Lebanon Daily News Brief 10/11/2021

DAILY NEWS


Lebanon’s Electricity Grid Comes Back On After Emergency Fuel Supply
On Saturday, Lebanon’s electricity completely shut down after two main power power plants, Zahrani and Deir Ammar, ran out of fuel. The Lebanese army provided emergency fuel and the electricity grid came back on yesterday. The emergency supplies are expected to only last a few days so Banque du Liban has released $100 million for fuel imports. [New York Times] Today an oil storage tank caught fire when gasoline was being transferred from one tank to another in Zahrani. Firefighters were able to put out the blaze after 66,000 gallons of gasoline burnt out. [AP]

Lebanese Court Rejects Lawsuits Against Judge Bitar
After former Lebanese ministers filed lawsuits against Judge Tarek Bitar requesting his removal, the Court of Cassation rejected the lawsuits. The Court said removing Bitar is not within its authority since he is not one of the Court’s judges. This is the second time the Court has rejected recent lawsuits agains Bitar based on “legitimate suspicion.” The former ministers who filed the complaints did so days before they were scheduled for questioning in the Beirut investigation. [Naharnet]

Prime Minister Miqat Visits Amman
On Sunday Prime Minister Najib Miqati visited King Abdullah II in Amman to discuss regional affairs. Very little about the conversation was released afterwords but King Abdullah was quoted as saying that “Jordan will always stand by the side of Lebanon and its brotherly people.” [AP]

OPINION & ANALYSIS


Latest NDI Poll Results Show 45% of Lebanese Don’t Intend to Vote in 2022
Jean AbiNader

AbiNader writes, “A key instrument of change that is mentioned in any analysis of Lebanon’s current set of crises and prospects for recovery is the holding of free and fair elections. With the recent rescheduling of the upcoming 2022 elections, shifted from early May to late March, there is an even greater sense of déjà vu that the results will maintain the status quo and not auger a better future for Lebanon. In fact, one analyst suggested that the March date was chosen to thwart an unfavorable shifting in voter registrations, due to take place on March 31. There are many initiatives going on at the same time. Opposition groups are working on a common strategy; old line parties are angling to produce joint lists in order to frustrate the opposition; and indicators show that most people perceive the elections, under the current leadership and system, to be a waste of time.”

Read more here

Human Rights Watch
Lebanon: Planning Lapses Endanger School Year

Human Rights Watch warns that Lebanon’s education system is at risk of collapse. HRW suggests that international donors channel aid more directly to schools, teachers, and school-children’s families. Researcher Aya Majzoub said, “The Lebanese government is abandoning schools, teachers, and parents to muddle through the acute economic crisis and the pandemic on their own, exacerbating the inequalities between the few children whose parents can afford a quality education and the many who cannot. There needs to be an all-hands-on-deck response from the government, donors, and the UN to avert a disaster for children and the country.”

Read more here

Atlantic Council
Why Israeli Gas and Syrian Sanctions Relief May Turn On Lebanon’s Lights
Matthew Zais

Zais writes, “Before the US and World Bank throw a lifeline to either Assad or Lebanon, they should demand concessions that reduce Iranian and Russian influence in the region. Concessions should include decreased Iranian presence in Syria, a rollback of Hezbollah influence and economic reforms in Lebanon, and the allowance of in-kind gas subsidies rather than cash transfers to Assad. Ideally, the US avoids another regional mistake where the US again forfeits more regional influence and reputation rather than demanding concessions that align with US interests.”

Read more here


Disclaimer: The views and opinions expressed in these articles are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon, a non-profit, nonpartisan leadership organization of Lebanese-Americans.

