Industrial exports down 12 percent. Depreciation of the euro and instability of Iraq chief among reasons

Total industrial exports decreased by 12 percent in 2015, registering $2.7 billion last year, compared to $3.1 billion in 2014. Exports in volume decreased from 1.6 million in 2014 to 1.5 million tons last year, according to Customs statistics.

Industrial exports, excluding mineral products (mostly oil), pearls and precious stones, and base metals, decreased by seven percent last year, registering $2.2 billion compared to $2.5 billion in 2014.

Fadi Gemayel, Chairman of the Associat...

Article details

Phoenix Energy to build solar farm in Egypt. Project installation of 200,000 solar panels

Phoenix Energy, a subsidiary of Indevco Group, has signed a contract with the Egyptian Government to build a solar power farm near Luxor and Aswan.

Rabih Osta, Area General Manager at Phoenix Energy, said: "We will install around 200,000 solar panels on a land area of 1.1 million square meters, to produce a 62 megawatt peak."

The electricity production will be sold to Egypt for $16 million, yearly, at a price of 14.35 cents per kilowatt hour.

Phoenix Energy is one of 40 com...

Article details

Ice cube factory opens in Bekaa.

Innovation Food Industries was established this month to produce packed ice cubes in Bekaa, under the brand name 'Sloe'.

Charbel Ashkar, major shareholder said that the company received an international patent for the factory because it is a new concept for producing ice cubes. The production machines of the factory were designed specifically for the company in Italian and Turkish factories.

The product will be distributed in preform plastic packs filled with purified liquid water...

Article details

Lebanese-Cypriot Business Council launched by CCI.

The Chamber of Commerce, Industry, and Agriculture in Beirut and Mount Lebanon launched the Lebanese-Cypriot Business Council today.

A Cyprus-Lebanon Business Forum will be held on February 19 in Limassol. George Chehwan, Chairman of the newly formed Council, said that this will be an occasion to know more about business opportunities in Cyprus. All business persons who have companies in Cyprus or aim to enter this market are invited to participate in the forum and to become members of t...

Article details

Selling products to China will help public debt. To export olive oil, wine, nuts, and canned food instead

The Chamber of Commerce, Industry and Agriculture in Beirut and Mount Lebanon in collaboration with the Investment Development Authority of Lebanon (IDAL) launched today a repayment mechanism of the Chinese loan that was offered to the State to finance public projects in 2012.

The $8 million loan will be repaid with zero interest by exporting local products including olive oil, wine, nuts, dried fruits, and canned food.

Four main official parties are involved in the repayment mec...

Article details

US Primesouth to operate two power plants. A five-year contract worth $339 million

The Ministry of Energy and Water has approved U.S. firm Primesouth's bid to operate and maintain the Zahrani and Deir Amar power plants. A five-year, $339 million contract will be signed with the energy infrastructure specialist.

Participants in the bid included another U.S. firm, HPI, which offered a higher bid. An Indian company, KSSR, also participated in the tender, but was disqualified because it failed to meet the technical requirements of the terms of reference. Swiss firm AF Cons...

Article details

Property sales continue to drop. Fares: Numbers are not so bad

The activity of the real estate sector dropped for the second consecutive year, according to figures published by the Real Estate Registry at the Ministry of Finance.

The number of transactions totaled 58,000, down by 15 percent compared to 2014. The value of transactions reached $7.6 billion, falling by 14 percent. "With everything happening around us, the drop in the numbers is not that bad," said Massaad Fares, Chairman of the Syndicate of Real Estate Association in Lebanon (REAL). Not...

Article details

Price deflation for the first time. Decline in oil prices main driver

A 3.4 percent deflation was registered in 2015, for the first time in the post-war era. The Consumer Price Index (CPI) dropped to 95.92 in December from 99.29 in the same month of 2014, mainly due to lower fuel and transportation costs resulting from lower oil prices.

Prices of the water, electricity, gas and other fuels category plunged by18 percent over the period, according to the Central Administration of Statistics (CAS). This category, which has a weight of nearly 12 percent in the ...

