BEIRUT, June 8 (Xinhua) -- Remittances sent home by Lebanese living abroad stood at 4.6 billion U.S. dollars, or 37.8 percent of the country's GDP, in 2022, representing the highest ratio in the Middle East and North Africa region, a UN report has said.
Dubbed "The Increasing Role and Importance of Remittances in Lebanon" and release on May 24, the report launched by the United Nations Development Programme (UNDP) explores the changing role of remittances before and after the 2019 economic and financial crisis.
The report estimates that remittances to Lebanon amount to approximately 6 to 7 billion dollars yearly between 2011 and 2021.
Before the crisis, these inflows used to serve as household additional income and be used mainly in consumptions and human capital investments, such as health and education. But now they are primarily used to meet the basic and survival needs of recipient households, said the report.
"Exploring remittance trends is important for UNDP as they constitute a significant part of the Lebanese economy. The detailed insights from this research provide a clear picture of how remittances are being used and their impact on Lebanese households and the economy at large," said Melanie Hauenstein, UNDP Resident Representative in Lebanon, at a press conference to announce the report's results.
"Understanding these dynamics allows us to create more effective strategies and policies that can leverage these funds for sustainable development and economic recovery," she added.
The report noted that the steady flow of remittances indicates a strong connection between Lebanese expatriates and their country which must be a chance to channel these financial flows into investing in local development and recovery initiatives. ■
