Figures issued by Banque du Liban (BdL) show that the net foreign asset of the financial sector, which are a proxy for Lebanon’s balance of payments, increased by $8.9bn in the first seven months of 2025, compared to increases of $3.8bn in the same period of 2024 and of $926m in the
first seven months of 2023.
The cumulative surplus in the first seven months of 2025 was caused by increases of $7.7bn in the net foreign assets of BdL and of $1.2bn in those of banks and financial institutions. Further, the net foreign assets of the financial sector rose by $424.8m in July 2025 compared to an increase o $352.2m in June 2025 and a surge of $1.13bn in July 2024. The July increase was caused by increases of $339.4m in the net foreign assets of BdL and of $85.4m in those of banks and financial institutions. Also, the rise in the banks’ net foreign assets in July is mostly due a rise of $32.1m in the banks’ claims on the non-resident financial sector, and to decreases of $105.1m in the deposits of the non-resident financial sector and of
$52.1m in non-resident customer deposits, which more than offset a downturn of $0.44m in claims on non-resident customers.c The cumulative rise in BdLꞌs net foreign assets reserves in first seven months of 2025 is due mainly to increases of $6.35bn in the value of BdL’s gold reserves and of $749m in its foreign currency reserves. Also, the rise in the banks’ net foreign assets in the covered periodis mostly due to increases of $666.5m in the banks’ claims on the non-resident financial sector and of $16.4m in claims on non-resident customers, and to a decrease of $133.8m in the deposits of the non-resident financial sector, which more than offset a rise of $389.1m in non-resident customer deposits
BdL said that it started in January 2024 to include monetary gold, the non-resident foreign securities held by BdL, and the foreign currencies & deposits with correspondent banks and international organizations as part of its foreign assets; while it excluded the Lebanese government’s sovereign bonds and its loans in foreign currency to resident banks and financial institutions from the entry. It attribute the modifications to its adoption of the IMF’s methodology as stipulated in the latter’s Sixth Edition of the Balance of Payments and International Investment Position Manual and in the Monetary & Financial Statistics Manual & Compilation Guide. It added that the changes are in line with the BdL Central Council’s Decision Number 37/20/24 on September 13, 2024.
The consolidated balance sheet of commercial banks operating in Lebanon shows that total assets stood at LBP9,188.3 trillion (tn), or the equivalent of $102.7bn, at the end of July 2025, compared
to LBP9,231.6tn ($103.1bn) at end-2024 and to LBP9,360tn ($104.6bn) at the end of July 2024. Loans extended to the private sector totaled LBP486.2tn at the end of July 2025, with loans to the resident private sector reaching LBP406.7tn and credit to the non-resident private sector amounting to LBP79.5tn at the end of the month. Loans extended to the private sector in Lebanese pounds
reached LBP9.1tn, as they decreased by 21.7% from LBP11.58tn at the end of 2024; while loans in foreign currency totaled $5.33bn at end-July 2025 and declined by 8.3% from $5.82bn at the end of 2024. The figures reflect Banque du Liban’s (BdL) Basic Circular 167/13612 dated February 2, 2024 that asked banks and financial institutions to convert their assets and liabilities in foreign currecies to Lebanese pounds at the exchange rate of LBP89,500 per US
- dollar when preparing their financial positions starting on January
- 31, 2024.
