Boom or bust?

The Middle EastNbr. 1997, January 1997

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Summary


Reconstruction policy in Lebanon - Cover Story

Lebanon introduced a reconstruction plan in 1992 with the aim of transforming the country into an economic powerhouse. For a while, the vision appeared to be successful, with the new optimism and opportunities the scheme created resulting in economic growth. However, critics are suggesting that the economic policy of Prime Min. Rafiq Hariri is counterproductive to the country and fails to provide assistance to the increasingly impoverished masses.

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Boom or bust?

Lebanon received a promise of $3 billion in financial assistance for its national reconstruction from the international community at a one-day conference hosted by the United States in December. Until now, Lebanon has attracted only a negligible inflow of investment and even the recent $3 billion promise fell short of Lebanese hopes. Yet while government officials remain optimistic about the ambitious reconstruction plan, others in Lebanon are raising frightening scenarios.

Lebanon's spirit of rehabilitation is embodied in the portly frame of Prime Minister Rafiq Hariri, a billionaire tycoon with a big vision. Hariri believe...

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