On May 27, 2020, the Central Bank issued circular n˚556 pertaining to banking facilities in foreign currency for industrial companies.

Here are the main provisions of the circular:

• Commercial banks may request up to 100 Million USD from the Central Bank to secure 90% of the value of imported raw materials in foreign currencies needed by licensed manufacturers provided that each client only benefits from a maximum amount of 300 000 USD in any import operation.
• The conditions and modalities of this circular shall be determined by the Ministry of Industry.
• Commercial banks shall submit their applications to the funding unit within the BDL after the approval of the Ministry of Industry
• Businesses that have benefitted from the provisions of this circular and have exported manufactured goods shall transfer to Lebanon a percentage of foreign currency equivalent to at least the value of the raw materials used in the manufacture of the exported products.
• Commercial banks shall ensure the correct application of the provisions of the Circular at their own responsibility failing which sanctions shall be applied by BDL. In particular, banks may be compelled to deposit equivalent placements to the amount that were obtained from BDL.
• The circular shall be in force for a year from the date of its publication.