Regulatory Alerts2026-05-21 | 13820Central Bank of Lebanon Circular No. 765 on Microloans
The Central Bank of Lebanon issued Circular No. 765 and Decision No. 13820 to amend Article 7 of Basic Decision No. 8779 (Microloans), granting microfinance institutions a maximum six-month window to apply for financial institution status under Basic Decision No. 13819 and submit required documentation, including a business plan. Upon Central Bank approval, institutions must fully comply with the Basic Decision within six months, with the Central Council authorized to grant extensions in exceptional cases. If these deadlines expire without listing on the financial institutions register, microfinance institutions lose their lending rights and face enforcement actions under Articles 200 of the Monetary and Exchange Law and 770 of the Penal Code.
Central Bank Circular No. 765 To Banks and Financial Institutions
We enclose a copy of Central Bank Decision No. 13820 dated May 21, 2026, regarding the amendment of Basic Decision No. 8779 dated July 13, 2004 (Microloans), attached to Basic Circular No. 93.
Beirut, May 21, 2026 Governor of the Central Bank of Lebanon Karim Saeed
Central Bank Decision No. 13820 Amendment of Basic Decision No. 8779 dated July 13, 2004
The Governor of the Central Bank of Lebanon, pursuant to the Monetary and Exchange Law, particularly Articles 79 and 174 thereof, pursuant to Basic Decision No. 8779 dated July 13, 2004 and its amendments regarding Microloans, pursuant to Basic Decision No. 13819 dated May 21, 2026 regarding the conditions for establishing and operating financial institutions, and pursuant to a decision of the Central Council of the Central Bank taken in its meeting held on May 6, 2026, hereby decides as follows:
Article 1: The text of Article 7 of Basic Decision No. 8779 dated July 13, 2004 is repealed and replaced with the following: "First: Microfinance institutions are granted a maximum period of six months to submit an application for establishing a financial institution in accordance with the provisions of Basic Decision No. 13819 dated May 21, 2026 regarding the conditions for establishing and operating financial institutions, and to provide the Central Bank of Lebanon with the documents specified in said decision, particularly the business plan referred to in Article 10 thereof. Second: The Central Bank of Lebanon shall study the establishment application and take an appropriate decision regarding approval or non-approval thereof. In case of approval, the concerned institution is granted a six-month period to fully comply with the provisions of said Basic Decision. The Central Council may, in exceptional cases and upon a reasoned request from the concerned institution, grant this latter additional periods to comply with the provisions of said Basic Decision. Third: Upon expiration of the periods specified in each of "First" and "Second" above, any "microfinance institution" whose name is not listed on the register of financial institutions shall no longer have the right to conduct any lending operations, subject to the application of Article 200 of the Monetary and Exchange Law and Article 770 of the Penal Code, and the Central Bank shall resume pursuing any non-compliant institution or company before the competent judicial authority."
Article 2: This decision shall be effective upon its issuance.
Article 3: This decision shall be published in the Official Gazette. Beirut, May 21, 2026 Governor of the Central Bank of Lebanon Karim Saeed