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3. Big Projects, Few Permits: Lebanon’s Construction Slows, but Grows in Scale

According to the Order of Engineers of Beirut and North Lebanon, only 417 building permits were issued in January 2025 – a sharp 48.33% drop compared to January 2024. Construction activity has seen a steep decline over the past year.

This downturn has affected all governorates:

• Beirut: Only 2 permits issued, a 93.75% drop year-on-year.

• North Lebanon: 6 permits, down 57.14%.

• Beqaa: 33 permits, down 66.67%.
  
  
   

Despite this drop, the total authorized construction area (CAP) rose slightly by 4.44%, reaching 390,164 m² – indicating a growing preference for large-scale developments over smaller, individual projects.

Security concerns continue to weigh heavily on the sector. Although a ceasefire was reached on November 27, 2024, sporadic Israeli airstrikes have persisted. Fears of renewed conflict had intensified in September 2024, when hostilities extended to the capital. This widespread instability has significantly contributed to the collapse in demand for building permits across the country.