The European Union has pledged €1 billion in financial aid to Lebanon over the course of three years to assist in stabilizing the country’s economy and preventing a surge in refugees moving to Europe. The funds will be provided in the form of grants by 2027 and will be used to improve basic services such as education, social protection, and health, as well as to implement economic reforms. A significant portion of the aid, €736 million, will specifically address the challenges faced by Lebanon in hosting Syrian refugees, with the aim of ensuring the well-being of both the host communities and the refugees.

The announcement of the financial aid came after a meeting between European Commission President Ursula von der Leyen and Lebanese caretaker Prime Minister Najib Mikati, along with Cypriot President Nikos Christodoulides in Beirut. The EU’s decision to provide assistance follows a call for deeper engagement with Lebanon in order to safeguard the country from the regional conflict in the Middle East. The deepening economic crisis in Lebanon, compounded by a fragile government, has left the country vulnerable to the instability in the region, particularly following the Israel-Hamas war. Lebanon is currently home to a significant number of Palestinian and Syrian refugees, raising concerns about potential migration flows towards Europe, particularly through Cyprus.

The influx of Syrian refugees transiting through Lebanon and attempting to reach Cyprus has prompted a temporary halt in the processing of asylum applications by Cyprus. Over a thousand individuals arrived in Cyprus within the first two weeks of April, leading to overloaded refugee and reception centers on the island. The EU’s financial aid is intended to address the unsustainable situation faced by both Lebanon and Cyprus, as well as the European Union due to the pressure exerted on the economy and society. The agreement was brokered by Cyprus’ President Christodoulides, who emphasized the importance of intensifying efforts to support voluntary returns of refugees, thereby alleviating the strain on Lebanon’s economy and society.

In response to the escalating tensions between Israel and Hamas, both Christodoulides and von der Leyen have expressed concerns about the security threats faced by Lebanon. The presence of the militant group Hezbollah in Lebanon, as well as ongoing conflicts along the border with Israel, has heightened concerns about the security of both Lebanon and Israel. Von der Leyen called for the UN resolution calling on Israel to withdraw its troops from the border demarcation between Lebanon and Israel, known as the Blue Line, to be respected. Additionally, discussions are underway to explore potential collaborations between Lebanon and the EU’s border agency, Frontex, focusing on information exchange and situational awareness to address security challenges in the region.

The European Commission has endorsed the efforts to support the voluntary return of refugees to their home countries, including facilitating returns to regions in Syria that have been deemed safe. This proposal was tabled by Christodoulides at a recent summit meeting of EU leaders, highlighting the need to re-examine the status of certain areas in Syria for the return of migrants and refugees. The EU has followed the lead of the UNHCR in considering safe zones in Syria and is engaging in discussions on how to approach this issue in the future. Von der Leyen also emphasized the importance of cooperation with partner countries, such as Lebanon, to address security threats and ensure the well-being of both host communities and refugees in the region.

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