BEIRUT

The European Union plans to allocate 3.7 million euros to support green and circular economy in Lebanon.

In a statement, the United Nations Industrial Development Organization (UNIDO) said the EU-funded project will be titled "2Circular."

"The 2Circular project aims to partner with over 50 food and beverage companies to create momentum for green and circular production in Lebanon," UNIDO said.

Under the project, the EU will award a total of 280,000 euros in in-kind grants to 10 companies that demonstrate to be resource-efficient and circular-friendly in Lebanon, the statement said.

The project is expected "to have a significant impact on Lebanon's economy, generating new jobs and increasing competitiveness in the global market,” UNIDO said.

"It will also contribute positively to the environment by reducing waste and pollution and promoting the use of renewable and green energy sources," it added.

Since 2019, Lebanon has been facing a crippling economic crisis that, according to the World Bank, is one of the worst the world has seen in modern times.

The country has been without a fully functioning government last year, with Prime Minister Najib Mikati and his Cabinet having limited powers in their current caretaker status.

*Writing by Ahmed Asmar