Exceptional Measures for the Repayment of Foreign Currency Deposits Constituted before June 30, 2023

Circular No. 728 for Banks

We wish to attach a copy of Central Decision No. 13701 dated February 20, 2025, concerning the amendment of Basic Decision No. 13611 dated February 2, 2024 (Exceptional Measures for the Repayment of Foreign Currency Deposits Constituted before June 30, 2023), attached to Basic Circular No. 166.

Beirut, February 20, 2025

Governor of Banque du Liban (Acting) Dr. Wissam Mansouri

Central Decision No. 13701 Amendment of Basic Decision No. 13611 dated February 2, 2024

The Governor of Banque du Liban, Pursuant to the Monetary and Exchange Law, particularly Articles 70 and 174 thereof, Pursuant to Basic Decision No. 13611 dated February 2, 2024, and its amendments concerning exceptional measures for the repayment of foreign currency deposits constituted before June 30, 2023, Pursuant to the decision of the Central Council of Banque du Liban adopted in its meeting held on February 19, 2025, Decrees as follows:

Article One: The text of the paragraphs "Secondly" and "Thirdly" in Article Four of Basic Decision No. 13611 dated February 2, 2024, is repealed and replaced with the following text:

« Secondly: An amount equivalent to 6,700 USD or less, according to the funds available in the "Account Holder's" accounts at the concerned bank in US Dollars or any other foreign currency, is transferred to the "Derived Special Account" subject to this decision, in accordance with the customer's preference so that they have the full freedom to determine the exact amount they can utilize for depositing into the "Derived Special Account" exceeding the amount corresponding to one annual cycle (cycle year one). Thirdly: In case an "Account Holder" has multiple accounts at a specific bank, the Account Holder must specify the account or accounts from which funds will be transferred to the "Derived Special Account". In case an account is a joint or shared account, utilization thereof shall not exceed a maximum amount of 3,000 USD annually. Joint account holders agree among themselves on the utilization ratio for each of them from the provisions of this decision, and in case one party to a joint account decides not to utilize it, any of the remaining parties may benefit from the permitted maximum limit. In case a joint account holder has an individual special account and decides to utilize the individual account, their partner may benefit from the joint account.»

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Article Two: The text of paragraph (1) in the first section of Article Five of Basic Decision No. 13611 dated February 2, 2024, is repealed and replaced with the following text: « First: Withdrawals from the "Derived Special Accounts" subject to this decision are made as follows:

• 1. An amount of 250 USD is paid in cash (Banknotes), monthly, to the "Account Holder" and/or via transfer abroad or deposit into a new account (Account Fresh), without any direct or indirect commission of any kind being charged on this operation, and the total amount that can be withdrawn annually from all banks under this article shall not exceed 3,000 USD. The annual withdrawal cap from all banks during the current cycle ending on June 30, 2025, is adjusted to become 2,950 USD. »

Article Three: The text of paragraph (b) in paragraphs (3) in the first section of Article Five of Basic Decision No. 13611 dated February 2, 2024, is repealed. Article Four: The text of Article Seven of Basic Decision No. 13611 dated February 2, 2024, is repealed and replaced with the following text: « Liquidity to meet the requirements of this decision is secured as follows:

• 1. Regarding the portion of the monthly payment not exceeding 150 USD, it is funded equally by the liquidity of the concerned bank and by the balance of mandatory foreign currency investments held by banks at Banque du Liban, which is certified by the latter for this purpose.
• 2. Regarding the portion of the monthly payment exceeding 150 USD in full, it is funded entirely by the balance of mandatory foreign currency investments held by banks at Banque du Liban, which is certified by the latter for this purpose. The "Central Service for Derived Special Accounts" shall issue/certify the portion of payments referred to in this article, funded equally, separately from the portion fully funded by mandatory investments.»

Article Five: This decision shall take effect as of March 1, 2025. Article Six: This decision shall be published in the Official Gazette.

Beirut, February 20, 2025 Governor of Banque du Liban (Acting) Dr. Wissam Mansouri