This Week In Lebanon: 10/10/2021

October 10, 2021
USAID Launches $29 Million Energy Project
Iranian Foreign Minister Visits Beirut
Lebanon Resumes Talks With the IMF

USAID Launches $29 Million Energy Project
The US Agency for International Development has launched a $29 million project to deliver energy across Lebanon through a contract with IMC Worldwide, Inc. The project is designed to increase the supply of electricity generation at the community level in a cost-effective and reliable way while strengthening capacities for renewable energy. [US Embassy Beirut]

RESPONSE

“USAID energy projects at the local level offer the Miqati government a unique and clean energy opportunity if they move to unbundle electricity generation, transmission, and distribution services and allow independent and local producers access to the grid. Two things are important: protecting an independent Tenders Board to allow for the transparent bidding of electricity generation; and a law that allows local solar projects to sell excess generation to the country’s electric grid. USAID has undertaken an important step to help communities across the country with their electricity demand. The Miqati government should take advantage of this opportunity and partner with USAID.”

-ATFL President Edward M. Gabriel


Iranian Foreign Minister Visits Beirut
This past week Iranian foreign minister Hossein Amir-Abdollahian met with Lebanese officials in Beirut. In a discussion with Parliament Speaker Nabih Berri, FM Amir-Abdollahian discussed ongoing talks between Iran and Saudi Arabia and their “positive effects.” He also blamed regional instability on foreign troops based in the Middle East. [AP] He further expressed Iran’s willingness to rebuild Beirut’s port and that Iranian firms are ready to build two power plants in Lebanon within 18 months. [Naharnet] On Friday the foreign minister announced that Iran will continue to send fuel shipments to Lebanon through coordination with Hezbollah and that Tehran is ready to send essential items, including medicine. [Naharnet]

RESPONSE

“In what can only be seen as direct challenges to US policy in the region and to Prime Minister Miqati’s new government, Iran and Hezbollah have promised to continue bringing fuel oil to Lebanon. The US doesn’t want to be seen as an obstruction of sorely-needed fuel imports to Lebanon. However, with transit being handled through Syria without official approval by the Lebanese customs authority, and Caesar Sanctions hovering unless waivers are applied, a resolution is unclear. This is a good opportunity for the new government to demonstrate its resolve to maintain its sovereignty by finding better options with its friends to meet the country’s energy needs.”

-ATFL Policy Director Jean AbiNader


Lebanon Resumes Talks With the IMF
Lebanon’s Finance Minister announced the resumption of talks with the International Monetary Fund and in the coming days, Lebanon and the IMF are set to hold technical discussions. The major issue in the talks that halted negotiations last year with the Diab government is who will be responsible for covering the Banque du Liban’s losses. [Al Jazeera]

RESPONSE

“Some analysts are concerned that Lebanon’s IMF negotiators will drag on the process until the March elections to avoid deciding how the banking sector’s debt will be allocated among its depositors. PM Miqati has said that he intends to exempt those with less than $100,000 in foreign currency accounts. There are several legitimate proposals on the table but, without the support of the bankers, who resist haircuts and restructuring, there may likely be another stalemate. The Prime Minister has asked Lazard for advice as they have already done this for the Hariri and Diab governments. A more resolute and transparent assessment must be completed soon and remedies assigned to lift the burden of restricted access to private accounts.”

-ATFL Policy Director Jean AbiNader


Disclaimer: The views and opinions expressed are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon, a non-profit, nonpartisan leadership organization of Lebanese-Americans.

Latest NDI Poll Results Show 45% of Lebanese Don’t Intend to Vote in 2022

A key instrument of change that is mentioned in any analysis of Lebanon’s current set of crises and prospects for recovery is the holding of free and fair elections. With the recent rescheduling of the upcoming 2022 elections, shifted from early May to late March, there is an even greater sense of déjà vu that the results will maintain the status quo and not auger a better future for Lebanon. In fact, one analyst suggested that the March date was chosen to thwart an unfavorable shifting in voter registrations, due to take place on March 31.

There are many initiatives going on at the same time. Opposition groups are working on a common strategy; old line parties are angling to produce joint lists in order to frustrate the opposition; and indicators show that most people perceive the elections, under the current leadership and system, to be a waste of time.