Article details

Occupancy rate at Beirut hotels reached 56 percent. Room yield rose nine percent

The average occupancy rate in Beirut hotels rose by four points to 56 percent in 2015 compared to the previous year, according to Ernst and Young's 'Benchmark Survey of the Hotel Sector in the Middle East'.

According to the E&Y report, the average room rate in 2015 was almost unchanged at $175 (up 1.1 percent) and the room yield rose to $99 from $91 in 2014.

Pierre Achkar, Chairman of the Syndicate of Hotels Owners said: "Comparing year to year is no longer meaningful. The compar...

Article details

Baalbaki Chemical acquires Italian factory. To penetrate Europe after expansion in UAE

Baalbaki Chemical Industries (BCI) Holding, a subsidiary of local group Unimetco Holding and manufacturer of polyesters, pre-polymers, and specialty adhesives, acquired 70 percent of the Italian polyurethane systems manufacturer Polysystem.

The business will be integrated within its European subsidiary BCI‐Polyurethanes Europe, which was established in Italy with the Italy-based Dollmar Group.

"Around 25 percent of the world's demand for polyurethane systems comes from the surround...

Article details

Eiffel Elevators expands factory.

Eiffel Elevators will inaugurate a $5 million, 12,500 square meter, elevators factory, in March, on a built-up area of 4,500 m2, excluding offices and showrooms.

Jamil Tufaily, General Manager, said that the facility will be equipped with high-tech machines to cope with the new technologies in the elevator industry. The company manufactures the cabins, chassis, control panels, and the metal weights locally. It also assembles all accessories and designs of the elevator cabins. Eiffel Elev...

Article details

Record year at Port of Beirut. Cars and containers up

The Port of Beirut (PoB) continued to realize growth last year, with profits rising by 13 percent to $239 million compared to 2014.

Elie Zakhour, Chairman of the International Chamber of Navigation (ACN), said: "The two main reasons behind growth is the record number of imported cars and rising number of local containers."

The number of imported cars went up by 22 percent to 112,000 units. Port of Beirut is the only port to receive new cars. Other ports have stopped receiving cars,...

Article details

Agri research stations to open in four areas. Including laboratories and weather forecast stations

The Lebanese Agricultural Research Institution (LARI), affiliated with the Ministry of Agriculture, will open four stations in Akkar, Diman, Jbeil, and Nabatieh, during this year.

Each station will be specialized in the most common type of agriculture in its region. They will include weather forecast stations, as well as laboratories for testing the soil, water, olive oil, and honey. Michel Frem, Chairman of LARI, said that each station will include engineers and technicians to assist fa...

Article details

Integrated Pharma partners with Saudi SPIMACO. The deal will help IPS penetrate more markets

Integrated Pharma Solutions (IPS), a local pharmaceutical corporation, sold half of its shares in the Egypt-based Meivo International for Pharmaceutical Industries to the Saudi Pharmaceutical Industries and Medical Appliances Corporation (SPIMACO).

IPS used to own a 52.5 percent share of Meivo Pharmaceuticals in Egypt, which was acquired in July 2014. Now IPS's remaining shares are 26 percent. The new entity will be renamed SPIMACO – Egypt.

"The deal was concluded only 14 months a...

Article details

Moneylenders regulated by the Central Bank. Minimum capital set at $1.33 million

The Central Bank has imposed a range of new restrictions on moneylending businesses, placing them more closely under its scrutiny. It has also set their minimum capital at LL2 billion ($1.33 million). Moneylenders provide loans in small amounts to people who cannot borrow from banks, in exchange for a real guarantee.

BDL said in a new circular issued last week that moneylenders should obtain its prior approval before opening a new branch and should have available money worth LL2 billion f...

Article details

Ten upcoming malls at a cost of $1.5 billion. Total Gross Leasable Area to reach one million square meters

Ten shopping centers will open in the coming three years. They will be located in Beirut, Saida, Tyre, the Bekaa, Byblos, and Jounieh, according to Nabil Gebrael, the regional representative to Lebanon of the International Council of Shopping Centers (ICSC) and the Middle East Council of Shopping Centers (MECSC).

Gebrael said: "There are 12 existing malls with a gross leasable area (GLA) of about 416,000 square meters. The new malls will add 605,000 m2 of GLA, at a cost of $1.2-$1.5 bill...

