World Bank OKs $350M for Lebanon Social, Economic Boost

World Bank

BEIRUT, January 27, 2026 - The World Bank Board of Executive Directors approved yesterday US$350 million in new financing to help Lebanon meet the basic needs of the poor and vulnerable during its economic and financial recovery and improve the delivery of high-impact public services through digital transformation of the public sector. The approved investments span two new projects aimed to positively impact people's lives by providing social protection to the poor, promoting the economic inclusion of women, youth and vulnerable groups, strengthening social protection delivery systems and accelerating the digitalization of key public services.

"Lebanon is witnessing a fragile recovery. The World Bank's new financing package is designed to deliver broad, high-impact benefits across society by advancing social protection, economic inclusion, and digital transformation," said Jean-Christophe Carret, World Bank Division Director, Middle East Department. "These efforts will strengthen Lebanon's economic recovery, job creation, and the country's ability to deliver high-impact public services to all its citizens."

Lebanon's multidimensional crises have severely exacerbated preexisting economic and social challenges, pushing people into poverty and exposing households to severe food insecurity, poor nutrition, and limited access to healthcare, with significant consequences to human capital. The crises also led to an acute deterioration in public service delivery. Despite recent progress in the digitalization of certain public services, institutional gaps and insufficient implementation capacity have constrained the digital transformation agenda.

The Social Safety Net Enhancement and System Building Project (US$200 million) aims to continue strengthening Lebanon's social protection delivery system while complementing government financing of cash transfers. The project will adopt an integrated approach of providing cash transfers to poor and vulnerable Lebanese households while concurrently increasing access to economic opportunities and social services with a focus on women, youth, and the vulnerable. The project will also strengthen systems and institutions for effective and sustainable delivery of social safety net programs, namely the enhancement to the DAEM platform -which has been supporting the implementation of the AMAN cash transfer program- to allow it to function as a comprehensive social registry and serve other government programs. The project builds on an ongoing ambitious reform agenda that the Government is implementing to improve the effectiveness and efficiency of social protection in Lebanon, with an emphasis on increasing domestic budget allocations to the Government's social protection program, enhancing program dynamism through regular recertification and registration of eligible households, and strengthening systems to improve shock-preparedness.

The Lebanon Digital Acceleration Project (US$150 million) will provide citizens with better access to essential government services and economic opportunities, empower businesses and entrepreneurs through a more secure digital environment and expanded market access, and enable the government to improve service delivery and operational efficiency through enhanced digital platforms and data capabilities. Project activities include the provision of secure and efficient infrastructure for hosting government data and investments in Lebanon's overall cybersecurity. The project will also strengthen the legal, institutional, and human capital foundations of a trusted and inclusive digital transformation. It will support the effective implementation of infrastructure and platforms. Finally, the project will pilot the digitalization of select public services with high potential to improve government transparency and efficiency, citizen benefits, and climate resilience.

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