Last updated: February 23, 2023
The Lebanese Republic, with a population of about 5.3 million, is located on the eastern Mediterranean Sea and is about two-thirds the size of Schleswig-Holstein. Lebanon borders Israel to the south and Syria to the north and east. The capital Beirut is located directly on the Mediterranean coast in the west of the country and is home to the American University of Beirut (AUB), one of the world’s leading universities.
Lebanon is the ancient homeland of the Phoenicians. Today, their descendants continue the long tradition as a trading nation. The country is organized as a market economy, and there are close international ties through the large Lebanese diaspora around the world. Remittances from Lebanese abroad have generally led to a certain economic stability.
The most important imported goods include petroleum products, foodstuffs, chemical products and motor vehicles. Germany is one of Lebanon’s largest trading partners, supplying primarily motor vehicles. Tourism and communications services account for about a quarter of Lebanon’s GDP. Lebanon is very service-oriented overall. The real estate, banking and construction sectors are very strong in Lebanon.
The civil war in neighboring Syria has left its mark. According to the UN Refugee Agency (UNHCR), there are around 846,000 refugees living in Lebanon, or more than 15 percent of the total population – and the trend is downward. Increased use of the port of Beirut and shifts in maritime trade routes have created viable alternatives to the previous flow of goods through Syria. However, on August 4, 2020, a massive explosion destroyed the port of Beirut and parts of the city center. The most promising bid to rebuild the port came from Germany from Hamburg Port Consulting, Colliers International, the Fraunhofer Institute and Roland Berger, funded by the European Investment Bank. Currently, the Lebanese government is preparing a new port law.
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