Article details

Electricity consumption grows by seven percent. Consumption doubles in a ten year period

The Lebanese Center for Energy Conservation (LCEC) estimates demand for electricity to rise to 31,000 gigawatt hours in 2020.

Sorina Mortada, Technical Consultant to the LCEC, said: "We took 2010 as a baseline and found that energy consumption grows by seven percent on a yearly basis." Consumption was calculated over the period of 2005-2015, resulting in an average growth of seven percent per year.

Electricity consumption in 2010 was 16,000 GwH while production is estimated at 11,...

Article details

Sanita opens tissue factory in Hosrayel. Wider expansion to come in the same area

Sanita, a member of INDEVCO Group and a manufacturer of household, institutional, and personal care products, will open a factory in the industrial zone of Hosrayel, Jbeil in March.

The 12,000 square meter factory will be dedicated for producing tissue paper, including facial, toilet, and towel tissues, aluminum foil, and cling film. The total space of the land plot is 60,000 m2. Chadi Kreidy, General Manager of the 'Away from Home' business at Sanita, said: "There is a wider expansion t...

Article details

Beirut municipality buys six land plots for $200 million. To be used for slaughterhouse, vegetable markets, parking lots

The Municipality of Beirut purchased six land plots to carry out several development projects. The total cost amounted to $200 million, according to Mayor Bilal Hamad.

The plots are in Corniche El Mazraa, Tarik El Jdideh, Hamra, Ashrafieh, Chiah, and Choueifat.

The land plot in Chiah is adjacent to the 40-year-old fruit and vegetable market. "We will expand the market into the new plot and renovate it," he said. Abdulwahed Chehab is the main architect for this project.

In C...

Article details

Looking for zero interest debt. Ministry of Finance wants international subsidies on T-bills and infrastructure projects

The Government is seeking from international organizations interest rate subsidies on Treasury bills to buttress the public budget and ease the debt burden, said Ali Hassan Khalil, the Minister of Finance.

The MoF is seeking to obtain soft loans at near-zero interest rates for vital infrastructure projects that include healthcare, education, and electricity projects. "If this is achieved, it will have a positive impact on our overall financial situation," Khalil said following a meeting ...

Article details

Merger of Spirit and Inhouse advertising agencies. Initiative boosts business in Gulf region

The two advertising agencies Spirit and Inhouse Communications have merged. The new entity will keep the 'Spirit' brand.

The two companies consolidate their businesses as of February into a bigger agency that will be engaged in diverse communication and marketing services and in more specialized activities.

The merger will help Spirit grow and will enable it to boost its revenues by about 30 percent, said Hani Haddad, who will be the chairman of the new entity. He said that the com...

Article details

Loans guaranteed by Kafalat down by 19 percent. Agriculture sector gained the largest share

The number of loans guaranteed by Kafalat declined by a yearly 19 percent to 676 in 2015. The volume of loans reached $93 million, a decrease by more than 14 percent.

The agriculture sector registered the largest share with 47 percent of these loans. "This is due to the increasing range of Kafalat products offered to farmers to finance reforestation, trees and other projects," said Yolla Sarieddine, at Kafalat.

The industry sector came in second, with 34 percent, followed by the t...

Article details

Three industrial zones to have master plans tendered. Located in Baalbek, Terbol and Joun

The Ministry of Industry (MoI) has chosen three locations to build industrial zones in Baalbek, Terbol, and Joun. The project is part of the Country Program Framework signed between MoI and the United National Industrial Development Organization (UNIDO).

Minister of Industry, Hussein Hajj Hassan, said that the announcement of the project and the launch of the tenders for master plans will be launched next Tuesday. UNIDO has made available €500,000 ($550,000) for executing the master plan...

Article details

New car sales up five percent. Japanese cars topped market share, boosted by a favorable yen

The market of new car sales increased by five percent in 2015, with heightened competition, discounts and special offers, in addition to the expansion of sales of Japanese and European cars, due to the improvement of yen and euro exchange rates against the US dollar.

Salim Saad, advisor to the Automobile Importers Association (AIA) said that the increase is not considered significant. "Most of the sales are for small cars, where fierce competition manifests itself through special promoti...

