All monetary aggregates ended the week of January 23, 2020 on a negative note. In fact, the overall money supply, “M4”, narrowed by LBP 1,269.05 billion on a weekly basis and by 5.44% on an annual basis to LBP 210,453 billion, noting that the non-banking sector’s Treasury bills portfolio fell by LBP 64 billion during the concerned week.

Similarly, Lebanese-Pound denominated deposits and currency in circulation, “M1”, receded by LBP 297.31 billion week-on-week to LBP 17,345 billion on the back of some LBP 406 billion contraction in demand deposits, which outweighed the LBP 109 billion rise in money in circulation. Local currency term deposits, “M2”, plunged by LBP 861.78 billion on a weekly basis and by 18.70% year-on-year to settle at LBP 61,394 billion.

Consequently, private sector term and saving deposits denominated in LBP (“M2-M1”) sank by LBP 564.47 billion (1.27%) to LBP 44,049 billion during the week of January 23, with deposits denominated in foreign currencies (“M3-M2”) receding by LBP 342.99 billion (0.25%) to reach LBP 137,812 billion.