In its Spring 2025 issue titled “Turning the Tide?”, the World Bank’s (WB) Lebanon Economic Monitor (LEM) featured a special analysis on Lebanon’s inflation. Since Lebanon’s financial crisis began, the consumer price index (CPI) has drawn growing attention, especially after Lebanon registered the highest inflation rate globally in August 2021. With that peak now behind us, understanding what’s driving inflation is critical to forecasting its future trajectory, particularly in light of the election of a new government believed to be pro-reform. This analysis zooms in on Lebanon’s inflation dynamics, comparing trends before and after the crisis began, and pinpointing the main drivers that are likely to shape inflation in the coming period. After all, as the proverb goes, “History may not repeat, but it often rhymes—especially in prices.”
For the full report, click on the link below:
Rhyming with the Past – What Lebanon’s Inflation Says About Its Future