Category: GENERAL

The Israeli enemy's artillery on Friday shelled the outskirts of Tayr Harfa and the Hamoul region in the western sector. Source: National News Agency-Lebanon

MENAFATF published Lebanon's Mutual Evaluation Report (MER) on AML/CFT measures, after having discussed and adopted the MER in its May 2023 plenary meeting, and subsequently endorsing in its December plenary meeting amendments to the MER as requested by the FATF. The MER indicates that Lebanon scored acceptable results on technical compliance in thirty four recommendations out of the FATF forty recommendations whereby 'Compliant' or 'Largely Compliant' ratings were achieved. In the six other recommendations where improvements are needed, Lebanon received 'Partially-Compliant' ratings, thus necessitating some legislative amendments. As for the eleven immediate outcomes that measure effectiveness, the MER indicated in nine immediate outcomes in which Lebanon received 'moderate' level of effectiveness ratings that the country's AML/CFT regime delivered some positive results that require further strengthening in areas covering; risk identification, international cooperation, supervision and other measures prim arily for the non-financial sector, legal persons and arrangements along with beneficial ownership, parallel financial investigations and targeted financial sanctions with respect to UNSCRs. The remaining two immediate outcomes in which Lebanon received 'low' level of effectiveness ratings are mainly associated with insufficient confiscation of criminal proceeds and assets, in addition to shortcomings related to money laundering prosecutions and convictions that need to be more commensurate with the country risks, and for which proportionate and dissuasive sanctions are needed. Lebanon was evaluated based on the FATF assessment methodology that is applied across all jurisdictions, whereby the evaluation process was carried out under known exceptional circumstances that continue to prevail. Nevertheless, as in all jurisdictions, the necessary corrective measures need a whole-of-government approach to be implemented by the concerned domestic competent authorities. As the national coordinator for the assessment process, the Special Investigation Commission (SIC) shall apprise the Speaker of the Parliament and the Prime Minister of the MER outcome so as to communicate to each concerned domestic competent authority the corrective measures needed to improve the effectiveness of Lebanon's AML/CFT regime. Henceforth; Lebanon will be required to submit to MENAFATF progress reports during 2024 that will be discussed and decided upon in its plenary meetings. Source: National News Agency-Lebanon

Nabatieh - The outskirts of the southern Lebanese towns of Maroun al-Ras and Yaroun have been subjected to intermittent artillery shelling, our correspondent reported on Thursday. Enemy shelling also targeted the vicinity of Maroun al-Ras Park. NNA correspondent in Hasbaya reported hostile shelling that targeted the Berkat Kfarshouba on Shebaa road. Source: National News Agency - Lebanon

