Head of the Association of Banks in Lebanon (ABL) Joseph Tarabay announced Tuesday that local banks did not implement yet the provisions of the Central Bank Governor Riad Salameh in terms of the American sanctions imposed on Hezbollah.
Following his meeting with Finance Minister Ali Hassan Khalil, Tarabay noted that the Banks Association operates under the authority of the Lebanese State and in accordance with laws issued by the Parliament.
Commenting on the statement, which was issued by the Loyalty to the Resistance bloc, Tarabay said, “We apply the Lebanese laws and work within the frame of the international laws, which are respected by all world countries.”
Loyalty to the Resistance parliamentary bloc criticized the central bank for saying it would abide by a US law that came into effect last month and which the party's lawmakers said violates Lebanon's sovereignty.
The bloc said last Thursday that US sanctions on banks that knowingly do business with Hezbollah could threaten Lebanon's financial sector, hinting that supporters may withdraw their money from local banks.
The statement came after a cabinet meeting, in which officials discussed a decision by banks to shut down the accounts of at least two Hezbollah lawmakers, reports said.
Salameh has said that Lebanon will abide by the restrictions in the Hezbollah International Financing Prevention Act, which was signed into law in December.