All monetary aggregates ended the week of October 28, 2021 on a negative note. The overall money supply, “M4”, fell by LBP 564.07 billion on a weekly basis yet rose by 1.42% on an annual basis to LBP 212,183 billion, notwithstanding the LBP 146 billion increase in the non-banking sector’s Treasury bills portfolio during the concerned week.

In parallel, Lebanese-Pound denominated deposits and currency in circulation, “M1”, narrowed by LBP 422.27 million week-on-week to LBP 53,564 billion on the back of some LBP 564 billion contraction in currency in circulation, which outweighed the LBP 142 billion expansion in demand deposits. Local currency term deposits, “M2”, also dropped by LBP 522.12 billion on a weekly basis yet increased by 19.39% year-on-year to settle at LBP 75,510 billion.

Consequently, private sector term and saving deposits denominated in LBP (“M2-M1”) receded by LBP 99.85 billion (0.45%) to LBP 21,945 billion during the week of October 28, with deposits denominated in foreign currencies (“M3-M2”) sinking by LBP 187.68 billion (0.15%) to LBP 123,514 billion.