Regulatory Alerts2018-02-01 | 12755Central Bank of Lebanon Circular No. 12755: Amendments to Decision No. 6116 and Decision No. 7835 Regarding Financial Facilities and Reserve Requirements
The Central Bank of Lebanon issued Circular No. 12755 on February 1, 2018, to amend Decision No. 6116 (Financial Facilities) and Decision No. 7835 (Reserve Requirements) to expand the scope of subsidized loans banks can offer. The regulation introduces new categories of eligible loans, including R&D, green energy, housing for specific groups, and diaspora loans, while establishing strict eligibility criteria, interest rate caps, and reporting obligations. It also modifies reserve requirement rules by suspending compliance for certain extended loans and defines the calculation methodology for state subsidy support provided to banks.
Central Bank of Lebanon Circular No. 485
To Banks and Financial Institutions
We enclose a copy of Interim Decision No. 12755 dated 1/2/2018 regarding the amendment of:
- Interim Decision No. 6116 dated 7/3/1996 (Facilities that the Central Bank of Lebanon may grant to Banks and Financial Institutions) attached to Basic Circular No. 23.
- Interim Decision No. 7835 dated 2/6/2001 (Mandatory Reserve) attached to Interim Decision No. 84.
Beirut, on 1 February 2018 Governor of the Central Bank of Lebanon
Riad T. Salamah
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