All monetary aggregates ended the week of March 19, 2020 on a negative note. In fact, the overall money supply, “M4”, narrowed by LBP 866.71 billion on a weekly basis and by 7.28% on an annual basis to LBP 206,301 billion, noting that the non-banking sector’s Treasury bills portfolio rose by LBP 12 billion during the concerned week.

Similarly, Lebanese-Pound denominated deposits and currency in circulation, “M1”, receded by LBP 48.77 billion week-on-week to LBP 19,899 billion on the back of some LBP 260 billion contraction in demand deposits, which outweighed the LBP 211 billion rise in money in circulation. Local currency term deposits, “M2”, plunged by LBP 344.26 billion on a weekly basis and by 22.98% year-on-year to settle at LBP 58,446 billion.

Consequently, private sector term and saving deposits denominated in LBP (“M2-M1”) sank by LBP 295.49 billion (0.76%) to LBP 38,547 billion during the week of March 19, with deposits denominated in foreign currencies (“M3-M2”) receding by LBP 534.98 billion (0.39%) to reach LBP 136,334 billion.