Balance of Payments Deficit Widened to $1.41B in 2014

Lebanon’s Balance of Payments (BoP) displayed a $1.41B deficit compared to a smaller deficit of $1.13B in 2013, despite the improvement in the current account, BOP’s largest constituent. Hence, the higher deficit is probably due to worsening capital and financial accounts.

Net foreign assets (NFAs) of commercial banks narrowed $5.22B, while that of the Central Bank (BdL) grew by $3.82B.

In December alone, the BoP registered a deficit of $116M compared to a surplus of $534M in the same month of 2013.

Likewise, BoP deficit widened in January 2015 to $280M, compared to a deficit of $31.3M in the same month of 2014.

NFAs of commercial banks contracted $637M in the first month of 2015. Meanwhile, BdL’s NFAs widened $357M in January 2015.

 Yearly Balance of Payments (In $M)

Balance of Payments Deficit Widened to $1.41B in 2014

Source: BDL

 

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