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Lebanon has been suffering from a structural economic collapse that began in 2019, with the gross domestic product declining by approximately 40%, and damages amounting to around $20-25 billion, including reconstruction efforts. This comes amid the deterioration of state institutions and the erosion of productive capacity. The crisis has worsened over more than five years, with over 70% of the population living below the poverty line, placing immense pressure on infrastructure. Regional escalation continues to drain resources without any capacity to restore stability. Lebanon is currently facing significant challenges in managing the conflict, as financial confidence has waned and public administration has deteriorated. In a fragile environment, this perpetuates a cycle of waiting and questioning whether the state can survive within an unstable regional system.
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