Lebanon: Change in Daily Transportation Allowance – 22 October 2026

Decree No. 4021 of 14 October 2026 replaces the fixed daily transport allowance of LBP 450,000. The allowance is now the value of 5 litres of gasoline per day of actual attendance at the workplace. It can’t be less than LBP 500,000 or more than LBP 800,000 per day. The decree was published in Official Gazette No. 46 on 22 October 2026 and took effect the same day.

How the allowance is calculated

Daily allowance = 5 litres × the average official price per litre, with a minimum of LBP 500,000 and a maximum of LBP 800,000.

The Ministry of Energy and Water publishes prices per 20-litre tin, so 5 litres is a quarter of the tin price.

Still to be confirmed officially

The decree says the average price will be applied “according to a mechanism to be adopted in agreement with the Ministry of Energy”. That mechanism hasn’t been published yet. When it is, it should set out:

• the gasoline grade (95 or 98 octane);
• the averaging period (the Minister of Labour has publicly referred to a monthly average, but this isn’t confirmed in an official instrument);
• rounding, and how the rate is published.

What employers need to do

• October 2026 payroll:
  • Pay attendance days from 1 to 21 October at LBP 450,000.
  • Pay attendance days from 22 October at the new rate, and never below LBP 500,000 or above LBP 800,000.
• Until the mechanism is published: pay at least the LBP 500,000 minimum, and be ready to pay the difference once the official rate is set. Some employers may choose to pay an estimate based on current fuel prices to reduce later adjustments.

Sources:

• Decree No. 4021/2026, Official Gazette No. 46 (22/10/2026), p. 4457 — gazette page — https://494075.fs1.hubspotusercontent-na1.net/hubfs/494075/compliance-portal/decree-no-4021-adjustment-of-daily-transportation-allowance.pdf
• Ministry of Energy and Water, official fuel selling prices (LBP per 20 litres) — https://www.energyandwater.gov.lb/ar/prices?type=1

 

Please contact your Mercans’ services delivery team for any additional information regarding the implications of the above change.

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Change in Daily Transportation Allowance

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