The NDI report, entitled “No More Politics-as-Usual: Lebanese Unite Behind Key Reforms,” states that “To assess the current state of politics and possibilities for reform during such a critical time, the National Democratic Institute (NDI) conducted quantitative and qualitative public opinion research between March and June 2021, that examined the legacy of the protest movement, how people feel about the government, political parties, and politicians, who citizens trust to represent their needs, and what people see as the best possibilities for reform.”

The polling included over 2400 interviews – conducted via telephone due to Covid risks and distributed across geography, sect, and gender – as well as 15 focus groups, digging deeper into the issues covered in the research. Both the narrative form of the results and a slide deck can be found here.

While the spirits of the demonstrators of October 17, 2019 may have diminished in volume, there seems to be a majority of people who have maintained their demands for a wholesale change in Lebanon’s governing system. As the report also notes: “… Lebanese people from all parts of the country, all religious affiliations, and all demographic groups agree upon a way forward that could lead them out of the current crises and establish a better political foundation for the future. Overwhelmingly, citizens want to eliminate the sectarian basis on which political offices are currently determined, enact comprehensive electoral reform, and support emerging political leaders, civic actors, and new candidates. They want to move away from conducting politics as it has been for the last several decades and rely instead on people with expertise, policy ideas, and non-partisan affiliations.”

While this sounds like a platform from a playbook for democracy building, this finding takes on greater urgency as the country rapidly wastes away economically, its young professionals emigrate daily, and the humanitarian crises worsen significantly. Some greater details may be helpful to understand the perspectives of those polled as well as the implications for the body politic and political system in Lebanon.

Prime Minister Mikati has said in several interviews that his main challenge is establishing trust – with the people, the private sector, and the international community. Buttressing his point, the report observes that, “There is a pervasive lack of trust of politicians and officials at all levels of government and of political parties in general, as well as a lack of trust in what citizens see as a biased media ecosphere controlled by the political parties.”

No level of government was exempt from being characterized as dysfunctional and riddled by corruption and cronyism, on both the national and municipal levels of a political system where “politicians win office and then use their position to benefit themselves, family members, friends, and patrons, rather than their actual constituencies.”

This distrust of government is pervasive as the respondents said that they do not seek guidance from traditional political or religious sources but instead prefer discussions with friends and family members.
In fact, “more than 50% of survey respondents [expressed] that both the media and religious institutions are untrustworthy.” Very few institutions are trusted or seen as immune to the corruption, with the exception of the LAF which garnered an 80% level of trust from respondents in both the polls and focus groups.

On the policy front, the report shows how “People want policies enacted that will stimulate job growth, reduce inflation, deliver support to vulnerable families, and maintain subsidies on wheat, fuel, and medicine. However, even more than such quality of life indicators being improved, people expressed that the most urgent reform priority is for a new election law.” The aim of election reform is to eliminate the sectarian basis for voting and subsequently the channels through which public sector jobs and services are allocated.

On the subject of participation in the elections, “… 45% of respondents said they would not vote in the upcoming parliamentary elections.” Many felt that for whomever they voted, there would only be more of the same, as the traditional parties maintain control of the electoral process by manipulating the rules to favor existing power brokers.

When given a chance to dig deeper into participant responses in the focus groups, “citizens also examined their own actions and admonished fellow citizens and themselves for repeatedly voting for the same politicians and participating in the same flawed system, regardless of past failures and controversies and despite knowing the limitations and shortcomings of the system.” This distrust extends to the municipalities wherein “municipal officials consider political parties to be their main clients and that they look out for those related to or affiliated politically with them, rather than serving constituents.”

When asked to define Lebanon’s greatest asset, 53% answered young people, despite challenges to upward mobility for young people and for women under the current system. Further research is needed to determine what impact social media has, if at all, given that “Only 36% of survey respondents express trust in the media, with 64% indicating a lack of trust in sources such as TV, radio stations, newspapers, and online news sites.”

In its conclusion, the report related that “Overwhelmingly, citizens want to eliminate the sectarian basis on which political offices are currently determined, enact comprehensive electoral reform, and support emerging political leaders, civic actors, and new candidates. They want to move away from conducting politics as it has been for the last several decades and rely instead on people with expertise, policy ideas, and non-partisan affiliations.”

