Business leaders optimistic as a result of a new President. Calls for extraordinary focus on the economy

Leaders of private sector organizations are optimistic again, after the election of a President. They are expecting enhanced stability, more investments, and more projects.

Adnan Kassar, Chairman of the Economic Bodies, said: "The election puts an end to years of paralysis of the productive economic sectors." Kassar said that the President's inaugural speech will have a positive effect on sectors that witnessed a large drop in investments, high unemployment, and closures.

Kassar ...

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Municipalities to receive 2015 funds from the Government.

The Council of Ministers has agreed to distribute the 2015 revenues of the Municipal Fund, totaling $350 million, to municipalities and unions of municipalities.

Mount Lebanon will receive the highest share of dues, $80 million, followed by Beirut, $39 million.

Unions of municipalities will receive $42 million of the total. The Union of Fayhaa Municipalities will receive the highest share of dues, $2.5 million. The unions of municipalities in Tyr and Shkif will receive the second ...

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Sewage treatment near Arab Highway.

The Council of Ministers approved $25 million in credits to develop and treat sewage on both sides of the Arab Highway.

Public works include the development of networks and connections. They will be overseen by the Council for Development and Reconstruction.

The project is part of recently approved plan of water pollution abatement in the Litani River.

Part of the Arab Highway work is currently being executed by a joint venture between local firms CET-Hourie. It includes the...

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Mamiche family look to reopen Piccadilly Theater. Daughter spearheads negotiations

The Mamiche Afara family is working to reopen the now defunct famous Piccadilly Theater. Doris Mamiche, daughter of the late co-owner, Mahmoud Mamiche, said. "We are in talks with the landlord to reopen it."

It was reported that the late Mahmoud Mamiche said that the theater's restoration would cost in the region of $3 million.

His daughter said: "The cost of restoration works are still under study."

The property is owned by National Institute for Guarantee of Deposits (NI...

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Audi writes off $191 million in Syria, Sudan investments. Positive growth in all Q3 indicators

Bank Audi announced that it has written off its investments in Syria and Sudan for an amount of $191 million. In its third quarter results report, the bank declared a 15.2 percent growth in profits over the same period of last year, to $350 million.

The bank's other indicators were all positive, deriving almost half its operations from entities abroad.

The bank announced the following results:
$45.3 billion of assets, of which 45 percent is from entities abroad
$37.0 billi...

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Fiat and Alfa Romeo switch to Gargour. Cars available in showrooms from mid-November

T. Gargour & Fils Co. (TGF) will become the exclusive importer and agent for Fiat and Alfa Romeo. The automobiles will be available at its showrooms starting from mid-November, said Ziad Chehab Sales Manager at TGF.

The two brands are now manufactured by Fiat Chrysler Automobiles (FCA), which also produces Chrysler cars. FCA, the world's seventh-largest car maker, was the result of a merger between Fiat and Chrysler in 2014.

The dealerships have been transferred to TGF because it i...

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Juice factory to process 30 tons of apples.

Daher Foods, manufacturer of Master potato chips, is planning to open an apple juice factory in Ferzol, Bekaa, in summer 2018.

Investment for the project is estimated at $13 million. The factory will have a total built-up area of 8,000 square meters (m2).

Production will incorporatye the use of 30 tons of local apples, as a start, to produce fresh and pasteurized juice. Michel Daher, Chairman, said that they will be collecting part of the old types of the apple produce.

F...

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API factory to install 1 MW of solar power. Investment around $1.8 million

Advanced Plastic Industries Factory (API) has begun groundwork for the second phase of the installation of a 1 MW solar power photovoltaic (PV) system. The investment is $1.8 million.

The project will be undertaken by local company, Elements, Sun and Wind, in partnership with German companies, SMA, manufacturers of inverters, and Solar World, manufacturers of PV modules and panels.

Located in the industrial zone of Zouk Mosbeh, the API factory has a built-up area of 19,000 square m...

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EU support to private sector development.

The European Union has launched a 15 million euro ($16.5 million) program to promote economic development and support small to medium enterprises (SMEs) to become more competitive.

The two target sectors are wood processing and agriculture.

Virginie Cossoul, policy officer at the EU Delegation to Lebanon, said: "If our program succeeds, we will replicate it in other sectors."

The program will be implemented over the next four years with the objective of identifying markets ...

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Factory for startups in electronic hardware. Three floors each catering to a specific function

The Innovation Factory Beirut, located in Mkalless, will be fully operational by January, 2017, according to Co-founder, Karim Attoui. Attoui said that the Factory is the first of its kind in the Middle East region.