Article details

Cleared checks down for first time since 2012. Fall driven by sluggish real economy

The value of cleared checks in lira and foreign currencies fell by 6.6 percent to a total of LL104,858 billion ($70 billion) last year compared with 2014, according to the Association of Banks in Lebanon (ABL).

The drop was 3.5 percent in terms of number of cleared checks, which totaled 12.5 million in 2015.

Marwan Barakat, Head of Research at Bank Audi, said this was the first drop since 2012 and is due to the sluggishness in the real economy, which was reflected in a weakening i...

Article details

Construction permits down in number and surface. Mount Lebanon accounts for half of all new developments

The number of construction permits, which measures future construction activity, totaled 13,900 in 2015, dropping by 12 percent compared to the year before, according to the Orders of Engineers in Beirut and Tripoli. But the total area of these construction permits went down by only five percent and reached 12.3 million square meters. Around half of permits are located in Mount Lebanon.

The area per construction permit grew by around nine percent year on year, to 885 m2. In 2014 as well, ...

Article details

Visitors bought more, spent less in 2015.

Visitors from Saudi Arabia and the United Arab Emirates spent the most last year compared to 2014. They spent on fashion, watches, and jewelry, especially in Beirut, according to the annual report by Global Blue Lebanon, the company in charge of Value Added Tax refunds.

Spending by Qataris grew compared to the previous year (21 percent), followed by the United States (18 percent). Spending was down by Syrians (-23 percent), and Kuwaitis (-16 percent).

The number of refund transac...

Article details

Cybercrimes cost $12 million.

Losses from financial cybercrimes widened more than 13 times over three years to reach $12 million last year, according to the Central Bank's Special Investigation Commission (SIC). The losses totaled nearly $900,000 in 2013.

These represented the reported cases only and the actual figures could be much higher, said Abdul Hafiz Mansour, SIC's Secretary General. There were 84 reported cases of financial cybercrimes in 2015 compared with just eight in 2013.

Hackers are increasingly t...

Article details

Islamic Bank loan for hydropower plants. Part of the Beirut Water Supply Project

The Council of Ministers approved yesterday a loan agreement with the Islamic Development Bank (IDB) to fund the remaining part of the Water Supply Augmentation Project. The funds will be used for the construction of two hydropower plants generating over 12 megawatts, a wastewater treatment plant, and a secondary water treatment plant.

The value of the loan is $128 million, according to Elie Moussalli, Project Director at the Council for Development and Reconstruction (CDR). These will b...

Article details

Speed@BDD invests $180,000 in startups. First batch to seek more investment

Speed@BDD, a tech startup accelerator, said it has invested $180,000 in its first batch of startups and offered them a three-month acceleration program.

The investment was equally divided among the six startups with each receiving $30,000 to develop its idea. Speed@BDD also provided free hosting and various services that included mentorship and product and business development as well as accounting and legal services.

The startups pitched their businesses and showcased their produ...

Article details

2.5 percent growth in 2016 forecasted by the World Bank. Higher consumption and expenditures on refugees seen as main driver

The economy is expected to grow by 2.5 percent in 2016. It is estimated that it grew by two percent last year, the World Bank (WB) said in a recent report.

This forecasted improvement may be attributed to higher consumption growth, thanks to declining oil and food prices and the large numbers of refugees and related public expenditures, according to the WB's Global Economic Prospects report.

The country will benefit from export opportunities to Iran, after the lifting of the emb...

Article details

Factory to produce 240 cement mixers. Al Nahda expands facilities in Ghazieh

Al-Nahda Industrial Group and Staunch Machinery, a manufacturer of construction materials and equipment, will expand its factory in Ghazieh in 2018.

Hamza Hijazi, Executive Director, said: "The new extension will be dedicated to manufacturing mobile transit cement mixers. We will be the first company introducing this industry to the local market."

Production capacity of the factory is 240 mixers per year. The factory will be engineering, designing, metal fabricating, and assemblin...

