The EU's bet on Lebanese innovation

As Lebanon develops new engines of economic growth after years of financial crisis, innovation is being positioned as a pillar of the country's long-term recovery. While the country's economic challenges have accelerated brain drain and strained public institutions, policymakers argue that Lebanon's universities, researchers and entrepreneurs remain among its greatest assets. Those themes were at the center of discussions marking the conclusion of the European Union-funded Lebanon Innovate program, where Lebanese ministers, European officials and representatives from academia and industry highlighted efforts to strengthen research commercialization, support entrepreneurship and deepen investment in Lebanese talent.

Funded by the European Union and implemented by Berytech with Lebanese and European partners, Lebanon Innovate sought to strengthen technology transfer, improve intellectual property protection and help transform university research into commercially viable products. The initiative also aimed to foster closer collaboration between academia, industry and government while strengthening ties between Lebanese innovators, European institutions and the Lebanese diaspora.

Investing in Lebanon's innovation ecosystem

Speaking at the closing event, European Union Ambassador Sandra De Waele reaffirmed the EU's commitment to supporting innovation in Lebanon, describing investment in human capital as central to the country's future economic development.

She said the Lebanon Innovate program reflected the importance of investing in Lebanon's universities, research centers, entrepreneurs and innovation-support institutions, adding that building a cohesive innovation ecosystem requires sustained cooperation between the public sector, private sector and academia.

De Waele also emphasized the need to continue supporting Lebanon's innovation ecosystem as a space capable of generating new opportunities, strengthening economic resilience and deepening cooperation between Lebanon and its European and Mediterranean partners.

Her remarks reflected a broader objective of the initiative. Beyond supporting individual startups, the program sought to strengthen the institutions that enable innovation, including technology transfer offices, intellectual property management and research commercialization, with the goal of creating a more sustainable environment for innovation-led growth.

From research to economic growth

Much of the discussion focused on a challenge Lebanon has long faced: how to translate its highly educated workforce and strong university sector into sustained economic growth.

Industry Minister Joe Issa El Khoury argued that Lebanon's technology sector is capable of competing internationally because of the flexibility, creativity and expertise of its workforce, describing human capital as one of the country's greatest comparative advantages.

He said realizing that potential requires stronger institutional links between universities and industry so that academic research can be transformed into products and technologies capable of competing in international markets.

To support that objective, El Khoury called for the adoption of a National Knowledge Charter centered on the creation of a National Innovation Authority, tax incentives for research and development, stronger engagement with Lebanese expertise across the diaspora, and the establishment of specialized research and development clusters.

Economy and Trade Minister Amer Bisat similarly stressed that innovation depends not only on talent but also on the legal and regulatory frameworks that encourage investment and protect ideas.

Describing intellectual property as a cornerstone of the modern economy, Bisat said a knowledge-based economy requires an environment that gives innovators confidence that their ideas will be protected while encouraging creativity, entrepreneurship and long-term investment.

Technology beyond the startup ecosystem

While much of the event focused on entrepreneurship and industrial competitiveness, officials also argued that innovation should play a broader role in modernizing the Lebanese state itself.

Minister of Technology and Artificial Intelligence Kamal Shehadi said artificial intelligence and emerging technologies should not be viewed as isolated sectors but as tools capable of improving public services, modernizing government administration and increasing productivity across the economy.

Rather than limiting technology policy to startups or the private sector, he argued that digital transformation should improve the way citizens interact with the government while helping public institutions deliver more effective and efficient services.

Shehadi added that, despite Lebanon's economic difficulties, the country possesses the human talent needed to keep pace with rapid technological change, provided the appropriate institutional environment and support mechanisms are put in place.

As Lebanon continues to navigate economic recovery, the discussions highlighted a growing consensus among both Lebanese officials and international partners that the country's long-term competitiveness will depend less on its natural resources than on its ability to retain talent, commercialize research and build an innovation ecosystem capable of competing globally.