, 80 percent of respondents said they had lost their job or seen their salary reduced, the UN agency for Palestinian refugees said.



Egypt to Establish Middle East’s 1st Sodium Cyanide Plant for Gold Extraction

CEO of the General Authority for Investment and Free Zones (GAFI) Mohamed el-Gawsaky, received a delegation from DrasChem Specialty Chemicals (Egyptian Cabinet)
CEO of the General Authority for Investment and Free Zones (GAFI) Mohamed el-Gawsaky, received a delegation from DrasChem Specialty Chemicals (Egyptian Cabinet)
TT

Egypt to Establish Middle East’s 1st Sodium Cyanide Plant for Gold Extraction

CEO of the General Authority for Investment and Free Zones (GAFI) Mohamed el-Gawsaky, received a delegation from DrasChem Specialty Chemicals (Egyptian Cabinet)
CEO of the General Authority for Investment and Free Zones (GAFI) Mohamed el-Gawsaky, received a delegation from DrasChem Specialty Chemicals (Egyptian Cabinet)

The Egyptian government has announced the establishment of the first sodium cyanide production plant in the Middle East in Alexandria Governorate on the Mediterranean coast, with an annual production capacity of 50,000 tons and investments of $200 million in the first phase.

In a statement, the cabinet said on Saturday that CEO of the General Authority for Investment and Free Zones (GAFI) Mohamed el-Gawsaky met with a delegation from DrasChem Specialty Chemicals, a Private Free Zone company, to discuss the steps required to establish the company’s sodium cyanide production facility at the Sidi Kerir Petrochemicals Complex in Alexandria.

The DrasChem project plans to begin production in 2028 following the completion of the facility’s first phase, with initial investments estimated at $200 million. This phase targets the production and export of 50,000 tons of sodium cyanide annually, a key input in gold extraction.

The second phase will focus on either doubling production capacity or manufacturing additional sodium cyanide derivatives, while a third phase will target the production of sodium-ion battery components.

El-Gawsaky said the project aligns with the country’s developmental priorities, particularly those related to increasing exports, transferring and localizing advanced technology, deepening local manufacturing and creating sustainable job opportunities.

The CEO also noted that the plant would benefit from the results of Egypt's economic reform program, which has caused significant improvements in investment, trade, and logistics indicators.

El-Gawsaky urged Egyptian companies, including DrasChem, to adopt integrated, export-oriented industrial strategies, with a particular focus on African markets.

He said the Ministry of Investment and Foreign Trade aims to increase exports by $4 billion. The focus will be on sectors with high competitive advantages, particularly the chemicals sector.

He also highlighted that DrasChem’s sodium cyanide products are of strategic importance to gold mines in Africa, which account for about a quarter of global gold production.

Bassem El-Shemmy, Vice President for Strategic Partnerships at Austria-based Petrochemical Holding GmbH, the largest shareholder in DrasChem, said project partner Draslovka of the Czech Republic will, for the first time, transfer its proprietary technology - developed at its facilities in the US - to Africa and the Middle East.

This move, he said, will help position Egypt as a regional hub for gold extraction technologies and sodium-ion battery manufacturing, a more sustainable and cost-effective alternative to lithium-ion batteries.

For his part, Andrey Yurkevich, Deputy Managing Director for Strategy and Business Development at Petrochemical Holding GmbH, said the DrasChem facility will create up to 500 direct jobs and generate approximately $120 million in annual foreign-currency revenues.

He said that the project will enhance the stability and sustainability of local supply chains and strengthen Egypt’s regional standing as home to the first sodium cyanide production facility in both Egypt and the Middle East.