Investment so far for the renovation of the factory, the equipment, the rent, and the pay roll is $350,000.

"We have signed an agreement to rent the factory for eight years but hope to buy it eventually," said Attoui.

Investment is expected to increase as Atto...

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Berytech Fund I exits three companies for $800,000. PayPlug, Active Identity, and Cook & Eat Lebanese

Berytech Fund I has exited three of its portfolio companies, PayPlug, Active Identity, and Cook & Eat Lebanese, at a combined price of nearly $800,000.

The venture capital fund said it divested itself from PayPlug at three times the initial investment. The stake was sold to PayPlug's existing shareholders who were seeking to increase their share in the company. PayPlug is a mobile payment company created in 2012 by two Harvard Business School graduates, Camille Tyan and Antoine Grimaud. T...

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Electronic controllers’ factory is set to expand in Jiyeh.

Security and Automation System (S&AS), a manufacturer of electronic controllers for elevators and diesel generators, is aiming to expand its facility in Jiyeh and build a test tower.

Ziad Boustani, General Manager, said that the expansion will triple the production capacity which currently reaches 25,000 electronic controllers.

"We reached full capacity currently, and we need to install new production lines to meet the needs," he said.

The company also aims to develop the...

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IM Capital to launch mentorship with MIT. Program to benefit local qualified early-stage businesses

IM Capital announced the launch of a mentorship support program in collaboration with Massachusetts Institute of Technology (MIT). The launch date for the program is November 17.

"First we will select the founder mentors that will be trained by MIT staff in order to utilize the MIT methodology we are bringing to Lebanon. There will be 15 mentors in total," Nicolas Rouhana, General Manager of IM capital, said.

Rouhana said that the program is important and much needed for the l...

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Real estate sales to foreigners has risen. Nine percent growth in sales in the past three years

Foreigners are buying more real estate locally. The Real Estate Registry at the Ministry of Finance has recorded a growth in the sale of land plots and apartments to foreigners, across almost all regions, in the past three years.

"Foreign ownership has not lost stamina and has remained almost stable since 2010," according to Georges Maarawi, Director General of the Real Estate Registry. "This is good news," he said.

Foreign ownership of property increased nine percent to almost 40 ...

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SGBL to open financial leasing firm in Jordan.

Société Générale de Banque au Liban (SGBL) plans to open a financial leasing company in Jordan next year, a source at the bank said.

The move is part of SGBL's plan to expand in Jordan where it already has a presence.

The bank has sensed a niche market for finance leasing products in that country, the source said.

SGBL owns a local financial leasing company called Sogelease Liban, which will provide training to the new employees of its Jord...

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Good national score in health and education. Survey also praised Lebanon’s market efficiency

Lebanon achieved a high score on the level of competitiveness of its health and primary education sectors, according to the recently released Global Competitiveness Report 2016–2017 by the World Economic Forum (WEF).

The WEF survey, to which InfoPro Research has contributed the Lebanon part of the survey, said that the country ranked 52nd out of 138 countries (including developed ones) in the competitive pillars of health and primary education. Its score was six on a scale of one to seve...

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Solidere shares soared on positive political news. Further increases expected

Solidere's shares soared this week on the back of a better prospective for the election of a new President. 'A' shares jumped 19 percent compared to last week's closing price and 'B' shares surged 21 percent.

However, the shares witnessed a decrease on Friday due to profit taking.

Toufic Karam, Head of Capital Markets at FFA Private Bank, said: "They are expected to rise again if news of political decompression continues to emerge."

On Friday, the 'A' shares closed at $11...

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BLOM Bank re-adds American Express to its card portfolio.

BLOM Bank-Lebanon will accept payment cards issued by American Express (AMEX) across its local network of point-of-sale terminals. Cardholders will also be able to settle their statements across the bank's 72 branches throughout the country.

BLOM and American Express Middle East (AEME) said they have reached an agreement to expand the range of premium payment solutions.

BLOM currently accepts MasterCard and Visa payment cards and will continue its relationship with both issuers.
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Caramel Boutique Hotel to open in Hamra. Investment estimated at $4 million

Caramel Boutique Hotel, owned by Charlie Frem, will open in Hamra later this month.

The three-star boutique hotel has a built-up area of 1,350 square meters (m2), including 25 rooms and a restaurant-bar area, the Propaganda Gin Room.

Frem said that the restaurant is uniquely designed in that there will be a movable wall between the restaurant space and the lobby, in order that the bar will be able to face the reception.

The building previously housed the Moonlight Hotel, w...

