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Livelihoods in Lebanon: Salaries of public employees on time, 440,000 families below poverty line

12-12-2019

The finance minister in the caretaker government, Ali Hassan Khalil, spoke yesterday of an alarming shortage in state revenues, pointing out that the LBP 5000 that were at hand in the past three months have now dropped by nearly 40%. This caused a deficit beyond what was anticipated in the draft budget, Khalil warned, suggesting that all the figures of the 2020 state budget will change. While reassuring that public sector salaries will be released before December 25 as usual, Khalil explained these figures are initial, but added, they will be secured despite actual fiscal difficulties. In conclusion, the minister asked the government to act responsibly, and addressed the caretaker PM demanding him to summon a meeting of the cabinet to facilitate administrative matters and citizens’ affairs. On the other hand, the head of Al Tawhid Al Arabi Party, Wiam Wahhab, warned about the catastrophic situation awaiting the country. He said, “For those who don’t know, around 440,000 families (nearly half of the population) will be below the poverty line in a matter of months, while they (politicians) are still maneuvering.” “Guys, no shares will be left. Take a closer look at the conditions of the people to know what is happening,” Wahhab tweeted. (Al Diyar, December 12, 2019)

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Human Development Report 2019: Lebanon ranked 93 out of 189 countries

10-12-2019

The UNDP Human Development Report, 2019, entitled, ‘Beyond Income, Beyond Averages, Beyond Today’: Inequalities in Human Development in the 21st Century’ showed that the value of the Human Development Index (HDI) in Lebanon has reached 0.730 for 2018. This ranks the country 93 out of 189 states in the category of the same high HDI value, indicating a decline from its value in the previous year’s report, 0.757 points, which ranked Lebanon 80 among 189 countries. According to the above report, the HDI value in Lebanon between 2005 and 2018, has risen from 0.724 to 0.730, that is, by nearly a 0.8% increase. The report also highlighted the growing inequalities globally, presenting the 3-dimensional indices: beyond income, beyond averages and beyond today and proposing a set of policy options to address the problem. The report said Arab countries are witnessing persistent gender inequalities and fragility caused by conflicts, pointing out that the index recorded a 14% gender gap in human development in the Arab region. (An Nahar, December 10, 2019)

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Lebanon in crisis: Loss of 160,000 jobs, closure of 10% of establishments

5-12-2019

In its issue of today, An Nahar published a study by InfoPro Research on the conditions of the private sector surveying the management of some 300 establishments representing the sector. The results have shown drastic losses recorded since the outbreak of popular protests on October 17, 2019, including the permanent or temporary loss of more than 160,000 jobs. According to the study, nearly 10% of the total of institutions operating in Lebanon have forcibly suspended work or have shut down completely. The services sector in particular has had the lion’s share in losses, with sales dropping to a record low rate (73%). The outcomes clearly indicated the weakness in the performance of the sector and its vulnerability in facing the fluctuating conditions months before the start of the current crisis, noting that many companies reduced their overheads, and cut their staff and a large number of salaries. An Nahar wrote that said figures have been reinforced by the World Bank Group Regional Director, Saroj Kuma Jha, who warned days ago about a possible increase by 50% in the poverty rate should the economic situation worsen. The poor and middle classes are expected to be the hardest hit in this looming economic crisis, he said. (For more on the news, kindly refer to the link below: (https://bit.ly/33W1tMZ). (An Nahar, December 5, 2019)

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Livelihoods in crisis: Monthly salary loses 40% of its purchasing power

28-11-2019

After that the dollar exchange rate exceeded the ceiling of LBP 2000 in the black market (https://lkdg.org/ar/node/19020), economic experts in Lebanon say that the monthly salary of the Lebanese is set to lose more than 40% of its purchasing value, adding that with most institutions planning to operate part-time, while cutting to half their workforce’s salaries, the majority of the Lebanese people will soon fall under the poverty line. As for the fluctuating prices of merchandise, the head of the Consumer Protection Directorate, Zuheir Berro, said that the price of one product has varied from one store to another and from one region to another. He pointed to a state of total chaos sparked first, by the rise in the rate of the dollar in the exchange market, and second, by greedy manipulative importers and traders who are trying to force their prices undeterred (noting that nearly 85% of consumer products in the Lebanese market is imported). Similarly, the director-general of the ministry of economy and trade, Alia Abbas, attributed the crisis of prices to the incomplete powers of her ministry which are largely confined to regulate the relationship between retailers and consumers and to recording violations. She disclosed that she has filed a letter yesterday to the justice minister requesting exceptional powers that will allow her ministry to give violations the nature of ‘urgency’ by referring them to the competent judiciary. Abbas maintained that such powers will also serve as a deterrent act enforced by an accelerated executive force. (Al Akhbar, Al Diyar, November 28, 2019)
 

