All monetary aggregates ended the week of December 5, 2019 on a negative note. In fact, the overall money supply, “M4”, narrowed by LBP 1,142.59 billion on a weekly basis and by 3.59% on an annual basis to LBP 215,218 billion, noting that the non-banking sector’s Treasury bills portfolio fell by LBP 67 billion during the concerned week.

Similarly, Lebanese-Pound denominated deposits and currency in circulation, “M1”, receded by LBP 277.87 billion week-on-week to LBP 14,690 billion on the back of some LBP 840 billion drop in demand deposits, which outweighed the LBP 562 billion expansion in money in circulation. Local currency term deposits, “M2”, plunged by LBP 1,170.58 billion on a weekly basis and by 16.84% year-on-year to settle at LBP 64,506 billion.

Consequently, private sector term and saving deposits denominated in LBP (“M2-M1”) sank by LBP 1,432.72 billion (2.80%) to LBP 49,816 billion during the week of December 5, while deposits denominated in foreign currencies (“M3-M2”) increased by LBP 635.26 billion (0.46%) to reach LBP 139,484 billion.