Central Bank’s holdings of treasury bills up by $4 billion. Central Bank Governor Riad Salamé indicated that the Central Bank bought more than LBP6,000 billion, equivalent to $4 billion in government Treasury bills so far this year, in order to maintain interest rates at their current level.
The Association of Banks in Lebanon said that the Central Bank had to intervene because commercial banks had refrained from subscribing to Treasury bills during this period, as political instability at the beginning of the year led banks to favor more flexible and liquid instruments such as Certificates of Deposits over T-bills. The Central Bank accounted for 32.3% of local public debt at end-September 2011, up from 21.4% at end-September 2010 and 27.2% at end-2010.
Further, Governor Salamé stated that the Central Bank's liquid assets reached a record high of $32bn, despite securing the government's financing needs in US dollars that totaled $2.8 billion so far this year. He said that such level of foreign exchange reserves highlights Lebanon's capabilities to defend the stability of the national currency. In parallel, he added that Lebanese banks are healthy and will further strengthen their balance sheets by raising the capital adequacy ratio to 12%, which would exceed the Basel III requirement of 10.5%, with most of the capital being Common Equity Tier One (CET1).
He added that the deadline for the implementation of these requirements is set for end-2015. Further, Governor Salameh reportedly encouraged Syrian affiliates of Lebanese banks to increase their provisions to 20% of doubtful loans in order to avoid the negative impacts that would result from potential losses Lebanon This Week, the economic publication of the Byblos Bank Group.
STRATEGIES & PLANS
A fundraising event, entitled Think Green, will be held by Zero Waste ACT for all its business members on September, 10,2013, at WHITE, Dora.
The Green Mind Association invited all Green Mind Award Participants, finalists, runner ups and winners to the GREEN MIND DAY on Jan-16-2013 in Beirut, to create a platform where interested Venture Capital and Potential Investors met with participants.
A green initiative launched by Ashrafieh 2020 project aims to transform Ashrafieh into a tranquil and unpolluted area.Green spaces allow residents to walk and ride bicycles.