Beirut, 24 July 2025--The United Nations has called for urgent and coordinated recovery efforts in Lebanon to prevent the ongoing crisis from deepening in the already war-torn and heavily impacted country. The call follows the release of a multi-agency report, The Socioeconomic Impacts of the 2024 War on Lebanon, by UNDP and ESCWA, in collaboration with UNICEF, ILO, and UN-Habitat.
The report highlights the devastating impact of the conflict that began on 8 October 2023 and escalated in September 2024, examining loss and damage to human lives, infrastructure, economic disruption, and the wider effects on livelihoods and society. These impacts unfolded against the backdrop of a multifaceted crisis that had already gripped Lebanon for six years.
More than 1.2 million people were displaced, nearly 64,000 buildings were damaged or destroyed, and education was disrupted for hundreds of thousands of students during the conflict period. Micro, small and medium-sized enterprises (MSMEs)-representing 90% of Lebanon's economy-were particularly affected: 15% have permanently shut down, 75% paused operations during the war, and nearly 30% lost their entire workforce. In the most heavily bombed areas, up to 70% of businesses were forced to close entirely.
The economic impact has been profound. Lebanon's economy contracted by 38% between 2019 and 2024. Lebanon's Human Development has regressed to 2010 levels, marking a 14-year setback in light of the multifaceted crisis and war. A reform-driven recovery could reverse this trajectory and enable the economy to grow again at 8.2% in 2026 and 7.1% in 2027. Even if necessary, reforms are implemented, the GDP will be 8.4% below its pre-crisis 2017 peak of $51.2 billion. Key sectors should be prioritized to drive growth, including agriculture, construction, tourism, and manufacturing.
"Lebanon is at a turning point," said Blerta Aliko, UNDP Resident Representative in Lebanon. "This assessment was developed to support the Lebanese government in identifying priorities and shaping a nationally led recovery plan. To drive a sustainable and inclusive recovery process, it is imperative that state institutions are strong and well equipped to deliver. At UNDP, we've been supporting government-led efforts before, during, and after the war-and we remain committed to working alongside national stakeholders to help advance recovery efforts and support Lebanon out of the crisis."
The report offers broad recovery priorities aligned with the government priorities as spelled out in the Ministerial statement. It recommends focused efforts in four areas to shape Lebanon's recovery: rebuilding and strengthening state institutions; revitalizing the economy and creating jobs; restoring basic services and expanding social protection; and rehabilitating damaged environmental ecosystems.
"Lebanon continues to face a complex polycrisis, now further exacerbated by the repercussions of the latest war as detailed in the assessment. This critical juncture calls for the urgent and accelerated implementation of essential reforms-particularly within public administration, as well as across socio-economic and financial sectors," stated ESCWA Cluster leader on Governance and Prevention Tarik Alami. "Moreover, the root causes of recurring hostilities along Lebanon's southern border must be addressed decisively and sustainably, in full accordance with international law and relevant UN resolutions. ESCWA reaffirms its commitment to providing the technical assistance required to support the Lebanese state during this pivotal period," he added.
The report also underscores that Lebanon's path to recovery requires urgent, coordinated action between the government, donors, UN agencies, and NGOs. Substantial financing will be needed-from domestic resources, private sector investments, international development assistance, and foreign direct investment-to meet the scale of recovery. Without immediate intervention, economic rebound will take longer, poverty will deepen, state institutions will further weaken, and Lebanon's social stability will be at risk.
