File - Prime Minister designate Tammam Salam gestures as he leaves the Parliament in Beirut, Wednesday, April 10, 2013. (The Daily Star/Mohammad Azakir)
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Lebanon's business community is expressing optimism over the prospects for a new Cabinet, saying it could be the first step on the road to economic recovery after a weary two-year downturn.Nabil Itani, head of the Investment Development Authority of Lebanon, told The Daily Star that the formation of a Cabinet would restore investors' confidence in the country.Chammas said trade activity in the country had dropped by 30 percent to 50 percent in the first half of this month due to the unstable security situation.Economist Ghazi Wazneh said a positive development in the government formation could improve the performance of many sectors, including real estate and tourism.The positive news about the potential formation of a new government caused the BLOM Stock Index to rise slightly Tuesday and Wednesday before falling 0.29 percent Thursday.
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