Economic Toll of Lebanon's Escalating Conflict Surpasses $5 Billion World Bank

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Economic Toll of Lebanon's Escalating Conflict Surpasses $5 Billion World Bank Reports Extensive Damage to Homes and Key Sectors Amid Ongoing Violence

BEIRUT: The ongoing conflict in Lebanon, which has intensified recently, has resulted in over $5 billion in economic losses and significant damage to nearly 100,000 homes, according to a report released by the World Bank on Thursday. Since September 23, Israel has increased its airstrikes in Lebanon and deployed ground troops, following nearly a year of limited cross-border exchanges initiated by Hezbollah amid the Gaza war. The World Bank's findings estimate that between October 8, 2023, and October 27, 2024, the conflict has led to $5.1 billion in economic losses, with damages to physical structures amounting to at least $3.4 billion. The hardest-hit sectors include commerce, tourism, hospitality, and agriculture. The report warns that the ultimate cost of damages and losses for Lebanon is likely to far exceed the current estimates. It notes that around 99,209 housing units have been damaged, primarily in southern Lebanon near the Israeli border, resulting in approximately $2.8 billion in damages. Eighty-one percent of the affected homes are located in the districts of Tyre, Nabatiyeh, Saida, Bint Jbeil, and Marjayoun. Additionally, the World Bank forecasts that the conflict will reduce Lebanon's real GDP growth for 2024 by at least 6.6 percent.