A tall order for any country, even in a mature democracy like the US. So it seems that, irrespective of the outcomes following the upcoming Parliamentary and Presidential elections, Lebanon is on a different path in its second century – a roadmap that may enable the Lebanese to find an inclusive, free, and independent home that will serve as a center for excellence in the region once again.

The views and opinions expressed here are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon.

Lebanon Daily News Brief 10/8/2021

DAILY NEWS


Three Former Ministers File Lawsuits Against Bitar Before Their Scheduled Questioning
Three former ministers filed lawsuits requesting Judge Tarek Bitar’s removal days before they were scheduled for interrogation in Bitar’s port blast investigation. The three former ministers argue a new judge should replace Bitar due to “legitimate suspicion” and violations of the constitution. These complaints follow the Court of Cassation’s rejection of two other recently filed lawsuits that resulted in the suspension of Bitar’s efforts for a week until the court reached its decision. This new round of lawsuits will likely require the suspension of the port investigation again. [The Daily Star]

Central Bank Denies Swiss Report on 2016 IMF Paper
The Swiss newspaper Le Temps recently reported that 14 pages of information indicating Lebanon’s coming financial collapse was removed from a 2016 IMF report at the direction of Banque du Liban governor Riad Salameh. Today BDL denied the allegations. IMF rules say that deletions are permitted for information that has not already been made public and that is highly sensitive to the market. [Reuters]

Iranian FM Announces Continued Fuel Shipments
Today Iranian Foreign Minister Hossein Amir-Abdollahian announced that Iran will continue to send fuel shipments to Lebanon through coordination with Hezbollah. He added that Tehran is ready to send essential items including medicine. [Naharnet]

OPINION & ANALYSIS


Atlantic Council
Why Israeli Gas and Syrian Sanctions Relief May Turn On Lebanon’s Lights
Matthew Zais

Zais writes, “Before the US and World Bank throw a lifeline to either Assad or Lebanon, they should demand concessions that reduce Iranian and Russian influence in the region. Concessions should include decreased Iranian presence in Syria, a rollback of Hezbollah influence and economic reforms in Lebanon, and the allowance of in-kind gas subsidies rather than cash transfers to Assad. Ideally, the US avoids another regional mistake where the US again forfeits more regional influence and reputation rather than demanding concessions that align with US interests.”

Read more here


Disclaimer: The views and opinions expressed in these articles are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon, a non-profit, nonpartisan leadership organization of Lebanese-Americans.

Lebanon Daily News Brief 10/7/2021

DAILY NEWS


Iranian Foreign Minister Visits Beirut
Iranian foreign minister Hossein Amir-Abdollahian met with Lebanese officials in Beirut today. In a discussion with Parliament Speaker Nabih Berri, FM Amir-Abdollahian discussed ongoing talks between Iran and Saudi Arabia and their “positive” effects. He also blamed regional instability on foreign troops based in the Middle East. [AP] He further expressed Iran’s willingness to rebuild Beirut’s port and that Iranian firms are ready to build two power plants in Lebanon within 18 months. [Naharnet]

Miqati Signs Bill to Lift Immunities Surrounding Blast
Yesterday Prime Minister Najib Miqati announced in a Sky News Arabia interview that he has signed a bill that removes immunities from “everyone” who might hold responsibility for the Beirut Port explosion. He added that the constitution dictates that senior government officials must be tried in front of a special tribunal. It has been more than a year after the port blast and no senior official has been held accountable. [Reuters]

Lebanese Government to Officially Communicate with Syria
For the first time since the eruption of Syria’s civil war in 2011, Lebanon’s government appointed one of its members to communicate with Damascus. After industry and agriculture ministers signaled that exports face difficulties because of high costs, Public Works and Transport Minister Ali Hamiyeh added the high costs are due to high fees on Lebanese trucks that travel through Syria to other countries. Prime Minister Miqati then asked Hamiyeh to work with the Syria to find solutions and at Hamiyeh’s insistence it became an “official authorization” to open communications. [Naharnet]

