Lebanon Pays a Price For Syrian Economic Collapse
The worrying economic situation in conflict-ridden Syria has sent tremors through Lebanon, a country that maintains strong economic ties with its eastern neighbor, writes Elie Hajj.
Economists in Lebanon are keeping a close eye on the Syrian economy, given the strong economic ties that exist between the two neighboring countries. The military confrontations and general unrest in Syria over the past two years have caused much worry amongst their neighbors to the west, with the Syrian lira losing 50-70% of its value. What’s more, estimates of losses related to infrastructure and the economy stand at about $200 billion.
Among other things, Lebanon’s deep concern over the fate of Syria can be traced back to the fact that it represents the only land bridge by which Lebanese exports can reach Jordan, Iraq and the Gulf states. Although maritime transport is always an option, it can be pricey in comparison and is not ideal for many goods, especially agricultural products.
