The International Monetary Fund announced that Lebanon’s economic activity this year will shrink significantly, because fighting in the Middle East and broader security tensions in the region are continuing to harm the country’s economy, infrastructure, and living conditions.

According to the fund’s report, inflation in Lebanon remains in double digits, and the current account deficit has mostly increased due to higher energy costs.

The International Monetary Fund added that damage to infrastructure, internal displacement, and the deterioration of living standards have created additional economic pressure.

On this basis, Lebanese authorities have kept the implementation of the budget properly within limits despite financial constraints.