The World Bank has approved US$350 million in new financing to support Lebanon’s economic and financial recovery by addressing the urgent needs of poor and vulnerable populations and improving the delivery of essential public services. The funding is intended to help stabilize livelihoods during a fragile recovery period while strengthening state capacity through digital transformation of the public sector.
The financing package covers two new projects designed to generate broad social and economic impact. Together, they aim to expand social protection coverage, promote economic inclusion for women, youth, and vulnerable groups, enhance the effectiveness of social protection delivery systems, and accelerate the digitalization of high-impact government services to improve accessibility, efficiency, and transparency.
Lebanon’s ongoing multidimensional crises have deepened poverty, food insecurity, malnutrition, and limited access to healthcare, significantly affecting human capital. These challenges have been compounded by a sharp decline in public service delivery. While progress has been made in digitizing some services, institutional gaps and limited implementation capacity have slowed the pace of comprehensive digital transformation across the public sector.
Of the total financing, US$200 million will support the Social Safety Net Enhancement and System Building Project, which focuses on strengthening Lebanon’s social protection framework. The project will continue cash transfers to poor and vulnerable households while expanding access to economic opportunities and social services, particularly for women and youth. It also aims to improve institutional systems by enhancing the national social registry platform to support multiple government programs and strengthen preparedness for future shocks.
The remaining US$150 million will finance the Lebanon Digital Acceleration Project, which seeks to improve access to government services and economic opportunities through secure and inclusive digital systems. The project will invest in government data infrastructure, cybersecurity, and digital platforms, while strengthening legal, institutional, and human capital foundations. It will also pilot the digitalization of selected public services to enhance efficiency, transparency, citizen benefits, and climate resilience.
