Regulatory Alerts2022-10-12 | 13486Banks’ Operational Expenses
The Governor of Bank of Lebanon, pursuant to Basic Decision No. 13486 dated 12 October 2022, mandates all Lebanese banks to submit monthly declarations to the Banking Control Commission detailing operational expenses paid or payable from new funds since 1 January 2022, along with their funding sources and coverage mechanisms. Banks must provide these statements within ten days of each month’s end, with a one-time submission for pre-October 2022 periods by 31 October 2022. The Banking Control Commission is authorized to issue implementing instructions, and the decision takes immediate effect upon publication in the Official Gazette.
Basic Circular No. 164
For Banks
A copy of the letter is sent to you in connection with Basic Decision No. 13486 dated 12/10/2022 concerning Banks’ operational expenses.
Beirut, 12 October 2022
Governor of Bank of Lebanon
Riad T. Salam
Basic Decision No. 13486 Banks’ Operational Expenses
The Governor of Bank of Lebanon, Pursuant to the Monetary and Loan Law, particularly Articles 174 and 70 thereof, And pursuant to the decision of the Central Council of Bank of Lebanon taken in its meeting held on 28/9/2022,
Decrees as follows:
Article One: All banks shall declare to the Banking Control Commission:
- The monthly operational expenses required to be paid from "new funds", which have been or will be paid as of 1/1/2022.
- The funding sources for these expenses.
- How the necessary funding is secured to cover these expenses.
Article Two: The aforementioned statement shall be submitted monthly within ten days following the end of each month, starting from the October 2022 statement. Exceptionally, statements for periods prior to October 2022 shall be submitted within a deadline of 31/10/2022.
Article Three: The Banking Control Commission shall issue implementing instructions for the provisions of this decision.
Article Four: This decision takes effect upon its issuance.
Article Five: This decision shall be published in the Official Gazette.
Beirut, 12 October 2022
Governor of Bank of Lebanon
Riad T. Salam