EIIP Lebanon update March 2024
General
The economic situation continues to deteriorate with shortages of certain construction materials, a serious fuel price increase following a period of shortage, as Lebanon has scaled back on subsidies on certain food items, gas, and medication to save dwindling foreign reserves, and most recently with the war that has escalated in the south of the country. All this has led to an increased influx of Lebanese daily workers.
While contracts and wages are fully paid in USD, continued price increases and a fluctuating exchange rate poses many challenges. ILO together with UNDP and WFP, and in coordination with KfW, had developed a technical note which details a quarterly wage review process. The technical note was reviewed in 2022 and advised a daily wage of 10 USD for unskilled workers inclusive of transportation. As such, the latter has been implemented for all EIIP projects since the beginning of November 2022. As of December2023, ILO carried out a rapid wage assessment survey to compare the daily wage rates across different sectors and areas around the country. As a result, a new technical note is currently being developed to advise for an updated wage rate for unskilled daily workers in the construction sector.
Overall targets for Phase IV were achieved with most projects already completed and delivered. Some delays in implementation have been experienced in the farm infrastructure project, specifically related to the current security situation in the south. As such, a new no-cost extension to the phase IV financing agreement has been applied till June 30, 2024.
EIIP Lebanon and KfW have signed on the financial agreement for Phase V starting January 1st, 2023, for a duration of 25 months. Phase V will be covering both creation and rehabilitation of public assets with more focus on the generation of green works and capacity building as well as skills development both for concerned public institutions (such as relevant Ministries, beneficiary municipalities and other governmental entities) and direct beneficiaries of the program, i.e., workers. Projects have been identified in coordination with KfW and initial employment targets specified. Currently, most of these projects are under design and/or tendering phase and few under mobilization; details of which can be found in the table below.
Phase IV January 2021-December 2023
- Road maintenance: ILO and MoPWT have jointly identified six road maintenance clusters, combining simple routine maintenance such as clearing of drains and vegetation control with spot improvements such as repair and construction of lined drains, retaining walls, concrete crushed barriers, and traffic safety measures...etc. All road maintenance projects have now been completed.
-Response to Beirut Blast: ILO has in coordination with Beirut municipality and MoPWT agreed to repair Beirut Customs building and Police Station in Karantina, which were both damaged in the Port explosion, and a pedestrian network in Karantina which was identified as a priority by the municipality, all in coordination with UNDP, UNOPS, Un Habitat, AUB and other development partners. All three projects have been completed.
-The inauguration ceremony for the Police Station took place in April 2022 in the presence of all stakeholders and representatives from relevant UN agencies, Ministries, other government institutions, embassies…etc.
- Farm infrastructure: ILO has signed an MoU with the Ministry of Agriculture/Green Plan for collaboration on farm infrastructure and has signed an implementation agreement with LRI to support the identification, design, and supervision of the farm infrastructure. Around 800 farmers have been selected from a pool of 4,000 applicants based on a set of criteria agreed with Green Plan and in coordination with FAO who are also supporting the ministry. Eight clusters have been identified. Most clusters have been completed, however with many activities pending in the southern region of the country due to the current security situation; namely in South 1, South 2, and South Bekaa areas.
- Lebanon Mountain Trail: ILO has signed an implementation agreement with Lebanon Mountain Trail Association for the implementation of labour-intensive rehabilitation and maintenance of the 470km long trail (590km including side trails). The work activities started in September 2021 and almost all sections have now been rehabilitated. The installation of info panels and directional signs were still pending till the end of the contract period, as there were apparent difficulties in installing them on the ground in mountainous areas where weather conditions would not permit. These were later to be followed up by the EIIP team to make sure that they were completed in due time. As such, LMT requested yet another no cost extension till end of April 2023 to cover the above, which was in fact within the overall EIIP program no cost extension with KfW. On the 14th of January2023, ILO together with its donor the German Development Bank KfW and its implementing partner the Lebanon Mountain Trail Association, celebrated the rehabilitation and upgrade of the 590-km Lebanon Mountain Trail at a side trailing Bchaaleh.
- Municipal infrastructure: ILO, based on a comprehensive identification and selection tool, has identified seven municipal projects in coordination with project partners. Back-up projects have also been considered. Works have already been completed for all these projects. On the first of February 2023,the head of KfW MENA department Mr. Marc Engelhardt along with a delegation from KfW Lebanon and the region, visited an Employment Intensive Infrastructure Programme (EIIP) project in Mouhamara, Akkar – namely– the Renovation of the Mouhamara Public School.
- In collaboration with the Ministry of Social Affairs, the EIIP rehabilitated 4 SDCs with a goal to improve accessibility for Persons with disabilities to the centres. SDCs are in Rahbe – Akkar, Arab Salim – Nabatieh, Yohmor and Haouch El Oumara –Bekaa. All four of these projects have now been completed.
Phase III completed in May 2022
- Completion report submitted to KfW in September 2022.
Phase I+II ending December 2020
- Completion report submitted to KfW.
Project and employment summary below
A live project map can be found on the following link: EIIP Lebanon Projects Map
EIIP Phase IV
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