Downward spiral

ENAR

Walk into one of the discount retail stores in Hamra or Furn El Chebbak and you will end up elbowing other shoppers to reach the display. It is a similar picture if you take a stroll to the Sunday flea market next to the Beirut River, where throngs of people hunt out the best bargains. But walk into a luxury goods store and you are likely to be one of few clients there. Nicolas Chammas, head of the Beirut Traders Association, estimates that consumption in Lebanon is down by 5 percent, a significant percentage considering that, according to Chammas, consumption fuels 85 percent of gross domestic production. “The economic stagnation has affected all categories of products since tourists and expats avoided visiting Lebanon,” says Mher Atamian, managing director at Est. Hagop Atamian, a distributor of luxury and medium end watches in Lebanon.  Across Lebanon retail shops are closing down, with