The World Bank revised its projections for Lebanon's economy, expecting even further GDP contraction in 2021. (Credit: AFP)
BEIRUT — In its latest economic update on Lebanon, the World Bank estimates even worse economic contraction for 2021 than previous estimates made by the international institution and other organizations.
Here's what we know:
• The World Bank’s most recent Lebanon Economic Update, published Oct. 7, expects the country’s Gross Domestic Product to contract 10.5 percent in 2021, down further from the 9.5 percent estimate it published on May 31.
• The Institute of International Finance in a Sep. 16 report penciled in an expected 8.3 percent GDP drop for 2021, while United Nations Economic and Social Commission for Western Asia (ESCWA) in mid-July projected Lebanon’s economy would contract between 4.6 to 6.6 percent depending on global oil prices.
• The World Bank’s report projected an inflation rate of 130 percent for 2021, up from its May prediction of 100 percent.
• The World Bank reiterated its dire estimate that the economic and financial crises in Lebanon are “likely to rank in the top 10, possibly top three, most severe crises episodes globally” since 1857.