Lebanon Economy 2007

Economy - overview:
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 began an austerity program, reining in government expenditures, increasing revenue collection, and privatizing 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 Paris II Donors Conference. The Israeli-Hizballah conflict caused an estimated $3.6 billion in infrastructure damage in July and August 2006, and internal Lebanese political tension continues to hamper economic activity.

GDP (purchasing power parity):
$22.86 billion (2006 est.)

GDP (official exchange rate):
$20.64 billion (2006 est.)

GDP - real growth rate:
-2.8% (2006 est.)

GDP - per capita (PPP):
$5,900 (2006 est.)

GDP - composition by sector:
agriculture: 5.1%
industry: 18.4%
services: 76.5% (2005)

Labor force:
1.5 million
note: in addition, there are as many as 1 million foreign workers (2005 est.)

Labor force - by occupation:
agriculture: NA%
industry: NA%
services: NA%

Unemployment rate:
20% (2006 est.)

Population below poverty line:
28% (1999 est.)

Household income or consumption by percentage share:
lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices):
4% (2006 est.)

Investment (gross fixed):
18.3% of GDP (2006 est.)

Budget:
revenues: $5.448 billion
expenditures: $7.878 billion (2006 est.)

Public debt:
190.2% of GDP (2006 est.)

Agriculture - products:
citrus, grapes, tomatoes, apples, vegetables, potatoes, olives, tobacco; sheep, goats

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

Industrial production growth rate:
NA%

Electricity - production:
9.571 billion kWh (2005)

Electricity - consumption:
8.439 billion kWh (2005)

Electricity - exports:
0 kWh (2005)

Electricity - imports:
455 million kWh (2005)

Oil - production:
0 bbl/day (2004 est.)

Oil - consumption:
107,000 bbl/day (2004 est.)

Oil - exports:
NA bbl/day

Oil - imports:
NA bbl/day

Oil - proved reserves:
0 bbl (1 January 2006)

Natural gas - production:
0 cu m (2005 est.)

Natural gas - consumption:
0 cu m (2005 est.)

Current account balance:
$-1.484 billion (2006 est.)

Exports:
$2.792 billion f.o.b. (2006 est.)

Exports - commodities:
authentic jewelry, inorganic chemicals, miscellaneous consumer goods, fruit, tobacco, construction minerals, electric power machinery and switchgear, textile fibers, paper

Exports - partners:
Syria 26.8%, UAE 12%, Switzerland 6%, Saudi Arabia 5.7%, Turkey 4.5% (2006)

Imports:
$8.547 billion f.o.b. (2006 est.)

Imports - commodities:
petroleum products, cars, medicinal products, clothing, meat and live animals, consumer goods, paper, textile fabrics, tobacco

Imports - partners:
Syria 11.6%, Italy 9.8%, US 9.3%, France 7.7%, Germany 6%, China 5%, Saudi Arabia 4.7% (2006)

Economic aid - recipient:
$243 million received (2003) from the $4.2 billion in soft loans pledged at the November 2002 Paris II Aid Conference (2005)

Reserves of foreign exchange and gold:
$19.18 billion (2006 est.)

Debt - external:
$32.11 billion (2006 est.)

Stock of direct foreign investment - at home:
$NA

Stock of direct foreign investment - abroad:
$NA

Market value of publicly traded shares:
$8.279 billion (2006)

Currency (code):
Lebanese pound (LBP)

Exchange rates:
Lebanese pounds per US dollar - 1,507.5 (2006), 1,507.5 (2005), 1,507.5 (2004), 1,507.5 (2003), 1,507.5 (2002)