BEIRUT: Lebanon will work to increase investment and tourism from other Arab countries after the month of Ramadan, State Minister Marwan Kheireddine said Friday. 

“Once the month of Ramadan is over, Lebanon will open up, in a more effective way, to the Arab countries in order to enhance ties that would bring more investment and tourists to Lebanon,” Kheireddine told Kuwait News Agency. 

Kheireddine’s comments come after the Institute of International Finance estimated earlier this month that construction in Lebanon fell by 12 percent and tourism by 10 percent in real terms in the first half of 2011 relative to the same period last year. The institute noted that construction and tourism were the main engines of the strong growth that has been registered in the past four years, accounting for more than half of real GDP growth.

The IIF revised downward its real GDP growth forecast for Lebanon from 4 percent last January to between 1.1 and 3 percent for 2011, adding that growth prospects would depend on political developments in the second half of 2011 year.

Lebanon witnessed deteriorating economic conditions while the country’s political situation was in paralysis following the resignation of eight ministers from former Prime Minister Saad Hariri’s Cabinet, forcing its collapse in January. 

Mikati formed his Cabinet on June 13 and was granted the Parliament’s vote of confidence on June 30. 

Kheireddine, who is the owner of Al Mawarid Bank, also touched upon recent appointments by Prime Minister Najib Mikati’s Cabinet, saying: “There is a clear understanding within the Cabinet and there are always preparations before deciding on any issue to ensure productivity.” 

The state minister was appointed Monday to replace Talal Arslan, who resigned just hours after Mikati’s Cabinet was announced on June 13 in an expression of dissatisfaction over not being chosen as defense minister, as he had requested.