OPINION & ANALYSIS


National Democratic Institute
No More Politics As Usual: Lebanese Unite Behind Major Reforms

The National Democratic Institute recently released key findings from their quantitative and qualitative public opinion research in Lebanon in partnership with InfoPro Research. The key themes include lack of trust in political representatives and governing institutions; urgency placed on economic assistance and structural reform; belief that meaningful change will not come from elections but from systemic change; a review of the 2019 protests; and that civil society, especially women and youth, will be instrumental to reform.

Read more here


Disclaimer: The views and opinions expressed in these articles are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon, a non-profit, nonpartisan leadership organization of Lebanese-Americans.

Lebanon Daily News Brief 10/6/2021

DAILY NEWS


USAID Launches $29 Million Energy Project
The US Agency for International Development has launched a $29 million project to deliver energy across Lebanon through a contract with IMC Worldwide, Inc. The project is designed to increase the supply of electricity generation at the community level in a cost-effective and reliable way while strengthening capacities for renewable energy. [US Embassy Beirut]

Lebanon, Syria, and Jordan Agree to Electricity Plan
During a meeting in Amman today, energy ministers of Lebanon, Jordan, and Syria agreed on a work plan and timeframe to supply Lebanon with Jordanian electricity through Syria. The plan includes repairing necessary infrastructure in Syria which is said to need three months to be completed. Lebanon’s energy minister added that the next step will be to secure financing from the World Bank. [Naharnet]

EU Ambassador Ready to Support Lebanon’s Rescue Plan
After a meeting with Prime Minister Najib Miqati, EU Ambassador to Lebanon Ralph Tarraf said yesterday that the EU is ready to support the new Lebanese government’s economic rescue plan. The meeting coincides with French envoy Pierre Duquesne’s visit to Beirut as well as German Minister of State for Foreign Affairs Niels Annen’s meetings with top Lebanese officials this week. [The Daily Star]

OPINION & ANALYSIS


National Democratic Institute
No More Politics As Usual: Lebanese Unite Behind Major Reforms

The National Democratic Institute recently released key findings from their quantitative and qualitative public opinion research in Lebanon in partnership with InfoPro Research. The key themes include lack of trust in political representatives and governing institutions; urgency placed on economic assistance and structural reform; belief that meaningful change will not come from elections but from systemic change; a review of the 2019 protests; and that civil society, especially women and youth, will be instrumental to reform.

Read more here


Al Jazeera
Lebanon After the Beirut Blast: A Nation Stuck in a Moment
Zahera Harb

Harb writes, “It has been more than a year since the explosion. But the people of Lebanon are still waiting for justice. We are waiting for those directly or indirectly responsible for our collective assassination to be held accountable for their crimes. Beirut today is a shadow of the city we once knew. The port blast, followed by the total collapse of the Lebanese economy, took its toll on the capital – and its people. Not only Beirut, but the whole of Lebanon is now a trauma zone. Trauma has become a dominant ingredient of our national identity. We want to heal, we try to heal – but there is no healing without justice. For the Lebanese people to once again look at the future with hope, those who tampered with our economic and physical safety need to be put behind bars. The thugs ruling over us, however, are hellbent on avoiding accountability.”

Read more here


Disclaimer: The views and opinions expressed in these articles are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon, a non-profit, nonpartisan leadership organization of Lebanese-Americans.

