While the Lebanese pound plunges against the dollar, major businesses in Lebanon have shut down in the face of a deepening volatile currency market and their inability to fixate the prices.
According to the head of the Beirut Traders Association Nicolas Chammas, 50% of Lebanon’s shops and businesses could close by the end of 2020.
Caretaker Lebanese Minister of Labor Lamia Yasmine reported back in May that 30% of registered companies have already closed down in the country, and an additional 20% have reduced their employees’ salaries by half.
Here are 10 businesses that shutdown in Lebanon this year:
International franchise Pinkberry that reinvented the frozen yogurt category with its deliciously light and heavenly taste is the latest victim to the increasingly unstable economic crisis in Lebanon.
Pinkberry has announced that it will be closing all branches in Lebanon by the end of the year.
#2 Le Bristol Hotel
Le Bristol Hotel announced in August that they will be closing down permanently amid these difficult times.
The hotel first opened in 1951 in the heart of Beirut, and has been a five-star destination for locals and tourists ever since. The hotel spent $30 million on extensive renovations just a few years ago, which sadly won’t see the light of day.
Earlier this year, Coca-Cola announced that it will be permanently shutting down its operations in Lebanon, citing “trying times, major financial losses, and the financial crisis that has no end in sight”.
This came in a statement released by the chairman of the National Beverage Company Arjan, which bottles and distributes Coca Cola all over Lebanon.
#4 American Eagle Outfitters
The company that operates more than 1,000 stores in North America, and across 10 markets in the MENA region, is closing all its branches in Lebanon.
The store even managed to hold a “buy one, get one free” sale before closing. Lebanese residents waited in line for hours to get to purchase from the well-loved fashion store one final time.
#5 Victoria’s Secret
Alongside American Eagle, Al-Shaya Group decided to shut down the American lingerie, clothing, and beauty retailer.
International sportswear brand Adidas announced earlier this year that it will be closing down its stores in Lebanon by the end of 2020 as a result of the dire economic situation and ongoing challenges.
#7 The Body Shop
The natural and ethical beauty brand that has been open for years in Lebanon also decided to close its doors permanently, with no hope that it will re-open in the future.
#8 Marks and Spencer
Like other retailers, Marks and Spencer have shut down all its branches in Lebanon.
The American clothing line brand, which also markets other fashion accessories besides clothes, such as watches, jewelry, and perfumes, was already struggling due to their high prices. Now, the business has completely shut down across Lebanon.
It’s a sad year for makeup lovers, as the American cosmetics company (a subsidiary of L’Oréal) that’s highly known for providing high-quality makeup with affordable prices decided as well to shut down all its stores in Lebanon.