Türkiye Says to Maintain Tight Monetary Policy, Fiscal Discipline

FILE PHOTO: People shop at a green market in Istanbul, Türkiye, October 22, 2025. REUTERS/Dilara Senkaya/File Photo
FILE PHOTO: People shop at a green market in Istanbul, Türkiye, October 22, 2025. REUTERS/Dilara Senkaya/File Photo
TT

Türkiye Says to Maintain Tight Monetary Policy, Fiscal Discipline

FILE PHOTO: People shop at a green market in Istanbul, Türkiye, October 22, 2025. REUTERS/Dilara Senkaya/File Photo
FILE PHOTO: People shop at a green market in Istanbul, Türkiye, October 22, 2025. REUTERS/Dilara Senkaya/File Photo

Türkiye will maintain its tight monetary policy and keep fiscal discipline in order to further lower inflation, Vice President Cevdet Yilmaz said on Saturday.

Turkish consumer price inflation leapt to a higher-than-expected 4.84% month-on-month in January, official data showed on Tuesday, driven in part by new year price adjustments and a jump in food and non-alcoholic drinks prices. Annual inflation dipped to 30.65%.

Speaking at an event in the southeastern province of Siirt, Yilmaz said ⁠the 45-point fall in inflation since May 2024 was not enough, adding the government was on a path to further lower consumer prices.

"We will maintain our tight monetary policy, we will keep our disciplined fiscal policies, we are determined to do this. But ⁠these are not enough either. On the other hand, we have to contribute to our battle with inflation through our supply-side policies," he added, according to Reuters.

Last month, Türkiye's central bank lowered its key interest rate by a less-than-expected 100 basis points to 37%, citing firming inflation, pricing behavior and expectations that threaten the disinflation process.

After a brief policy reversal early last year due to political turmoil, the bank's ⁠rate-cutting cycle resumed in July with a 300-basis-point cut, followed by more subsequent cuts.

The bank has eased by 1,300 points since 2024, when it held rates at 50% for most of the year to wrestle down inflation expectations.

Last month, the head of the Turkish Exporters Assembly told reporters late that Türkiye's extended period of tight economic policies had hurt manufacturers, with high interest rates and costs posing risks to the country's official $282 billion export target.


India, Malaysia Renew Pledges to Boost Trade and Collaboration

Malaysia's Prime Minister Anwar Ibrahim shakes hands with India's Prime Minister Narendra Modi in Putrajaya on February 8, 2026. (Photo by Hasnoor Hussain / POOL / AFP)
Malaysia's Prime Minister Anwar Ibrahim shakes hands with India's Prime Minister Narendra Modi in Putrajaya on February 8, 2026. (Photo by Hasnoor Hussain / POOL / AFP)
TT

India, Malaysia Renew Pledges to Boost Trade and Collaboration

Malaysia's Prime Minister Anwar Ibrahim shakes hands with India's Prime Minister Narendra Modi in Putrajaya on February 8, 2026. (Photo by Hasnoor Hussain / POOL / AFP)
Malaysia's Prime Minister Anwar Ibrahim shakes hands with India's Prime Minister Narendra Modi in Putrajaya on February 8, 2026. (Photo by Hasnoor Hussain / POOL / AFP)

India's Prime Minister Narendra Modi and his Malaysian counterpart Anwar Ibrahim renewed pledges on Sunday to bolster trade and explore potential collaborations in semiconductors, defense and other fields.

Modi is on a two-day visit to the Southeast Asian nation, his first since the two countries elevated ties to ⁠a comprehensive strategic partnership in August 2024.

Anwar said the partnership included deep collaborations in multiple fields, including trade and investments, food security, defense, healthcare and tourism.

"It's really comprehensive, and we believe ⁠that we can advance this and execute in a speedy manner with the commitment of our both governments," he told a press conference after hosting Modi at his official residence in the administrative capital Putrajaya.

Following their meeting, Anwar and Modi also witnessed the exchange of 11 cooperation agreements, including ⁠on semiconductors, disaster management and peacekeeping, Reuters reported.

Anwar said India and Malaysia would continue efforts to promote the use of local-currency settlement for cross-border activities and expressed hope that bilateral trade would surpass last year's $18.6 billion.

Malaysia will also support India's efforts to open a consulate in Malaysia's Sabah state on Borneo island, Anwar said.