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Lebanon in crisis: Food and hospitality business depressed 

26-11-2019

The Syndicate of Owners of Restaurants, Cafes, Night Clubs and Patisseries in Lebanon announced yesterday the shutdown of some 265 food enterprises in a period of two months. It said that another 200 institutions are expected to close during this month, considering that such figures have been recorded after the statement released by the Syndicate in the wake of the 17 October Uprising. Recalling, that the Syndicate has warned of the repercussions of tax increases in the absence of the basic living, social, economic, financial and environmental needs, coupled with the sharp decline in the purchasing power. With the holiday season close at hand, which gives the owners of establishments a glimmer of hope, there are still no encouraging signs in terms of preparations and bookings for the festive season, the statement said. The Syndicate appealed to the officials and decision-makers to act responsibly for one time and step up the formation of the government in order to salvage the waning sector which is currently in a state of coma. Meanwhile, the head of the Lebanese Farmers’ Association, Antoine Howeyek, revealed to An Nahar daily that the demand on agri products has fallen by nearly 50% during the past two months, which led to a decline in the prices of those commodities as a result of reduced consumption. Howeyek explained that the upshots of the economic crisis on all sectors has aggravated the anguish of agriculture and farmers, pointing out that the purchasing power of the Lebanese has weakened and their resources dropped, as well as the activity of hotels, restaurants and hospitality establishments. The problems of the previous period are still there, and now they are combined with a shrinking consumption. (An Nahar, Al Diyar, November 26, 2019)
 

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Food security starting in steadfasting South Lebanon

25-11-2019

Al Akhbar daily highlighted individual initiatives launched by Southern communities to return to the roots and achieve food self-sufficiency. It brought to mind the food security strategy kicked off 9 years back by the Hizbullah-backed Unions of the Municipalities of Jabal Amel and Bint Jbeil. The newspaper mentioned a number of undertakings to this effect, most notably: ‘I am part of the resistance, I am a farmer’. The latter, to note, was started by Hussein Abbas, from the Bint Jbeil town of Hanin. It inspires land proprietors to plant their stretches of land with staple food crops and breed livestock and poultry to meet consumption needs. This initiative which some believed unfeasible, was developed by the local municipalities into a project, Al Akhbar said, mentioning another initiative, ‘Khairatna bi Ardna’ (The resources of our land). The latter is run by the mayor of Ainata, Riad Fadlallah, to encourage locals to cultivate their land, (up to 150 dunums), with chickpeas, lentils, corn and fava beans under the supervision of the ministry of agriculture. In this regard, the municipal member in the first district controlled by Hizbullah, Ali Zein, spoke to Al Akhbar about several similar initiatives launched in the past years within the municipalities of Jabal Amel and Bint Jbeil. The aim, he said, was to create jobs in the remote areas, including the distribution of some 3,000 chickens to those willing to raise poultry on small scale; support of the beekeeper community; the building of a dairy factory; the distribution of small fruit, olive, fig, thyme and carob trees and seedlings. On the other hand, Kamal Fouani from Houla, questioned the efficacy of such initiatives, outlining some difficulties farmers could face, particularly the high cost of labor, the summer water shortage and the soaring prices of imported seeds and fertilizers. In a related vein, Al Akhbar cited southerners as saying that the current food scarcity is in fact the direct upshot of the policy of siege and starvation against the resistance community. (Al Akhbar, November 25, 2019)
 

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Economic crisis: Meat prices soar by 20%, new cars sales at zero!

