Since 2019, one-third [previously the majority] of the board of directors of joint-stock companies are required to be composed by Lebanese nationals. Investment in a few sectors - insurance, economics [financial services and real estate], supplies [utilities], organized air freight [air transportation], banking or finance - are particularly affected since joint-stock companies is the only form of business incorporation allowed according to sectoral regulations. Branches of foreign companies may sometimes be allowed (e.g. banking), but such requirement remains more burdensome for established foreign investors. For the purpose of the OECD FDI Regulatory Restrictiveness Index, the restriciton is considered only in the affected sectors.
[Text of the Law No.126 of 29/03/2019 modifying certain provisions of the Lebanese Code of Commerce: not found in French or English]
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[Previous legislation]
"CHAPTER 3 - Operation of joint-stock companies
Section 1 - Directors
Article 144 (as modified by the Law promulgated by Decree N° 9798 of 4 May 1968)
The management of the joint-stock company shall be entrusted to a Board of Directors consisting of three members, at least, and of twelve members, at most.
Without prejudice to what could be provided by special legislation for certain joint-stock companies, the majority at least of the members of the Board of Directors must be of Lebanese nationality.
The Hoard of Directors must appoint one of its members for the chairmanship. [...]" (Lebanon Code of Commerce: Legislative Decree N° 304 of 24 December 1942)
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"Limited Liability Company S.A.R.L
The object of an S.A.R.L may not be related to insurance, economics, supplies, organized air freight, banking or finance. [...]" (Government of Lebanon,"Business Structures in Lebanon", Investment Development Authority of Lebanon (IDAL))
Law No.126 of 29/03/2019 modifying certain provisions of the Lebanese Code of Commerce
Lebanon Code of Commerce: Legislative Decree N° 304 of 24 December 1942.
Government of Lebanon,"Business Structures in Lebanon", Investment Development Authority of Lebanon (IDAL).

[<a href="http://www.databank.com.lb/doc.asp?ID=940">Code</a>],[<a href="https://investinlebanon.gov.lb/en/doing_business/starting_a_business/choose_a_business_structure">Website</a>],[<a href="http://www.aldic.net/law-no-126-of-29032019-modifying-certain-provisions-of-the-lebanese-code-of-commerce-legislative-decree-no-304-of-24121942/">Other</a>]