Finance & Economics

External sector expands by 25.3% in 2007
In 2007, the external sector saw an improvement in its performance, especially when compared to the year 2006 whose results were positively affected by its strong first half on one hand, but adversely influenced by the war that froze all activity for more than two months in the summer, on the other hand.

Capital inflows up by 11.3% in 2007

Clearing activity up by 17.9% in 2007

US Department of Commerce weighs strengths and weaknesses for doing business in Lebanon
The United States Department of Commerce released its 2008 Country Commercial Guide for Lebanon (CCG), which provides prospects for doing business in Lebanon, leading sectors for investment, the overall current investment climate in the country, trade regulations and trade project financing, and means of selling products in the country.

Beirut, Lebanon— January 30, 2008. – The Lebanese information and communications technology (ICT) industry has sustained its overall size and level of activity, despite serious disruptions in the Lebanese economy due to ongoing political and security turmoil, according to a survey recently released by SRI International, with funding from USAID.

The sector has managed this accomplishment largely by concentrating on expanding export business in regional markets. Compared to SRI’s initial survey in 2004, respondents reported a higher level of export activity, suggesting that export plays an important role in market diversification of Lebanon’s ICT firms in an unstable domestic market.

Survey highlights include:

· The Gulf Region is the most important export market for Lebanese ICT firms, followed by other countries in the Middle East. Almost three quarters of respondents who export reported sales to the Gulf States, and 69 percent reported an increase in sales to the Gulf States.

· In the software sub-sector, high quality and customization to suit customer needs were ranked as the most important factors for success. Similarly, among hardware firm respondents, high quality and after-sales service were ranked as the most important success factors.

· Lack of competitiveness in quality is ranked as the least significant growth barrier in 2007, compared to the 2004 results, which indicated the lack of technical skills as a significant growth barrier. This corroborates other survey findings that the Lebanese ICT industry – both the software and hardware sub-sectors – continues to grow in sophistication, quality and competitiveness as it develops and matures.

· Tradeshow attendance continued to be an important tool for ICT firms to generate new business leads. Of respondents who participated in tradeshows, 83 percent reported that such attendance resulted in new business development overall.

· Respondents identified the lack of information on export markets, policies and procedures, and the lack of client awareness as the top two challenges to sales and export growth.

The 2007 ICT Industry Survey updates the findings of the first-ever ICT Capabilities Survey conducted in Lebanon in 2004 by SRI International in partnership with Social and Cultural Development Association (INMA). Both surveys were distributed to a list of 600 ICT companies.

SRI’s ICT activities fall under the USAID-funded Expanding Economic Opportunities (EEO) program implemented by SRI International with a level of funding of US$ 4.8 million over two years to support the development of agribusiness, tourism, and small and medium enterprises, especially in the rural areas of Lebanon.

ICT Survey PDF

tags: ict survey, lebanon, lebanese, beirut, tech sector, pdf, usaid

-finkployd- Surveys on Blogging Beirut

Real GDP growth estimated at 2% in 2007
According to Bank Audi’s Research Department, economic activity has managed to end the year with a positive real GDP growth for Lebanon, though modest in magnitude.

Consolidated deposits of commercial banks up by US$ 6.6 billion in 2007

Foreign trade activity surges by 28% in the first ten months of 2007

Official GDP in 2005 at LP 32,499 billion as per Lebanon’s Economic Accounts
The Lebanese government released Lebanon’s 2005 Economic Accounts, part of a series of national accounts’ publications launched since 2002.

Balance sheet of financial institutions shows 10.9% yearly growth at year-end 2007
Figures released by the Central Bank show that the consolidated balance sheet of financial institutions in Lebanon reached LP 946.2 billion, or US$ 627.6 million, at year-end 2007, up by 10.9% from US$ 565.7 million at year-end 2006.

Moody’s Investor Services affirms Lebanon’s sovereign ratings at B3
On February 7 2008, Moody’s Investor Service affirmed Lebanon’s sovereign ratings at B3 with a negative outlook, one week after Standard and Poor’s decided to downgrade Lebanon’s sovereign ratings from “B-” to “CCC+”.

Balance of payments surplus exceeds US$ 2.0 billion in 2007

Fiscal deficit accounts for 31% of expenditures in 2007

International Poverty Center sets a poverty reduction program for Lebanon
A recent country study entitled “Poverty, Growth, and Income Distribution in Lebanon” was released by the International Poverty Center (IPC), drawing a profile of poverty in Lebanon based on moneymetric poverty measurements of household expenditures.

The past month has seen a significant increase in BLOM Bank's share price, much more so than what could be attributed to growth and earnings reports, and so rumors ensued about negotiations on BLOM's buyout...

Initially it was Arab Bank.

Followed by official rebuttals of said Buyout.

But the stock price kept on climbing, until today, when a 5 point jump to 87$ was preceded by talk (even a newspaper mention) of the sale of BLOM Bank to Sheikh Zayed for 167$ a share...

Official or not, there's something brewing in BLOM's high echelons.

tags: blom bank, lebanese, beirut, lebanon, sheikh zayed, sheik zayed, dubai, uae, emirates, buyout, rumors, arab bank, finance, stock price, beirut stock exchange