Lebanon Daily News Brief 10/5/2021

DAILY NEWS


IMF Technical Discussions Expected in the Coming Days
Yesterday Lebanon’s Finance Minister announced the resumption of talks with the International Monetary Fund. [Bloomberg] In the coming days, Lebanon and the IMF are set to hold technical discussions. The major issue in the talks that halted negotiations with the Diab government last year is who will be responsible for covering the Banque du Liban’s losses. [Al Jazeera]

French Envoy Meets with Lebanese Officials on Reforms and IMF
Yesterday, French special envoy Pierre Duquesne began talks with Lebanese officials in order to prepare the government for its resumption of IMF talks and to accelerate government reform measures. Dusquesne is in Lebanon on a four-day visit. He met with ministers of Finance and Public Works and Transport, and is expected to meet with President Michel Aoun, Parliament Speaker Nabih Berri, Prime Minister Najib Miqati, BDL Governor Riad Salameh, and others. [The Daily Star]

US Mediator to Visit Israel and Lebanon This Month
Israel says it is ready to renew talks with Lebanon over maritime borders, but Israel’s energy minister said that it will not accept Beirut dictating the terms of the negotiations, arguing that talks had previously started by one line and that Lebanon then tried to push the line further. [Reuters] The US State Department confirmed that US Energy Envoy Amos Hochstein will resume his role as mediator for the maritime border talks. (US State Department). Hochstein is expected in both countries this month.

UN Emergency Response Plan for Lebanon
Last week, the United Nations released a $383 million Emergency Response Plan for Lebanon. The plan includes 119 projects meant to provide essential support to about 1.1 million of Lebanon’s most vulnerable. [The 961]

OPINION & ANALYSIS

Carnegie Middle East Center
Pivoting Away From America
Michael Young

Young writes, “While the headlines are that the plan would supply a suffering Lebanon with gas, the real story is that Egypt and Jordan are looking for ways to reintegrate Syria into the Arab fold, using Lebanon as a hook to do so. It seems increasingly apparent that what some in Washington are portraying as a Biden administration effort to lean in the direction of the Assad regime and Iran, may actually be more significant: an effort by Arab states to use openings toward Syria and Lebanon to challenge Iran’s sway in both countries and turn them into places where the Arabs can bargain with Tehran…In the absence of a United States acting as a Middle Eastern regulator, Arab states are accumulating cards to play power games of their own at the regional level. The debate in Washington remains insular, focused on how an administration in office acts and what this means domestically, but in the Middle East the regimes are imposing a new playbook. ”

Read more here


Disclaimer: The views and opinions expressed in these articles are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon, a non-profit, nonpartisan leadership organization of Lebanese-Americans.

Lebanon Daily News Brief 10/4/2021

DAILY NEWS


Lebanon Announces the Resumption of IMF Talks
Today Lebanon’s Finance Ministry announced that it has resumed talks with the International Monetary Fund. It said that will seek a “fair and comprehensive” solution for its creditors and that Lebanon “remains fully committed to engage in a constructive, transparent and equitable debt restructuring process.” [Bloomberg]

Court Rejects Lawsuits Against Bitar
This morning Lebanon’s Court of Cassation rejected lawsuits filed against the lead investigator of the Beirut Port blast, Judge Tarek Bitar. Three former ministers, who had been called in for questioning by Bitar, filed the complaints and requested the judge’s removal. The lawsuits caused the suspension of Bitar’s investigation until the court made a decision. [AP]

Special Tribunal Prosecutors Seek to Appeal Last Year’s Acquittals in Hariri Assassination Case
Prosecutors are seeking to overturn the acquittal of two men over the 2005 assassination of former Prime Minister Rafik al-Hariri. Today they said there were “fundamental errors” in the decision and that the lower chamber judges did not properly assess circumstantial evidence in the case. The prosecutors are seeking to convict on appeal the two men who were acquitted last year. A hearing on the appeal is scheduled to last five days. [Reuters]

US State Department Envoy Appointed Maritime Border Mediator
US and Israeli officials reportedly told news outlet Axios that the US State Department’s energy envoy, Amos Hochstein, will serve as the new mediator in maritime border talks between Lebanon and Israel. [Axios]

UN Warns of Extreme Poverty and Urges Reforms
Last Friday UN Resident and Humanitarian Coordinator for Lebanon Najat Rochdi warned of a “living nightmare” and that Lebanon’s most vulnerable face suffering and distress as a result of the country’s economic crisis. The UN estimates that more than one million Lebanese need assistance to cover their most basic needs, including food. Rochdi emphasized that humanitarian action is meant to be a short-term fix and is not sustainable. She said Lebanon’s future depends on the political will to reform the economy. [Al Jazeera]

