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FINANCIAL NEWS
Lebanon banks negatively affected by Syria uprising
12 Jul 2012
(MENAFN) Lebanon’s Central Bank Governor Riad Salameh said that banks operating in the country were hit by the ongoing political uprising against President Bashar Al Assad in neighboring Syria, Arabian Business reported.
Salameh said that balance on loans and deposits, whether from Lebanese banks in Beirut or in Syria, has declined in the past 16 months by 45 percent.
According to Salameh, seven Lebanese banks, including the leading ones which operate in Syria had an overall exposure of USD4.9 billion.
Salameh expected deposits at all Lebanese banks are forecast to grow flat at eight percent this year, the same level as 2011, while the value of loans is forecasted to rise by more than 10 percent.
Lebanese banks have cut their exposure, in both Lebanese pounds and foreign currencies, to Lebanon’s public debt to USD28 billion, while the bank’s exposure to the private sector stood around USD42 billion, Salameh said.
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