Article details

Illicit money outflow reached $2 billion per year. Hot money and trade mis-invoicing are main factors

Lebanon lost around $20 billion in illicit financial outflows from 2004 to 2013, according to the Washington-based research and advocacy organization Global Financial Integrity (GFI).

Lebanon was ranked 54th among 145 developing countries in terms of average illicit financial outflows. Its annual average was nearly $2 billion. The largest outflow was recorded in 2007 and amounted to $6.61 billion, according to GFI's annual report, which assesses the illicit flow of money out of the develo...

Article details

Airport passengers exceed seven million. Emirates, Turkey, and Saudi Arabia top destination list

Activity at Beirut Rafic Hariri International Airport grew in terms of passengers and aircrafts, according to the airport's 2015 figures.

The total number of passengers, including arrivals, departures, and transit, reached 7.2 million, up by ten percent in 2015 compared to the year before. Flights also rose by around seven percent, to 69,000 landings and takeoffs.

The top five destinations passengers come from and go to, in order of frequency, are: The UAE, Turkey, Saudi Arabia, Qa...

Article details

Environmental impact study funded by the EU.

A project funded by the European Union studied the effect of urbanisation, tourism pressures and potential hazards on the country's coastal environment. High habitat risk was detected in areas such as the old city of Byblos, Raoucheh, Ramlet Al Bayda, Jnah as well as the shore that lies south of Beirut International airport.

The project, called Great Med, was implemented and concluded by Saint Joseph University (USJ), between the end of 2013 and last month, in both coastal areas of Byblo...

Article details

Kuwaiti Fund grants $30 million for refugees.

A $30 million grant was provided by the Kuwaiti Fund for Arab Economic Development (KFAED) to the Government to finance projects to support Syrian refugees in host communities.

The projects aim at enhancing the level of health, education, social, and water and waste public services. They will include rehabilitating hospitals and medical centers, establishing children's nurseries, renovating water treatment plants, as well as equipment for municipality works, and consultancy services.
Article details

100 million m2 of property owned by municipalities. Beirut has 2,000 properties

Municipal properties across governorates have been estimated at around 102 million square meters (m2), according to the Ministry of Finance's Real Estate Registry. It published the figures in 'Assadisa', the newsletter of the Basil Fuleihan Institute of Finance, part of the MoF.

The total number of surveyed municipal properties is 11,243, distributed throughout the country.

The largest number of properties is in Mount Lebanon (2,851), with an aggregate area of six million square m...

Article details

Museum of History coming to Central District. A $30 million project financed by Kuwaiti Fund

Excavation works for the Museum of History in downtown Beirut, near Annahar building, have begun.

The Museum is owned by the State through the Ministry of Culture. The Kuwaiti Fund for Arab Economic Development (KFAED) has financed the museum's construction with a $30 million grant.

The museum lies on a 9,000 square meter land plot owned by the Municipality of Beirut. It will host artifacts and relics found around Beirut, especially in the Central District.

The project is...

Article details

Scholarships for 320 students offered by the US Embassy.

The United States Embassy announced this month that it has provided an additional $37.5 million to fund university students through the USAID University Scholarship Program (USP).

The USP has provided, since its launch in September 2010, scholarships for approximately 1,000 students to study at American-style universities, such as the American University of Beirut (AUB), the Lebanese American University (LAU), and Haigazian University.

This announcement will allow at least 320 a...

Article details

BDL assets at $91 billion up by a yearly six percent. Assets from exchange operations of financial instruments was main growth driver

The Central Bank's (BDL) assets grew by 6.1 percent to $91.4 billion at the end of 2015 compared with the end of 2014.

The growth was mainly driven by assets from exchange operations of financial instruments, which totaled $11.6 billion at the end of 2015 compared with nil a year earlier.

BDL's securities portfolio also contributed to the total asset growth as it surged 29 percent to $18.1 billion. The increase was due to purchases of Treasury bills by the Central Bank, which had ...

Article details

Another mall comes to Choueifat. Up to 40 shops and five restaurants expected

Construction of a new commercial center, Choueifat Mall, is almost complete. It will be located on Choueifat's main street.

Wissam Abdel Kareem Hammoud, Chairman of National Food Company, owner and operator of Al-Wataniya supermarket, owns the mall. The supermarket will open at the mall this month, but the rest of the mall will not open until later this year.

