Lebanon

Lebanon has a free-market economy and a strong laissez-faire commercial tradition. The government does not restrict foreign investment; however, the investment climate suffers from red tape, corruption, arbitrary licensing decisions, high taxes, tariffs, and fees, archaic legislation, and weak intellectual property rights. The Lebanese economy is service-oriented; main growth sectors include banking and tourism. The 1975-90 civil war seriously damaged Lebanon’s economic infrastructure, cut national output by half, and all but ended Lebanon’s position as a Middle Eastern entrepot and banking hub. In the years since, Lebanon has rebuilt much of its war-torn physical and financial infrastructure by borrowing heavily - mostly from domestic banks. In an attempt to reduce the ballooning national debt, the Rafiq HARIRI government in 2000 began an austerity program, reining in government expenditures, increasing revenue collection, and passing legislation to privatize state enterprises, but economic and financial reform initiatives stalled and public debt continued to grow despite receipt of more than $2 billion in bilateral assistance at the 2002 Paris II Donors Conference. The Israeli-Hizballah conflict in July-August 2006 caused an estimated $3.6 billion in infrastructure damage, and prompted international donors to pledge nearly $1 billion in recovery and reconstruction assistance. Donors met again in January 2007 at the Paris III Donor Conference and pledged more than $7.5 billion to Lebanon for development projects and budget support, conditioned on progress on Beirut’s fiscal reform and privatization program. An 18-month political stalemate and sporadic sectarian and political violence hampered economic activity, particularly tourism, retail sales, and investment, until the new government was formed in July 2008. Political stability following the Doha Accord of May 2008 helped boost tourism and, together with a strong banking sector, enabled real GDP growth of 7% per year in 2009-10 despite a slowdown in the region.

$58.65 billion (2010 est.)

$54.71 billion (2009 est.)

$51.18 billion (2008 est.)

$39.15 billion (2010 est.)

7.2% (2010 est.)

6.9% (2009 est.)

9.3% (2008 est.)

$14,200 (2010 est.)

$13,300 (2009 est.)

$12,700 (2008 est.)

1.481 million

NA%

28% (1999 est.)

30.8% of GDP (2010 est.)

150.7% of GDP (2010 est.)

154.8% of GDP (2009 est.)

3.7% (2010 est.)

1.2% (2009 est.)

10% (31 December 2009)

12% (31 December 2008)

9.57% (31 December 2009 est.)

9.96% (31 December 2008 est.)

$3.692 billion (31 December 2010 est)

$3.21 billion (31 December 2009 est)

$92.01 billion (31 December 2010 est.)

$82.07 billion (31 December 2009 est.)

$62.68 billion (31 December 2010 est.)

$56.98 billion (31 December 2009 est.)

$12.89 billion (31 December 2009)

$9.641 billion (31 December 2008)

$10.86 billion (31 December 2007)

citrus, grapes, tomatoes, apples, vegetables, potatoes, olives, tobacco; sheep, goats

banking, tourism, food processing, wine, jewelry, cement, textiles, mineral and chemical products, wood and furniture products, oil refining, metal fabricating

2.1% (2010 est.)

10.41 billion kWh (2009)

9.793 billion kWh (2009)

0 kWh (2009 est.)

1.114 billion kWh (2009 est.)

0 bbl/day (2009 est.)

90,000 bbl/day (2009 est.)

0 bbl/day (2009)

86,750 bbl/day (2007 est.)

0 bbl (1 January 2010 est.)

0 cu m (2009 est.)

0 cu m (2008 est.)

0 cu m (2009 est.)

0 cu m (2008 est.)

0 cu m (1 January 2010 est.)

-$6.972 billion (2010 est.)

-$7.555 billion (2009 est.)

$5.187 billion (2010 est.)

$4.716 billion (2009 est.)

jewelry, base metals, chemicals, miscellaneous consumer goods, fruit and vegetables, tobacco, construction minerals, electric power machinery and switchgear, textile fibers, paper

Switzerland 22%, UAE 10%, Iraq 8%, Saudi Arabia 7% (2009)

$17.97 billion (2010 est.)

$15.9 billion (2009 est.)

petroleum products, cars, medicinal products, clothing, meat and live animals, consumer goods, paper, textile fabrics, tobacco, electrical machinery and equipment, chemicals

US 11%, France 10%, China 9%, Italy 8%, Germany 8%, Turkey 4%, Ukraine 4.55%, Turkey 4.5% (2009)

$41.57 billion (31 December 2010 est.)

$39.16 billion (31 December 2009 est.)

$34.45 billion (31 December 2010 est.)

$31.89 billion (31 December 2009 est.)

$NA

$NA

Lebanese pounds (LBP) per US dollar - 1,507.5 (2010), 1,507.5 (2009), 1,507.5 (2008), 1,507.5 (2007), 1,507.5 (2006)