UAE: Pay cut during COVID-19? We use cookies to provide a personalized site experience. Take out a 7 day trial to gain unlimited access to and analysis and receive expertly-curated updates direct to your inbox. The sector’s interest rates continued their contraction for the fifth consecutive month. For years, Lebanese banks have served as a conduit for state funding, funnelling deposits back to the central bank Banque du Liban, which has, in turn, lent money to the government. As for Resident Securities Portfolio (13.76% of total Assets), they witnessed a decline of 1.15% since the beginning of the year to stand at $34.78B . In details, Resident customers’ deposits (which grasp 53.15% of total liabilities) decreased by an incremental 0.82% y-t-d to $134.34B by March 2019, as deposits in LBP (grasping 34.28% of total deposits) and in foreign currencies (65.72% of total deposits) declined by 0.92% and 0.77% y-t-d to $46.04B and $88.29B, respectively. It is for information only. Now, FX reserves are running out and debt-to-GDP is unsustainable at 152%, according to the IMF. The average dollar deposit interest rate dropped from 6.31 percent to 2.32 percent over the same period. Home » Economic Digest » Lebanese Commercial Banks’ Total Assets Added 1.31% y-t-d to $252.75B in Q1 2019. Since the beginning of the year however, a decline of $7 billion was reported for Lebanese pound deposits and a drop of $4.3 billion was reported for FX deposits. Lebanon’s Inflation Rate Hit a Record-high of 120% in August 2020, Moody’s Affirms C Rating for Lebanese Government. On the assets side, Reserves (constituting 54.44% of total assets) recorded a 5.23% y-t-d uptick to settle at $137.60B by March 2019. Banking sources told Asharq Al-Awsat that there were around 1.7 million accounts of less than $3,000. He added that many deposits in Lebanese pound were converted to dollars since August 2019 although the banks have recently made it more difficult to convert pound accounts to dollars. Non-resident customers’ deposits (14.61% of total liabilities), also retreated  by 2.13% y-t-d and totaled $36.92B over the same period on the back of a 2.16% y-t-d downtick in deposits in LBP to $4.22B and a 2.13% y-t-d decline in foreign currencies to $32.70B. Deposits contracted from $172.5 billion at end-August 2019 to $147.5 billion at end-April 2020. According to banking sector statistics released this week, customer deposits contracted by an additional $2.1 billion in April or a cumulative contraction of $11.3 billion since the beginning of this year, or a total of $25 billion since end-August, the date when deposits started declining in Lebanon. Van de Beek sets trophy target at Man Utd after taking ‘good step’ in his career, 'Vicky Donor' actor Bhupesh Pandya loses battle to cancer, The battered North East firms not ready for Brexit, Tesla Battery Day recap: Model S Plaid and a $25,000 EV lead the big news, Drew Barrymore: Dating apps were a 'car wreck'.