Choueifat Mall is the fourth of its kind in the area, following The Spot Choueifat, Danco Commercial Center, and Choueifat ...

Article details

Honey exports surge sharply in two years.

Exports of natural honey increased by 78 percent from 2012 till 2014, according to Customs. Exports reached 50 tons in 2014, increasing from 28 tons in 2012. They were exported to the Gulf, Africa and the United States.

The Investment Development Authority of Lebanon (IDAL) attributed this increase to the incentives it offered to natural honey producers to help them enhance the quality and packaging of their production. In 2012, IDAL set the norms and standards required for packaging and...

Article details

US sanctions local firm under new law by congress.

The United States imposed sanctions yesterday on Ali Youssef Charara and his locally-based telecommunications company for providing support to Hezbollah. This is the first such designation made under a law signed by President Barack Obama last month.

Charara is the chairman of Spectrum Investment Group Holding SAL, which was founded in 2003. Charara owns half of the company. The other shareholders are Mohamed Youssef Charara and Ali Ibrahim Charara.

The U.S. Treasury Department sa...

Article details

MEA receives its first private jet. Rental cost of nine-seat Embraer Legacy 500 up to $5,000 per hour

Middle East Airlines (MEA), the national flag-carrier, received its first private jet today, the Legacy 500.

The private jet will be managed and operated by Cedar Executive, a subsidiary of MEA specialized in private flights. It was purchased for $19 million.

The rental rate for the Legacy 500 is between $4,500 and $5,000 per hour, according to Mohamad El-Hout, Chairman of MEA.

The Legacy 500 is manufactured in Brazil by Embraer. It is a midsized plane with a capacity for n...

Article details

$67 million in tech startups invested in last three years. Demand for funds could reach $80 million annually

Funding institutions have invested $67.4 million in technology startups over the last three years. These investments included nearly $20 million invested by Berytech Fund II in 2015.

The remaining $47 million were invested from the beginning of 2013 to the end of September 2015 by other funding institutions that included Kafalat iSME Co-Fund, Berytech Fund I, Leap Ventures, Saned Partners, Speed@BDD, and other funds, according to the 'State of Digital Investments in MENA' report by ArabN...

Article details

Pasta factory in Taanayel.

Italiano Food Stuff, a recently established company, will open a factory for spaghetti and vermicelli in Taanayel, Bekaa, in February. The name chosen for the brand is 'Maakaroni'.

Abdallah Maarouf, Managing Director, said: "We conducted a feasibility study for the market, and we found that there are only two factories that produce such products locally."

Investment in the project is around $4 million. It spans over an area of 1,000 square meters. The facility gained the HACCP and ...

Article details

Ministry is seeking to manage mobile networks. Temporary measure to last until tender process is completed

The Ministry of Telecom (MoT) is seeking to obtain the Council of Ministers' mandate to temporarily manage the two mobile networks until a new tender to select the permanent operators is completed.

Until this authorization is obtained, the MoT may extend the contracts of the two mobile operators, said a source at the MoT. Last week the contracts of the Kuwait-based Zain Group (operating Touch) and Egypt's Orascom (operating Alfa) were extended to the end of February. The extensions are oc...

Article details

Central Bank extends subsidized loan program. Beneficiaries include small businesses and home buyers

The Central Bank (BDL) has extended to the end of 2016 the 60 percent exemption of reserve requirements for certain loans denominated in lira. The exempted funds may be used by banks to extend soft loans for housing or business financing.

The loans that are subject to the extension are those that do not benefit from other interest subsidies by the State. The loans should be used to finance new projects or the expansion of existing projects in the productive sectors (as specified by BDL, ...

Article details

Tripoli vegetable market will bear fruit. Financing of $12 million by Saudi Fund

A wholesale fruit and vegetable market in Tripoli will be completed in six months on a Mina municipal land plot. It will replace the current Tebbaneh market, which caused extensive traffic jams.

Works include demolishing a building at the market's entrance. The contractor is Al Jihad for Commerce and Contracting. The market is composed of a large building with spaces to be rented by 164 traders registered under the syndicate of fruits and vegetable traders.

