"Akhbar al-Yawm" agency
Job creation and capital investments
Figures released by fDi Markets and the United Nations conference on trade and Development (UNCTAD) indicated that foreign direct investments in new projects in Lebanon(Greenfield Foreign Direct Investment) amounted to 16.5 million US dollars in 2023 compared to 11.5 million US dollars in 2022 and 0.2 million US dollars in 2021, while Lebanon attracted seven new foreign direct investment projects in 2022, compared to five projects in 2022 and one project in 2021.
In comparison, Lebanon attracted USD 27.1 million in 2020 (four projects), USD 286.8 million in 2019 (12 projects), USD 121.2 million in 2018 (seven projects), USD 69.7 million in 2017 (11 projects), USD 39.4 million in 2016 (ten projects), USD 34.6 million in 2015 (seven projects) and USD 1.13 billion USD in 2014 (ten projects), and USD 69 million in 2013 (16 projects). The results of the survey were reported in the weekly economic report of the Byblos Bank Group, Lebanon This Week.
FDi Markets pointed out that it covers cross-border greenfield projects that lead to the creation of direct jobs and capital investments. It pointed out that it included joint ventures in its estimates, specifically those whose deals led to the creation of jobs. While it clarified that it did not count mergers and acquisitions and other investments in equities (Equity Investments). FDi Markets is a database that monitors cross-border investments in the world and is owned by the Financial Times Group.
Globally, Lebanon was the fifth smallest recipient of greenfield projects in nominal terms among 147 countries with a GDP of USD 10 billion or more and the smallest recipient among 17 Arab countries in 2023. Lebanon was among the 99 world countries that recorded an increase in the value of greenfield projects coming to them last year. In comparison, the value of greenfield projects coming to the Arab countries decreased by 13.3% to 176.9 billion dollars in 2023, and the value of these projects increased by 19.5% in the economies of Western Asia to 91.5 billion dollars last year.
In parallel, Lebanon attracted the 31st lowest number of greenfield projects in 2022, along with Angola, Bolivia, Laos and Moldova. Also, Lebanon was among the 81 global countries that recorded an increase in the number of greenfield investment projects coming to them last year. In comparison, the number of greenfield projects coming to the Arab countries increased by 20% year-on-year to 2,203 projects in 2023, and the number of such projects increased by 15.5% in the economies of Western Asia to 2,202 projects last year.
The value of greenfield investment projects coming to Lebanon accounted for 0.009% of the total value of these projects in the Arab countries last year, compared to 0.006% in 2022. It also accounted for 0.018% of the total projects coming to West Asian countries, up from 0.018% in 2022.Also, the value of greenfield projects in Lebanon amounted to 0.09% of GDP in 2023, the lowest percentage in the Arab world, compared to 0.06% of GDP in 2022, 0.001% of GDP in 2021, 0.11% of GDP in 2020, and 0.54% of GDP in the year 2019.