Fresh USD Checks Reached 47,864 Checks Valued at $605M by May 2026
According to the data published by the Association of Lebanese Banks’ (ABL), the total number of cleared checks in the Lebanese financial system decreased remarkably by 38.88% year over year (YoY) to 29,106 checks by May 2026. However, the cumulative value of cleared checks in local currency increased by 13.52%YoY to LBP 27,296B by May 2026. This upsurge in value of Lebanese checks given that the number of Lebanese checks issued decreased reflects higher denomination in LBP per check due to the exchange rate depreciation. However, the cumulative value of cleared checks in foreign currency dropped by 50.00%YoY to $176M by May 2026.
Moreover, the volumes of cleared checks in Lebanese Pounds and foreign currencies witnessed substantial yearly drop of 37.94% and 56.86% respectively to settle at 28,077 and 1,029 checks, by May 2026. Accordingly, the dollarization rate of checks in terms of volume fell from 5.01% in May 2025 to 3.54% in May 2026.
Notably, the number of returned checks dropped significantly by 50.19% YoY to stand at 133 checks by May 2026. Moreover, the value of returned checks in local & foreign currency decreased drastically YoY respectively by 70.40% and 95.30% by May 2026 to record LBP 37B and $ 3.24M.
Banque du Liban (BDL) issued Circular 165, which permits depositors to make payments by check starting June 1st, 2023, as long as their accounts are in either fresh US dollars or Lebanese lira. To support this initiative, BDL has introduced a new clearing system, distinct from the one dedicated to pre-crisis deposits. This circular serves a dual purpose: it encourages customers to open new accounts in both Lebanese pounds and US dollars, while also aiming to decrease the country’s dependence on cash and stimulate economic recovery. As such, by May 2026, the cumulative number of checks issued from fresh accounts reached 65,806, of which 47,864 checks were in USD currency, amounting to $605M; and 17,942 checks were in LBP currency amounting to LBP 27,077B. On a monthly basis, the number of cleared fresh checks in May 2026 was 12,645 checks.
Cleared Checks by May 2026 (in 000s)
Source: ABL, BLOM Invest