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$350 million raised by UNICEF this year. Most procurement sourced from local market

The UN children's Fund (UNICEF) has raised $350 million so far this year. This represents 73 percent of its planned budget for 2016.

The funds have been used for several programs: Children protection and gender-based violence, adolescents and youth, water, sanitation and hygiene, education, health and nutrition, and basic assistance.

Luciano Calestini, Deputy Representative at UNICEF, said: "Before the crisis began, our local budget was only two million dollars. We wouldn't have dr...

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Insurance premiums increase by three percent. Sales growth derived from price increase of hospitalization

The total value of written premiums went up three percent to reach $1.5 billion in 2015.

Around 70 percent of these premiums were recorded in non-life policies. Indemnities have risen nine percent to $823 million according to data released by the Association of Insurance Companies (ACAL).

In terms of premiums, life insurance saw a seven percent growth. It was the main growth driver. Morbidity and mortality are linked together. Many medical cases, cancer for example, can lead to de...

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Cutting-edge economy is stronger than predicted. Most sectors still resilient

More than 1,000 business managers, investors, and company leaders attended the 2016 edition of the 'Business Opportunities in Lebanon' Conference on its inaugural day, October 19.

Organized by InfoPro, the parent company of Lebanon Opportunities and under the theme 'Cutting Edge', the two-day conference was held at the Movenpick Hotel.

Ramzi El Hafez, Publisher of Lebanon Opportunities, said: "To be a winner in challenging times, business people must arm themselves with cutting-e...

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Cutting-edge economy is stronger than predicted. Most sectors are still resilient according to Lebanon Opportunities

More than 1,000 business managers, investors, and company leaders attended the 2016 edition of the 'Business Opportunities in Lebanon' Conference on its inaugural day, October 19.

Organized by InfoPro, the parent company of Lebanon Opportunities and under the theme 'Cutting Edge', the two-day conference was held at the Movenpick Hotel.

Ramzi El Hafez, Publisher of Lebanon Opportunities, said: "To be a winner in challenging times, business people must arm themselves with cutting-e...

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Agro-food sector growth at 11 percent. Opportunities in olive oil, wine, nuts, and dairy products

The agro-food sector has been increasing at a compound annual growth rate (CAGR) of 11 percent, according to 'Investment Opportunities in the Agro-food Sector 2016' report issued by the Investment Development Authority in Lebanon (IDAL).

The sector has an estimated workforce of 21,000 constituting the highest share of the industrial sector.

Bakery and pastry products represented around 23 percent of the agro-food sector. This was followed by confectionery, 22 percent, dairy produ...

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JGroup’s Fortress media agent for Alsumaria. Long term deal to boost presence in Iraq

Fortress Strategies Ltd, a subsidiary of JGroup, has signed a contract to act as the advertising sales representative for Iraqi channels Alsumaria Media Group.

Fortress Strategies will provide advertising services to Alsumaria satellite TV channel, Sumer FM radio station, and Alsumaria news website.

This is a long-term agreement and is renewable on an annual basis, said Bassam Akl, Sales Manager at Fortress Strategies. The contract is effective starting from the current month, he s...

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The country’s first apple chips factory to open in Jezzine.

The Elie Rizk Foundation plans to open the country's first apple chips factory.

The NGO is coordinating with the Investment Development Authority in Lebanon (IDAL) in order to finalize the detailed feasibility studies of the project.

Elie Rizk, Chairman, said that it is the first apple chips factory in the country and will open in Jezzine.

The company will resort to assistance from German and US experts to bring the technical knowhow and install the machines. Rizk is a...

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Kafalat iSME invests $600,000 in Falafel Games. Amount forms part of a $2.6 million equity funding

Kafalat iSME Programme has contributed $600,000 of equity into Falafel Games, a developer of game applications.

The investment is part of a $2.6 million equity funding recently raised by Falafel Games to finance the creation of new games and its planned market expansion. Middle East Venture Partners (MEVP) has provided two million dollars.

iSME, which plans to exit this investment within five years, co-invests alongside institutional investors in innovative companies, said Bassel A...

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Online platform for local wine launched.

209 Lebanese Wine, a new online e-commerce platform (www.209lebanesewine.com), was launched earlier month by Selim Yasmine, Co-Founder of 209 Sal.

The platform includes an online shop for Lebanese wine and a blog that provides advice to customers on how to match types of wine with different types of food.

The company signed 209 signed contracts with 35 local wineries to provide all their types of wine that are available on the market. Yasmine said that they will sign contracts wi...

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Administrate MENA to expand operations and launch Arabic software.

Scotland-based Administrate, which recently opened an office in Lebanon, plans to launch next month an equity-funding round to raise more than two million pound sterling (approximately $2.45 million).

