World Bank warns of ‘prolonged depression’ in Lebanon

World Bank warns of ‘prolonged depression’ in Lebanon

The crisis began a year ago and worsened with the spread of coronavirus and the massive blast at Beirut's port, which destroyed the facility, killed more than 200 people and caused widespread destruction













File Photo: A Lebanese woman holds up a sign demanding that the country's ruling elites pay up in a protest in Zouk Mosbeh, north of Beirut. (AFP)













Lebanon's economy faces an "arduous and prolonged depression," with real GPD projected to plunge by nearly 20% because its politicians refuse to implement reforms that would speed up the country's recovery, the World Bank said Tuesday.

It said Lebanon should quickly form a reform-minded government to urgently carry out the reforms. The crash of the local currency has already led to triple-digit inflation.

The dire projections by the World Bank, including a 19.2% drop in gross domestic product this year alone, come as Lebanon suffers its worst economic and financial crisis in its modern history, posing a threat to the country's stability.

The crisis began a year ago and worsened with the spread of coronavirus and the massive blast at Beirut's port, which destroyed