News Alert: Escalating Conflict in Ukraine Will Exacerbate Humanitarian Crisis in Lebanon

Already on the brink of economic and social collapse, with half of the population living in poverty, Lebanon now faces the devastating economic ripple effects of the conflict in Ukraine. In a new report, Mercy Corps warns that the Ukraine conflict will exacerbate Lebanon's already dire humanitarian situation by bringing further political instability, weakening economic recovery, and making many more people dependent on humanitarian assistance. It draws further attention to a potential wheat shortage and the devastating impact of a price spike of essential items, particularly food and fuel:

• Since the 2020 Beirut blast, Lebanon is no longer able to house a large amount of grains, sourcing most of its wheat, soy, and corn from Ukraine. 
• Since the beginning of the conflict, the price of bread has already jumped over 30% and if the government doesn’t find alternative suppliers, poorer families will likely go hungry. 
• Amid expected cost increases, many businesses will be forced to close, and critical services such as electricity, internet, and water will further deteriorate. The cost of fuel is also expected to rise significantly. Since the conflict in Ukraine started, the cost of 20 liters of diesel has gone up from $200 to $320.

Alexander Harper, Mercy Corps' Lebanon Crisis Analytics Team leader, says: 

"Lebanon is tremendously exposed to the negative economic fallout of the conflict, importing over 80% of its wheat from Ukraine, and extremely vulnerable to fuel and other commodity price increases. For many Lebanese, bread has become one of the few affordable foods available to much of the population struggling to survive a major economic collapse. Lebanon can ill afford to deal with the fallout of the Ukraine conflict, which will contribute to higher numbers of people in need of assistance to make ends meet, the breakdown of critical services, and the risk of heightened social tensions and conflict."

Mercy Corps has been working in Lebanon since 1993 and today focuses on increasing economic opportunities for youth and women, as well as building trust and strengthening relations between communities and local government.