Four years into the economic and financial crisis, Lebanon's macroeconomic framework remains severely impaired. According to the latest World Bank Lebanon Economic Monitor released today, the spillover effects from the ongoing conflict centered in Gaza pose yet another large shock to Lebanon's precarious growth model. Without the implementation of a comprehensive crisis resolution plan, no long-term investment is feasible, and the country's physical, human, social, and natural capital will be further eroded. The Lebanon Economic Monitor (LEM) Fall 2023 'In the Grip of a New Crisis' provides an update on key economic developments and analyzes their implications for the country's outlook. The Special Focus section titled 'The Impact of the Conflict in the Middle East on the Lebanese Economy,' assesses the impact of the current conflict and its spillover on Lebanon's economy and its growth prospects amid a prolonged political and institutional vacuum. Prior to the current conflict, economic growth was project ed to expand in 2023, for the first time since 2018, by 0.2 percent. The economy seemed to have found a temporary bottom, following years of sharp contraction. Tepid growth was predominantly caused by volatile drivers: a growth in consumption due to a strong summer tourism season; sizable inflow of remittances; increasing dollarization of salaries; and signs of stabilization in private sector activity. With the onset of the current conflict and in the absence of broader economic stabilization, Lebanon's economy is now projected to be back in recession in 2023. Macroeconomic imbalances also persist, as the current account remains in sizeable deficit of 12.8 percent of GDP. The inflation rate, which has been in triple digits since 2021, is projected to accelerate to 231.3 percent in 2023, driven by exchange rate depreciation (specifically during the first half of 2023) and the rapid dollarization of economic transactions. Furthermore, Lebanon topped the list of countries hardest hit by nominal food price infla tion in the first quarter of 2023 (at 350 percent year-on-year in April 2023), exacerbating the precarity of living conditions for the poorest and most vulnerable segments of the population. Sovereign debt, at 179.2 percent of GDP in 2022, remains unsustainable amid a sharp currency depreciation and economic contraction, and in the absence of comprehensive debt restructuring. 'With limited progress towards comprehensive crisis resolution, Lebanon remains entrenched in a socioeconomic and financial crisis, further exacerbated by institutional and political stalemate,' said Jean-Christophe Carret, World Bank Middle East Country Director. 'While tourism has recently been a positive contributor to economic growth, the tourism sector alone cannot substitute for more comprehensive, sustainable and diverse growth drivers that are better placed to withstand shocks and help put the economy back on a solid recovery path.' The Central Bank has initiated limited but encouraging reforms, amid the relative stabilization of the exchange rate. However, fundamental changes to bank supervision and the conduct of monetary and exchange rate policies have yet to be introduced. The continued absence of an equitable banking resolution that comprises an upfront allocation of losses, bail-ins and restructuring continues to undermine prospects for recovery. The sizeable inflow of remittances -Lebanon's longtime lifeline- has acted as a de-facto social safety net and supported modest growth in domestic consumption. However, remittances alone are not sufficient to meet external financing needs, and absent other financing sources, Lebanon's twin deficits in the current and fiscal account may require a further draw down in the Central Bank's foreign currency reserves. The LEM Special Focus section examines the impact of the ongoing conflict -now into its third month- on the Lebanese economy. As tourism accounted for almost 26 percent of current account receipts in 2022, growth and current account dynamics are very sensitive to the ongoing conflict. Assuming that the current containment in the military confrontation to the southern borders persists, a scenario analysis assessing the effect of the drop in tourism spending on economic growth finds that real GDP will contract by 0.6 percent to 0.9 percent (reversing the positive pre-conflict baseline of 0.2 percent growth in 2023). Source: National News Agency - Lebanon

Electric vehicles (EV) will support the work of Bulgarian News Agency's (BTA) reporters and correspondents in Sofia and across the country. Bishop Polikarp of Belogradchik consecrated the thirty new electric vehicles at an official ceremony on Wednesday. Three charging stations for the electric vehicles have also been set up in the BTA courtyard. Polikarp blessed the vehicles and the BTA workers and wished that every journey ends in peace. "May the news you offer be positive," the Bishop also wished. The event was attended by Environment Minister Julian Popov, Veliko Tarnovo Regional Governor Ivaylo Zdravkov, Sofia Deputy Mayors Nadezhda Bobcheva and Stanislav Barbutov, Sredets borough Mayor Traycho Traykov and Bulgaria's Ambassador to Romania Radko Vlaykov. Popov congratulated BTA for the initiative. In his words, the future lies in electromobility and it is coming very fast. "By making this initiative so visible, through the BTA, I hope that many people and institutions will see where we need to go. I h ope all mayors and regional governors will aspire to electrify urban and service transport completely. This is an achievable goal," Popov said. "We need institutions to lead this work. As a Ministry, we are already moving to new cars, in the future almost all will be electric," the Environment Minister added. "In Dubai (at the 2023 United Nations Climate Change Conference), I signed an initiative for a zero-carbon government, which means a push for all government organizations in the future to strive for faster electrification," Popov underlined. "We see commercial companies switching to electric cars because it makes economic sense," he also noted. On Tuesday, European Commissioner for Innovation, Research, Culture, Education and Youth Iliana Ivanova visited BTA's new EV fleet. "I am really impressed by BTA's initiative," Ivanova said. "We are already in the future," she added and noted that BTA serves as an example to all public institutions with its entirely electrified car park. The space in front of t he BTA building is planned to be transformed into a green, accessible and safe pedestrian area with the opportunity to present symbols from around the world. The value of electric cars is most visible in densely populated urban areas, said Traykov. "Sredets borough is the most central in Sofia. We are pioneers in all kinds of electronic services," he added. The Agency's fleet is made up of electric and hybrid vehicles. Source: National News Agency - Lebanon

Tyre - National News Agency's correspondent reported that the outskirts of the southern Lebanese border town of Naqoura was subjected to hostile artillery shelling. Sirens have been activated at UNIFIL's headquarters in Naqoura. Source: National News Agency - Lebanon