Of Benjamin he said: see the models for other tribes in previous verses.

The beloved of the LORD: see in Gen 44.20; Benjamin was Jacob’s favorite son. It is better to make this a statement with a finite verb: “The tribe that the LORD loves” (similarly Good News Translation), or “Yahweh loves you, people of the tribe of Benjamin.”

He dwells in safety by him: see 12.10; 33.28. He is Benjamin; him is Yahweh. New Jewish Publication Society’s Tanakh has “He rests securely beside Him.” Another way to render this is “You [the people of the tribe of Benjamin] rest securely beside Yahweh.”

New Revised Standard Version renders the first two lines of this blessing as “The beloved of the LORD rests in safety—the High God * surrounds him all day long—.” The footnote says “Heb above him.” There is a textual problem here. Hebrew Old Testament Text Project ({B} rating) favors this alternative rendering adopted by New Revised Standard Version, and translators should feel free to follow it as the text to be translated. But instead of “the High God,” the more usual “the Most High” should be used. Contemporary English Version follows this interpretation, with “The LORD most High loves you, tribe of Benjamin.” The adoption of this text results in a change in the first line, as set forth by New Revised Standard Version; instead of four lines (Revised Standard Version) there will be three lines.

He encompasses him all the day long: this is like the New Revised Standard Version text; he is Yahweh and him is the tribe of Benjamin. The verb encompasses means to surround with care, to protect.

Makes his dwelling between his shoulders: this can be understood in two ways:
(1) Benjamin lies safely between the shoulders (meaning, “in the arms”) of Yahweh;
(2) Yahweh lives in “the shoulders,” that is, the hills, of the tribe of Benjamin.

The verb “to dwell” is the one used in 12.11 (see also Isa 8.18). This is a reference to a sanctuary in the territory of the tribe of Benjamin; it may be Shiloh, or Bethel, but it is most probably Jerusalem itself, which was at one time regarded as being in the territory of Benjamin (see Josh 15.8; 18.28). The first interpretation is favored by New Revised Standard Version, New International Version, New Jewish Publication Society’s Tanakh, Revised English Bible, Biblia Dios Habla Hoy, Nova Tradução na Linguagem de Hoje; the second one is adopted by New Jerusalem Bible, Good News Translation, Contemporary English Version, Traduction œcuménique de la Bible, Bible en français courant, BÍBLIA para todos Edição Comum, Osty-Trinquet. It is impossible to rule out either alternative, but on the whole the second interpretation seems more probable. Contemporary English Version reverses the order of the final two lines as follows:

• He will live among your hills
and protect you.

Quoted with permission from Bratcher, Robert G. and Hatton, Howard A. A Handbook on Deuteronomy. (UBS Helps for Translators). New York: UBS, 2000. For this and other handbooks for translators see here .