Central Bank reassures foreign investors about deposits

Founder of Al Habtoor Group Khalaf Ahmad al-Habtoor took to Twitter his concerns concerning dollar deposits of foreign investors in Lebanon.

Al-Habtoor asked Lebanon's Central Bank Governor Riad Salameh for clarity for Arab investors concerned about the crisis and those thinking of transferring funds to Lebanon.

The Central Bank responded to al-Habtoor via Twitter: "All funds received by Lebanese banks from abroad after November 17th are free to be transferred out."

"The declared policy of the Central Bank of Lebanon is not to bankrupt any bank thus preserving the depositors, also the law in Lebanon doesn’t allow haircut. Any haircut would then require a law in parliament," BDL added.

The Central Bank also confirmed that it is providing liquidity needed by banks in both Lebanese pound and dollars, but "under one condition that the dollars lent by BDL won’t be transferred abroad."

The Central Bank reiterated: "Thus the difficulty of banks to do transfers abroad for deposits that were on their books prior to November 17th, these deposits can be moved freely inside Lebanon."

His Excellency’s answer on Mr. khalaf Ahmad Al Habtoor’s questions @KhalafAlHabtoor is the following :

“All funds received by Lebanese banks from abroad after November 17th are free to be transferred out. https://t.co/rj7xyMAL3M

— Banque Du Liban (@BDL_Lebanon) January 25, 2020