### Lebanon's $11 Billion Recovery Challenge: A Call for Urgent Action Lebanon is facing a daunting financial requirement of **$11 billion** for its recovery and reconstruction efforts following the recent conflict with Israel, as reported by the World Bank. This figure emerges from the Lebanon Rapid Damage and Needs Assessment (RDNA) 2025, which highlights the extensive economic toll of the conflict, including **$14 billion** in total economic costs, comprising **$6.8 billion** in physical damage and **$7.2 billion** in economic losses. The report emphasizes that public funding will be crucial for a portion of the recovery, particularly in infrastructure sectors, while private investment will be essential for housing and business sectors [https://www.nation.com.pk/08-Mar-2025/lebanon-needs-dollar-11b-for-recovery-reconstruction-world-bank]. ### Breakdown of Lebanon's Reconstruction Needs 1. **Total Financial Requirement**: Lebanon needs **$11 billion** for recovery and reconstruction. 2. **Public Funding**: Estimated at **$3 to $5 billion**, with **$1 billion** specifically allocated for infrastructure (electricity, public services, transportation, and water management). 3. **Private Funding**: Required for **$6 to $8 billion**, focusing on housing, business, manufacturing, and tourism sectors. 4. **Economic Impact**: The conflict has led to a **7.1% decline** in Lebanon's GDP in 2024, reversing previous growth trends and compounding economic challenges since 2019 [https://www.reuters.com/world/middle-east/world-bank-estimates-reconstruction-needs-lebanon-11-billion-2025-03-07]. ### Supporting Data on Economic Damage - **Total Economic Cost**: **$14 billion** - **Physical Damage**: **$6.8 billion** - **Economic Losses**: **$7.2 billion** - **Sectoral Impact**: - **Housing Sector**: Damages estimated at **$4.6 billion**. - **Commerce, Industrial, and Tourism Sectors**: Damages estimated at **$3.4 billion**. - **GDP Decline**: Cumulative decline of nearly **40%** since 2019, with a significant drop in productivity and operational capacity [https://apnews.com/article/lebanon-world-bank-damages-israel-hezbollah-war-reconstruction-33dc0fe973d5fbd3fd3d3fc6ff2e82ff]. ### Conclusion: Urgent Action Required for Recovery In summary, Lebanon's recovery from the recent Israel-Hezbollah conflict necessitates **$11 billion** in funding, with a clear division between public and private financial needs. The extensive damage to infrastructure and economic sectors underscores the urgency of mobilizing resources for reconstruction. 1. **Immediate Funding Needs**: Public and private sectors must collaborate to meet the **$11 billion** requirement. 2. **Focus on Infrastructure**: Prioritizing infrastructure restoration is critical for long-term recovery. 3. **Addressing Economic Decline**: Strategies must be implemented to reverse the significant GDP decline and restore economic stability. The situation calls for a concerted effort from both local and international stakeholders to facilitate Lebanon's recovery and rebuild its economy [https://www.usnews.com/news/world/articles/2025-03-07/world-bank-estimates-reconstruction-needs-in-lebanon-at-11-billion].