Total deposits, with the exception of demand deposits, recorded a decrease LBP54 billion ($35.50 million) due to a decrease in foreign currency deposits by approximately $147m, in addition to the increase in deposits in Lebanese pounds by LBP168bn, Bank of Lebanon reveals.
In contrast, money supply (M3) increased by LBP413bn, which is equivalent to $274.05m during the week ending September 3 to reach LBP182.965bn ($121.37bn), an increase of 4.93 per cent compared with the same period last year and by 3.14 per cent since the beginning of this year, Aliqtisadi reports.
Money supply (M1) also increased during the same period to LBP467bn ($309.553m), due to a higher demand deposits, estimated at LBP150bn ($99.50m), and the expansion of cash circulation by as much as LBP 317bn ($210.28m).
It is worth mentioning that the “dollarisation” of the money supply ratio decreased from 58.18 per cent through August 27, to 57.92 per cent by September 3, while interbank interest stabilised at 2.75 per cent by the end of July 2015.
(LBP1 = AED0.0024, at the time of publishing)