Global Blue, the Swiss tax-free shopping company, announced on Thursday the relaunch of tax-free shopping services in Lebanon after a stop of more than two years. “This move represents a significant boost for the local retail and tourism sectors, attracting more international shoppers and stimulating economic activity in Lebanon,” reads a statement published by the company.
The statement also highlighted that the relaunch was made possible “thanks to several months of hard work, diligent efforts, and close cooperation between the Ministry of Finance, the Beirut Traders Association, the Chamber of Commerce, Industry, and Agriculture of Beirut and Mount Lebanon, as well as Global Blue’s local and regional administrations.” Together, “these parties have implemented several major legal and administrative changes aimed at simplifying and facilitating the tax-free shopping process in Lebanon.”
The relaunch of tax-free shopping in Lebanon will bring significant benefits to Lebanese retailers. Approximately 318 retailers and 1,196 points of sale are expected to benefit immediately from the service, with these numbers set to grow over time.
“We expect a total of around 200 million euros worth of request, which corresponds to the amount spent abroad by Lebanese expatriates, as well as by Jordanian, Egyptian, Syrian, and Iraqi citizens,” said Nicolas Chammas, President of the Beirut Traders Association, during a press conference organized by the association. The event, held under the patronage of Caretaker Finance Minister Youssef Khalil, took place at the CCIB headquarters in Sanayeh to announce the comeback of these services.
The reintroduction of tax-free shopping marks a crucial step towards revitalizing Lebanon’s retail sector and bolstering the tourism industry.
In this context, a study conducted by the London Centre for Economics and Business Research (CEBR) in 2017 showed that for every US dollar lost by the Lebanese tax administration in VAT revenue from non-residents, the economy can be boosted by a value ranging from $13.80 to $14.50. This underscores the significant multiplier effect of tax-free shopping on the Lebanese economy, promoting growth and supporting local businesses.
Global Blue will soon launch a major international marketing campaign to restore interest in Lebanon as a premier “shopping destination.” This campaign will target approximately 250,000 international shoppers who visited Lebanon in the 14 years before the suspension of tax-free shopping services. “The company believes this initiative will generate substantial tourist traffic and boost retail sales, thereby fostering a prosperous economic environment,” said Laurent Delmas, Chief Operating Officer of Global Blue for Southern Europe and the Mediterranean, during a press conference attended by a representative of the Ministry of Finance and Mohammad Shoucair, President of the economic organizations.