21-11-2019

The aftermath of the current financial crisis is exacerbating in the wake of the strict withdrawal limits adopted by banks. Following the fuel and bread crises and the soaring prices of vital commodities, the head of the Syndicate of Food Industries, Ahmad Hteit, pointed to a 20% increase in the prices of meat, warning that the country’s stocks of this foodstuff are expected to be used up by the end of next month. He also revealed that as Lebanon imports all its needs of meat and livestock, there will be soon an additional rise in the average prices of this main commodity. In this regard, Al Akhbar daily indicated a rise during November in the prices of most food items by 20% to 25%, pointing to the chaotic conditions in the sector. Al Akhbar wrote, that while some traders fiddled with the prices of certain merchandise according to their personal estimates, others rose by 20% the prices of all their commodities to match the fluctuating rate of the US dollar, and others decided to constrain the amount consumers should buy from some foods, like the wheat, sugar or grains, for example! In this regard, Al Akhbar criticized the work of the ministry of economy and trade which has confined itself to issuing tickets for stores and hypermarkets that exceed the reasonable or average profit margin. Citing the director general of the ministry, Alya Abbas, the newspaper said the tickets remain unenforceable as long as the courts are sluggish in acting and the real value of the tickets do not in fact deter big businesses and traders. Abbas also noted that the Directorate of Consumers Protection is monitoring the sales and purchasing bills in order to determine the margin of profits, stressing that goods currently on shelves are stored goods. In a related vein, the Association of Car Importers member, Antony Bou Khater, said the activity of sales of new cars in one month (from October 17 to November 17) recorded 0%, noting that around 1000 cars were sold during the period from October 1 to October 17. (Al Akhbar, Al Diyar, November 21, 2019)

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Closure of bottled water companies not meeting health standards

21-11-2019

The ministry of industry issued 15 circulars yesterday ordering the shutdown of 15 unlicensed bottled drinking water companies for violating the decree to this effect. The latter, to recall, sets the conditions for the establishment of industrial institutions and the terms for monitoring and penalties against violating companies. Accordingly, and based on an examination and inspection carried out by the Directorate of Consumer Protection, it was found that the above companies did not comply with the bacterial requirements in line with Lebanese standards. The ministry also issued two requests to settle the situation of Al Khalil and Al Durr water companies in Shiah – Baabda. As for the 15 closed companies, they are: Aqua Mountain in Numeiriya – Nabatieh, Qatr El Nada Establishment in Kfarsir - Nabatieh, X Water in Saida, Al Wafaa Water Establishment in Adchit – Nabatieh, Al Jamil Water Company in Ansar - Nabatieh, Aqua Point in Hasbaya - Nabatieh, Land Cool in Majdal Anjar - Zahle, Adam Cool Water Company in Shmitar - Baalbaq, Aqua Cloud also in Shmistar, Samoya Cool in Cornish al Mazraa - Beirut, Aqua Lebanon in Nabatieh El Fawqa, Al Abdallah Water in Kfarjo- Nabatieh, La Vie in Saksakieh - Saida, Michel Water Company in Batram – Koora and finally, Aqwasila water company in Balyeh - Saida. (Al Diyar, November 21, 2019)

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MoET: University students invited to monitor markets

19-11-2019

The Minister of Economy and Trade in the caretaker cabinet, Mansour Bteish, issued a statement yesterday calling on university students who have been trained on monitoring and protecting markets to join its observers in order to speed up and strengthen their work. The Minister added that the said observers carried out some 812 monitoring visits covering 14 kinds of products during the period extending between 12 and 15 November and that is all over the country. 49 irregularities were noted and warnings issued to the violating institutions. 7 warning were also issued to owners of electrical generators who have violated laws. On food safety, the Minister added that some 353 visits were carried out to ensure that laws related to quality, safety, and weights are being upheld. Here too, 20 warnings were issued. Finally, the Minister asked citizens wishing to volunteer and help to fill out an application after which a rapid training will be organized for the applicants. The application can be found on the Ministry’s website via the following link https://www.economy.gov.lb/ar/volunteer-form as well as on the Ministry’s facebook page https://www.facebook.com/LebanonConsumerProtection.

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75 thousand tons of Lebanese banana to Syria

19-11-2019

After calls by the syndicates of farmers and exporters for the government to interfere with the Syrian government to allow the export of banana, the Minister of Agriculture in the caretaker economy, Dr. Hassan Lakkis, tweeted a message yesterday thanking the Syrian Prime Minister and the Minister of Economy for their decision to allow the import of 75 thousand tons of banana into the Syrian territory. Lakkis further added that this move comes within the framework of coordination and cooperation between the two countries in terms of agricultural exchanges. (Al Diyar and Annahar, 19 November 2019 )

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