Dubai: Al Habtoor Group has issued a formal notice initiating an investment dispute against Lebanon, as the UAE conglomerate’s sets out to legally protect nearly $1 billion (Dh3.67 billion) of its investments in the country.
The notice is in connection with Lebanon’s breach of the Bilateral Investment Treaty between the UAE and Lebanon, the company said in a statement, referring to an agreement put in place to protect UAE investments in Lebanon territory since 1999.
“In particular, Lebanon and its central bank have imposed restrictions preventing Al Habtoor Group from freely transferring its funds amounting to over $44 million (Dh161.6 million) from the Lebanese banks,” Al Habtoor Group further revealed.
“Lebanon has also failed to secure a safe and sound environment for Al Habtoor Group’s businesses and investments. As a result of Lebanon’s actions, Al Habtoor Group has incurred and continues to incur significant losses and damages.”
With Lebanon now finding itself mired in deep financial crises that threaten to further destabilise the country, foreign investors particularly from the Gulf Cooperation Council (GCC) states are concerned about protecting their business interests.