OPINION & ANALYSIS

Carnegie Middle East Center
Pivoting Away From America
Michael Young

Young writes, “While the headlines are that the plan would supply a suffering Lebanon with gas, the real story is that Egypt and Jordan are looking for ways to reintegrate Syria into the Arab fold, using Lebanon as a hook to do so. It seems increasingly apparent that what some in Washington are portraying as a Biden administration effort to lean in the direction of the Assad regime and Iran, may actually be more significant: an effort by Arab states to use openings toward Syria and Lebanon to challenge Iran’s sway in both countries and turn them into places where the Arabs can bargain with Tehran…In the absence of a United States acting as a Middle Eastern regulator, Arab states are accumulating cards to play power games of their own at the regional level. The debate in Washington remains insular, focused on how an administration in office acts and what this means domestically, but in the Middle East the regimes are imposing a new playbook. ”

Read more here


Disclaimer: The views and opinions expressed in these articles are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon, a non-profit, nonpartisan leadership organization of Lebanese-Americans.

This Week In Lebanon: 10/1/2021

October 1, 2021
Turkish Company Shuts Down Power Barges
WHO Reports Medical Staff Brain Drain
Lebanon Asks For Water Purification Loan

Turkish Company Shuts Down Power Barges
Today the Turkish company Karpowership halted its electricity supply to Lebanon from its two power barges off the coast of Beirut. The company said Lebanon owes Karpowership more than $100 million in overdue payments. Karpowership says the shutdown comes after its contract expired on Thursday at midnight. [AP] The news arrives as Lebanon’s electricity problems continue and the country risks total blackout as fuel reserves dwindle. [Reuters]

RESPONSE

“Waiting on energy supply through Syria from Jordan and Egypt may take months. Gulf countries should take the opportunity to combat Iran’s publicity stunt with Arab Gulf tankers filled with gasoline and fuel oil. It is important for Gulf countries to show support for Lebanon as a counter to Iranian influence. In the longer term, the only solution to the energy crisis is to stop the regressive subsidy program, enact the World Bank cash cards for those in most need, and privatize electricity generation through a transparent regulatory agency bidding process.”

-ATFL President Edward M. Gabriel


WHO Warns of Medical Staff Brain Drain from Lebanon
The World Health Organization recently reported accounts of “alarming” brain drain from Lebanon. The reports show that at least one third of medical staff have left the country in the past two years. WHO Director General Tedros Adhanom Ghebreyesus noted that fuel shortages are causing hospitals to operate at only 50 percent capacity and that medicine supplies are at dangerously short levels. [Middle East Eye]

RESPONSE

“The brain drain is mentioned frequently as a fatality of Lebanon’s collapse. It is painful both because of the loss of talent to maintain existing services, and longer term as a generation that may decide not to return, raise their children abroad, and become quality members of the overseas Lebanese community. Remittances aside, the opportunity for them to mentor and train young Lebanese will be lost. Their careers will be credited to the countries that accept them, make them welcome, and give them the space and support to achieve. It is a loss to a degree of the spiritual core of the Lebanese people, and that should be mourned.”

-ATFL Policy Director Jean AbiNader


Lebanon Asks for Water Purification Loan
Lebanon is asking the World Bank for a loan to help address its water pollution problem. The country’s Litani River and Qaraoun Lake have taken the brunt of Lebanon’s severe pollution issues with reports of large concentrations of coliform bacterias found in the bodies of water. Lebanon’s Environment Ministry says a loan from the World Bank would establish water purification stations. [The 961]

RESPONSE

“Water resources have been an issue in Lebanon for the past 40 years. I can remember being able to drink from streams coming down from the mountains and embracing the cool cleanliness, savoring its freshness. Now the shores of the sea, rivers, streams, and lakes have become garbage dumps in a country that relies in part on tourism for its recovery. Hopefully, the Miqati government will have the time to begin refreshing the water resources and this project can become a model for many other areas of the country.”

