Lebanon Recorded $525M Deficit on its Balance of Payments by May

In spite of a 22.29% year-on-year (y-o-y) contraction in trade deficit and an improved performance in the tourism sector, Lebanon’s Balance of Payments (BoP) revealed a deficit of $525M in the first 5 months of 2015, compared to a surplus of $776M, in the same period last year. This might be due to the overall weakening in European and GCCs economies following the deprecation of the Euro and the falling oil prices that in turn might have affected remittances.  

Up until May, Net Foreign Assets (NFA) of the Central Bank (BDL) rose by $2.18B, while that of commercial banks fell by $2.71B.

However, In May alone, Lebanon’s BoP registered a surplus of $189M, compared to a lower surplus of $136M a month earlier. NFAs of BDL grew by $1.71B while that of commercial banks declined by $1.52B, from the prior month.

Balance of Payments Up to May ($M)

Lebanon Recorded $525M Deficit on its Balance of Payments by May

Source: Banque du Liban

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