The provider of training software will allocate part of the raised funds to its Middle East and North Africa (MENA) branch which is headquartered in Beirut Digital District, said Bob Sabra, Vice President of Operations at Administrate-MENA.

Administrate-MENA will use the funds to exp...

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Staunch Machinery to manufacture fit outs and display stands.

Staunch Machinery, a manufacturer of construction materials and equipment, and power generators, will open Xillion factory in Saida.

Hamza Hijazi, Executive Director, said: "We will begin a new business line apart from the construction materials."

The new line will include three divisions: the first dedicated to the manufacturing of fit outs from stainless steel such as stairs, fences, among others. The second will be for pharmacy and supermarket display stands. The third division ...

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Remittances are still going up. Decreased oil prices cause lower inflow growth

Remittance inflows to Lebanon are expected to increase 1.6 percent to $7.6 billion in 2016, according to The World Bank.

Remittances grew four percent in 2015 to $7.5 billion which represented 16 percent of the country's GDP of that year. A weakness in economic growth in the Gulf and declining oil prices are behind below-normal remittance growth.

"More worrisome are structural factors such as de-risking by commercial banks, and the labor market's 'nationalization' policies in so...

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Omega Paints starts factory in Ain Anoub.

Omega Paints factory has opened in Ain Anoub. An investment of seven million dollars was financed through a subsidized loan from the Central Bank (BDL).

The factory was relocated from Shoueifat by owner Mohammad Maatouk and expanded. The land area of the new location is 4,200 square meters (m2), with a built-up area of 10,000 m2.

Maatouk has installed European and Chinese-made machines and production capacity has been revised to 4,000 tons per year. 25 percent more employees have...

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Apples get subsidy. Cabinet approves support for apple farmers

The Cabinet in its meeting today (Oct 6) approved to subsidize apple farmers through providing LL5,000 ($3.3) per 20 kilogram crate. A $26 million treasury advance was decided by the High Commission for Relief for this purpose.

The subsidy will be paid directly to the farmers.

A committee from the Lebanese Army will be requested to make a survey of apple producers in all regions in cooperation with the municipalities and Qaem-Maqams under the supervision of the Ministry of Agric...

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Adonis Valley opens a factory for organic food.

Adonis Valley, an organic food producer, opened early this month a specialized processing facility in Fatri, Jbeil.

The 8,000 square meter (m2) land has been planted with organic fruits and vegetables and includes a 1000 m2 factory.

Investment in the project reached one million dollars.

Adonis Valley produces seven items using organic tomatoes, including tomato pastes with several flavors and ketchup, as well as pickles and apple, apricot, and strawberry juices.

Fa...

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$3.4 billion from UN for next three years. Framework targets three core priorities

The United Nations has launched the Strategic Framework (UNSF) for Lebanon for the period 2017-2020. The strategy focuses on three core priorities: Peace and security, stability and governance, and poverty reduction and development.

To carry out this strategy, the UN will dedicate around $3.4 billion on related projects and programs.

According to the UNSF, "The approach aims to support Lebanon on the path to development in accordance with the goals of the (Lebanese Government) 2030...

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Cosmetics factory to open in Taanayel.

Walid Fadel Kadiri and Brothers (WFK & Bro), a recently established company, will open a cosmetics factory in Taanayel, Zahlé, in early 2017.

Production capacity is expected to reach 1,000 tons per year. Around 12 items will be manufactured under the brand name 'Bridge Care' and include shampoo, creams, and lotions.

The two-million-dollar factory will have a total built-up area of 1,100 square meters (m2) and will create around 50 full time jobs.

Walid Kadri, Manag...

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Solidere quintupled value of land sales. Profits in first half of this year

Solidere, the company in charge of developing Beirut Central District (BCD), managed to turn its losses to profit in the first half of 2016, compared to the same period of last year.

The turnaround is mainly due to the sale of more plots of land.

According to Solidere's financial statement, the company recorded $72 million profit. In July 2015, Solidere had recorded around $29 million in losses.

The company has sold land worth $129 million, five times more than last year. <...

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Contracts awarded for works on roads in the North.

The Department of Tenders has awarded contracts for the restoration of four roads in the North. The value of works combined reaches $13 million.

Antoine Makhlouf for Commerce and Contracting won the tender for restoring the road linking Ehden and Zgharta. Works will include Kobbeh, Tourza, and Mejdlaya. The contract is valued at $2.7 million.

Roads in Akkar will also be restored. Al Halabi and Associates for Contracting won a two-million-dollar tender for the restoration of the Sou...

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