-ATFL Policy Director Jean AbiNader


Disclaimer: The views and opinions expressed are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon, a non-profit, nonpartisan leadership organization of Lebanese-Americans.

Lebanon Daily News Brief 10/1/2021

DAILY NEWS


Lebanon Announces Delegation for IMF Talks
Yesterday Prime Minister Najib Miqati’s new government announced a delegation team to resume talks with the IMF. The team includes Deputy Prime Minister Saade Chami, Finance Minister Yousseff Khalil, Economy Minister Amin Salam, and central bank governor Riad Salameh. [Naharnet] Yesterday President Michel Aoun asked the financial firm Lazard to continue its advisory role in preparing for the resumption of IMF talks. [Al Arabiya]

Turkish Company Shuts Down Power Barges
Today the Turkish company Karpowership halted its electricity supply to Lebanon from its two power barges off the coast of Beirut. The company said Lebanon owes Karpowership more than $100 million in overdue payments. Karpowership says the shutdown comes after its contract expired on Thursday at midnight. [AP]

Israel Investigating Fallen Drone in Lebanese Territory
Hezbollah claimed it shot down an Israeli drone yesterday in the south of Lebanon. Israel says it is investigating the incident after acknowledging that “during routine activity, an IDF drone fell with Lebanese territory.” [Reuters]

OPINION & ANALYSIS


The Lebanese Center for Policy Studies
Tackling the Transportation Crisis in Lebanon: Past and Present
Tammam Nakkash

Tammam Nakkash discusses with Alternative Frequencies podcast host Bilal El-Amine the state of transportation in Lebanon, proposing both immediate and long-term solutions, particularly in light of the lifting of fuel subsidies and the paralysis it has caused in the critical transportation sector.

Listen here

TRT World
‘Why Should We Trust Them?’: Lebanon’s New Government With Cynicism
Farah-Silvana Kanaan

Kanaan writes, “One would think that residents of a collapsed country would rejoice in the formation of a government after 13 months of a stalemate – while the myriad of issues plaguing the country kept accumulating and worsening – most Lebanese, however, have welcomed the news with thinly veiled cynicism and exasperated shrugs…While much maligned billionaire Nijab Mikati’s government, which won the parliament’s confidence vote on September 20 with 85-15 votes, vowed to swiftly resume International Monetary Fund (IMF) bailout talks and get cracking on a host of reforms to lift the country out of its worsening economic crisis, there seems to be little to no confidence that any fundamental change is on the horizon.”

Read more here

The Wall Street Journal
The Leopards of Lebanon
Andrew Doran

Doran writes, “Lebanon must find a way to preserve the country’s tradition of liberalism and pluralism amid its descent into chaos and darkness. Perhaps the Christian, Sunni, Druze and even some Shiite communities will decide that they have had enough of Iran and Hezbollah and their corrupt elites, and seek to establish some kind of decentralized political community to salvage what they can of the original idea of Lebanon—that is, somehow to change everything so that it can remain the same.”

Read more here

NPR
How WhatsApp Broke Lebanon

Lebanese economist Nisreen Salti with NPR’s Planet Money about the era following the end of the Lebanese Civil War, when there was hope to regrow the economy and even for Beirut to become a financial hub for the Middle East. Nisreen says that the big mistake that set Lebanon on a course from hope to despair was a decision about the exchange rate. Lebanon decided to fix the exchange rate of the local currency to the US dollar. While this stable exchange rate gave overseas investors certainty, Nisreen says it has been “maintained well past its healthy life.” For over two decades, the government borrowed more and more money to maintain the exchange rate, until it had burgeoning debt and defaulted on payments in 2020. From there, everything went downhill.

Listen here


Disclaimer: The views and opinions expressed in these articles are those of the author and do not necessarily reflect the position of the American Task Force on Lebanon, a non-profit, nonpartisan leadership organization of Lebanese-Americans.