Toufic Dabbousi, Chairm...

Article details

Nylon bag factory in Nabatieh.

Cheaib for Industry and Trade, a manufacturer of nylon bags, will open a factory in Nabatieh in the summer of 2016.

Investment in the project is $1 million. It will have a total built-up area of 1,200 square meters, equipped with machines imported from Taiwan.

The production capacity of the factory is around 80 tons of plastic bags per month. Ali Cheaib, General Manager, said that final products will be distributed in all regions.

"The company also has the ability to prov...

Article details

Gulftainer starts Tripoli-Beirut shuttles. Exporters to benefit from faster port service

Gulftainer, the company that operates the Port of Tripoli (POT) through a BOT (build-operate-transfer) contract, has begun launching shuttles to and from the Port of Beirut (POB).

The move has been taken to encourage exporters to relocate their activity to POT. Antoine Amatoury, Chairman of the company, said: "Large-scale merchants need six to seven months to adapt to using POT. So, we started this shuttle activity to encourage them to use this port." Two trips have so far been made in bo...

Article details

Cosmetics factory in Bchamoun. To export 90 percent of production to Gulf and Europe

Beesline, manufacturer of cosmetics since 1993, will open a factory in the industrial zone of Bchamoun later this year.

The factory will produce soaps, deodorants, lip care, and creams, including 100 tons of whitening cream per month.

The company expects to export around 90 percent of its production to Gulf and European countries.

Investment in the 4,000 square meter factory is $10 million. The company gained a Kafalat subsidized loan from Fransabank to build the factory. ...

Article details

Top 15 stories in 2015. Positive performance in many sectors

Surprisingly, many sectors scored a positive performance during 2015. Some experienced a significant slowdown. Large investments entered the market in the health, industry, hospitality and tourism, as well as the retail sectors. Many firms expanded their operations, locally or abroad. Several public works and transport projects were launched. The Central Bank launched a $1 billion stimulus package to support several sectors including energy, environment, and ICT. Parliament approved financial la...

Article details

30 percent of corporate income goes on taxes. 20 different duties are paid yearly

The aggregate corporate tax rate was 30 percent, which represents the total of all taxes borne as a percentage of commercial profit. The time to comply with all tax formalities was 183 hours. The total tax rate reflected all taxes and contributions that a standardized medium-sized domestic company pays within a specific year, according to 'The Ease of Paying Taxes in the World', a report published by PriceWaterhouseCoopers (PWC) and the World Bank (WB). Taxes and contributions that local medium...

Article details

Koura diaper factory starts production in March. To produce 80 million units annually

Olafco, a recently established diaper manufacturer located in Zakroun, Koura, will begin production in March.

Its production capacity is 80 million diapers per year, per one, eight-hour shift. The company has not yet branded its product.

The leased 3,000 m2 factory is built on a 14,000 square meter plot. Investment in equipment is $8 million and the cost of leasing the land is around $150,000 per year.

Olafco is the second local diaper producer after Sanita by Indevco Gro...

Article details

Insurance sector grows in premiums and profits. On top are life and medical insurance followed by motor

The insurance sector achieved positive results in terms of profits, assets, and shareholder equity in 2014 compared to the year before, according to the latest Market Annual Report by the Association of Insurance Companies in Lebanon (ACAL), released last week.

The consolidated net income of insurance companies jumped 24 percent to $142 million. Jamil Harb, Secretary General of ACAL, said that one of the main factors enabling sector profits to swing from a contraction in profits in 2013 t...

Article details

Zahrani wastewater project gets $60 million. To benefit half a million people

The Council for Development and Reconstruction (CDR) signed a loan agreement with the Kuwaiti Fund for Arab Economic Development (KFAED) to finance wastewater networks and installations in Zahrani area.

The first phase of the project has a value of KD18 million ($60 million). It includes the construction of a primary wastewater treatment plant near the Zahrani power plant, as well as primary and secondary collection networks.

Wastewater networks will be installed in 62 villages, st...

Article details

Retail: 15 percent increase from last year’s holidays. Foreign expenditure to improve five percent

The retail activity is currently witnessing an outstanding increase. According to Simon Khoury, CEO of CityMall, there is a 15 percent increase in the retail activity of the mall in December, compared to the same month last year.

