Hezbollah will continue to pay the rent of Lebanese people whose homes were destroyed by Israel in last year's war, officials from the group have said.
When a tenuous ceasefire came into effect last November between Israel and Hezbollah, the militant group said it would provide up to $6,000 for a year of rent for those who lost their primary residence.
With the anniversary of that date fast approaching, some residents had recently voiced concerns over whether the assistance would continue.
But Youssef Zein, Hezbollah's spokesman, told The National that the payments to help displaced people pay rent elsewhere would continue, at up to $500 a month − $6,000 a year.
“There is no conceivable option where this doesn't continue,” said another Hezbollah official.
“If you know the damage of the war and the crisis in Lebanon, you would know Hezbollah can't leave the people like that,” they added.
Two residents of villages in southern Lebanon whose homes were destroyed by Israel and relied on the rent assistance said that last month officials had been in contact to assure them that the payments would continue.
“The people were scared that in December maybe they will not get paid,” one resident said, adding that they were told not to worry and that the rent assistance would continue.
Following the ceasefire, which Israel continues to violate on a daily basis, Hezbollah chief Naim Qassem confirmed that the group would provide a lump sum of $8,000 to those whose primary homes were destroyed in the war to cover the loss of possessions.
Some $6,000 would also be given for a year of rent for those living in Beirut or its suburbs and $4,000 for those outside the capital until they can move back home, he said at the time.
A World Bank assessment in November 2024 estimated that conflict-related damages to housing in Lebanon amounted to approximately, $3.3 billion, affecting nearly 100,000 housing units.
This is largely in south Lebanon, the southern suburbs of Beirut and the Baalbek region, areas where Hezbollah's largest support base comes from.
According to a March 2025 report, the World Bank estimated that Lebanon needs $11 billion for recovery and reconstruction following the war.
With the government cash-strapped and international donors refusing to commit to large-scale transfers until there is economic reform and progress on Hezbollah being disarmed, very little of the money needed is flowing in. Around 80,000 people remain displaced.
Hezbollah has repeatedly said that the government must lead on reconstruction efforts, not the group.
Lebanese authorities have sought to restrict financing of the group and stepped up the monitoring of money coming in from Hezbollah's main backer, Iran.
The fall of the Assad regime in Syria, once a key ally of Hezbollah, also stripped the group of its main land supply route.
But Hezbollah appears to remain financially resilient, despite the pressure internationally and from some inside Lebanon.
US envoy Tom Barrack recently claimed that Hezbollah has been receiving “$60 million a month” since the November ceasefire.
Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
The bio
His favourite book - 1984 by George Orwell
His favourite quote - 'If you think education is expensive, try ignorance' by Derek Bok, Former President of Harvard
Favourite place to travel to - Peloponnese, Southern Greece
Favourite movie - The Last Emperor
Favourite personality from history - Alexander the Great
Role Model - My father, Yiannis Davos
