Israel's neighbor that is falling apart from within: the crisis threatening to collapse the state

The World Bank forecasts Lebanon's economy will contract by 6.4% this year, with inflation expected to surge by more than 17%. A farmer from the Bekaa Valley reports a fivefold increase in labor costs and a halving of profits since the war between Israel and Hezbollah.

Lebanon faces a severe economic crisis amid years of mismanagement, war, and destruction. The World Bank forecasts Lebanon's economy will contract by 6.4% this year, with inflation expected to surge by more than 17%. The article describes the plight of citizens like Abd al-Nasser Othman, a farmer from the Bekaa Valley, whose labor costs have quintupled and profits halved since the outbreak of the war between Israel and Hezbollah. In Beirut, a business owner pays over $1,600 a month for a private generator due to poor government electricity supply. The economic crisis has been exacerbated by the collapse of the banking system in 2019, the COVID-19 pandemic, and the Beirut port explosion in 2020. The article quotes Economy Minister Amer Bisat and Prime Minister Nawaf Salam, who acknowledge limited resources. The article is based on a report in the New York Times.