This week, around 40,000 visitors have entered CityMall per day. "We are expecting to reach higher numbers during the holidays," said Khoury.

Jamil Rayyes, General Manager of Hamra Shopping & Trading Co, owner of Grand Stores, said: "Retail activity impr...

Article details

Public works contracts $12.5 billion in 25 years. Transport, solid waste and water projects top the list

The total value of contracts awarded by the Council for Development and Reconstruction (CDR) since 1992 reached $12.5 billion. It rose by four percent in 2014. Foreign funding of contracts stood at $5 billion, up by $100 million.

No new contracts in physical infrastructure were awarded in 2014. Completed and ongoing contracts are still at $5.3 billion till end 2014. Transportation continued to be the largest consumer of contracts with $3 billion worth of projects in 25 years. It was follo...

Article details

Régie to double production capacity in 2016. A total of $7 million in investments for new production line

Régie, the State-owned tobacco monopoly, will expand its factory's production capacity in Hadath, in 2016.

George Hobeika, Secretary General of Régie, said: "Demand for the new types of local cigarettes 'Cedars Silver' and 'Cedars Plus' is increasing, so we will install new production lines to double production."

Production will reach 290,000 boxes (500 packs per box) and will be entirely dedicated for the local market. Hobeika said that international companies have...

Article details

Government green lights export of garbage. Total cost $193 million per year

The Council of Ministers has agreed to export solid waste, after five months of acute crisis and two failed ministerial plans.

Agriculture Minister Akram Chehayeb, who was tasked with following up on the issue, said: "The Council for Development and Reconstruction (CDR) will be assigned to handle the garbage export process, according to local and international laws."

The CDR will sign contracts with Dutch firm Howa B.V and British firm Chinook Urban Mining International to transpor...

Article details

Hospitals to be paid past debts till 2011.

The ministries of Finance (MoF) and Public Health (MoPH) have issued a decision to speed up the process of auditing and paying the hospitals' debts from 2000 till 2011, which amounted to $120 million.

Under the law enacted in 2012, the Government should give hospitals Treasury bills for dues.

MoF issued this decision after sending several letters to the Cabinet to decide on the process of auditing the hospitals' debts. Sleiman Haroun, Chairman of the Syndicate of Private hospital...

Article details

Elie Saab opens flagship in London.

Designer Elie Saab will open his flagship store in London during the spring of 2016. The four-story boutique will be located at 24 Bruton Street, in the high-end Mayfair shopping district.

The designer has collaborated again with the international design agency RDAI (Rena Dumas Architecture Intérieure) for the conception of the store. Rafif Safadi, Communication Manager at Elie Saab said that London's boutique will respect the heritage of the historical building "to create a disti...

Article details

Arbitration center for engineering contracts.

The Union of the Orders of Engineers is preparing to launch an arbitration center for engineering and construction contracts in order to resolve conflicts.

Chairman of the union of the orders of engineers, Khaled Chehab, said: "The center will kick off its work within the coming few months." It will be located in the headquarters of the Order of Engineers in Beirut and will serve both orders, Beirut and the North.

"Both conflicting sides currently appoint an arbitrator and the orde...

Article details

Two buildings for LAU School of Architecture and Arts.

The Lebanese American University (LAU) acquired two buildings for the School of Architecture and Design, adjacent to the campus in Kraytem. Construction works for renovating the buildings will start in the coming spring and will be finalized in the summer of 2017.

The two buildings will have a total built-up area of 17,000 square meters. The first building will comprise five floors and the second eight floors, in addition to an underground parking garage for 100 cars. The buildings will...

Article details

One million poor, highest rate in Bekaa. Average consumption is $5,200 per year

There were one million poor people in the country in the 2011-2012 period or 27 percent of the country's population, according to a recent poverty study published by the local Central Administration for Statistics (CAS) and the World Bank.

Poverty rates are particularly high among informal daily, weekly, and self-employed workers in the agriculture and construction sectors, according to the report. The poverty rate for non-Lebanese is higher, reaching 55 percent. The findings are based o...

Article details