Economic crisis: US to provide $80.5 million in aid to Lebanon

The United States announced on Wednesday that it will provide $80.5 million in aid to Lebanon for food assistance and solar-powered water pumping stations.

Samantha Power, USAID Administrator, made the announcement during a visit to Lebanon ahead of a trip to Egypt for the United Nations Climate Conference (COP27).

During his visit, Power plans to meet with Lebanese political leaders to press for a resolution to the country’s political vacuum and for leaders to implement a series of political and economic reforms mandated by the International Monetary Fund in order to secure a $3 billion aid package.

The visit comes at a time when Lebanon is experiencing its worst economic and financial crisis in modern history.

Power declined to say, however, whether any U.S. assistance would be contingent on Lebanon taking these measures.

“We are not focused on what happens if those reforms don’t happen. The reforms have to happen,” she told The Associated Press.

The prospect of an IMF deal “should be enough to end the infighting and bickering and do what is needed for the sake of the country,” Power said.

USAID has provided about $260 million to Lebanon in 2022 to date. On Wednesday, Power announced an additional $72 million for food assistance to some 650,000 people over five months as part of a $2 billion global food security initiative.

Lebanon, which relies heavily on imported food and has historically imported the majority of its wheat from Ukraine and Russia, has faced increased food security anxieties in the wake of the Russian war in Ukraine.

Power also announced $8.5 million to fund 22 new solar-powered pumping stations. Lebanon has been dealing with a crippling electricity crisis that has also led to water shortages due to lack of power at pumping stations.

The shortages in public water supply are fueling a cholera outbreak, the first Lebanon has seen in three decades. Most Lebanese now rely on water trucked in by private suppliers, which is often not tested for safety.