Al Habtoor Group issues a notice of an investment dispute against Lebanon

Al Habtoor Group issues a notice of an investment dispute against Lebanon

Dubai, UAE – Emirati conglomerate Al Habtoor Group served a notice of an Investment Treaty Dispute against the Lebanese Republic in connection with Lebanon’s breaches of the Bilateral Investment Treaty between the United Arab Emirates and Lebanon.

The dispute is related to the Al Habtoor Group’s investments in Lebanon. Al Habtoor Group has invested in the Lebanese Republic close to USD 1 billion to date. Among which, the Group placed funds within the Lebanese banking system, and invested in luxury hotels branded under Hilton Hotels & Resorts, a shopping mall, a 100,000 sqm entertainment & leisure destination named Habtoor Land and other real estate investments across the country.

Under the UAE-Lebanon Treaty that entered into force in 1999, Lebanon undertook to protect Emirati investments in its territory.

Lebanon has breached its obligations under the Treaty towards Al Habtoor Group. In particular, Lebanon and its Central Bank have imposed restrictions preventing Al Habtoor Group from freely transferring its funds amounting to over USD 44 million from the Lebanese banks. Lebanon has also failed to secure a safe and sound environment for Al Habtoor Group’s businesses and investments. As a result of Lebanon’s actions, Al Habtoor Group has incurred and continues to incur significant losses