The Bank of Lebanon issued a detailed statement regarding Basic Circulars No. 158 and No. 166, in which it revealed the volume of payments that had been made to depositors since their inception, stressing that the two circulars constituted an essential tool for securing liquidity for depositors in light of the continuing banking and financial crisis that has afflicted the country since 2019.
The Bank of Lebanon explained that the banking crisis that broke out in October 2019 imposed severe restrictions on bank deposits, preventing depositors, whether residents or non-residents, from disposing of their money freely, especially deposits in foreign currencies.
He pointed out that, pending the approval of a comprehensive plan to restore financial stability and the laws related to reforming the banking sector and recovering deposits, Basic Resolution No. 13335 dated June 8, 2021, known as Circular 158, was issued, in addition to Basic Resolution No. 13611 dated February 2, 2024, known as Circular 166, in response to the urgent humanitarian need of depositors, and to contribute to supporting social stability and economic growth.
The statement confirmed that the two circulars provide cash liquidity in US dollars exceeding $2.5 billion annually, which is financed from mandatory deposits belonging to commercial banks and deposited with the Bank of Lebanon, which the Central Bank considered funds that originally belonged to the depositors themselves.
The Bank of Lebanon revealed that the number of beneficiaries of the two circulars until the end of March 2026 amounted to 578,770 depositors, including 266,166 depositors who recovered their entire deposits in the branched private accounts, equivalent to 46% of the total beneficiaries.
He also indicated that the value of the monthly payments for the two circulars decreased from $242.2 million in February 2026 to $240.4 million in March 2026, a decrease of $1.8 million, or 0.73%.
The statement explained that the banks’ contribution to the March 2026 payment amounted to about $28.36 million, or 11.80% of the total payment, while the Bank of Lebanon paid 88.2% of the amounts paid within the two circulars.
Regarding the total payments, the Bank of Lebanon announced that the total number of requests to benefit from the two circulars amounted to 610,624 requests as of the date of issuance of the statement, while the value of the total payments until the end of March 2026 reached about 6.109 billion US dollars.
He indicated that the Bank of Lebanon’s share of these payments amounted to $4.183 billion, equivalent to 68.46% of the total amounts, while the banks’ contribution amounted to $1.926 billion, or 31.54%.
The Central Bank also confirmed that all depositors benefiting from Circular 158, whose deposits were equal to or less than 40,200 US dollars, were able to recover their entire savings until the end of April 2026.
The Bank of Lebanon concluded by emphasizing the continuation of work to pay the obligations related to the two circulars, considering that this mechanism contributes to supporting depositors and improving their financial capacity, in addition to supporting the local economy in light of the difficult economic and social conditions that Lebanon is going through.
This statement comes at a time when controversy continues over the future of deposits and the plan to restructure the banking sector, amid popular and political demands to adopt comprehensive and fair solutions that guarantee the rights of depositors and restore confidence in the Lebanese financial system after years of collapse and accumulated crises.
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