According to ABL statistics, the value of cleared checks fell by 31.72% on an annual basis to reach LBP 46,482 billion (distributed over 2,745,805 checks) in the first ten months of 2021, in comparison with LBP 68,075 billion (allocated over 4,955,345 checks) during that same period last year. Of the total value of cleared checks, 51.11% was denominated in foreign currency, versus 63.88% a year before. Concurrently, the value of returned checks fell by LBP 568 billion (44.76%) y-o-y to LBP 701 billion YTD October 2021, with the number of returned checks plunging by 77.83% to 22,388. Said anemic check clearing figures come in the light of the crippled economic activity and market’s preference for cash transactions amid the strict restrictions imposed by banks on cash withdrawals.

As a result, the number of returned checks expressed as a percentage of the total number of cleared checks dropped to 0.82% in the first ten months of 2021, down from 2.04% a year earlier. Concurrently, the value of returned checks calculated, as a percentage of the total cleared checks value fell to 1.51% by October this year, down from 1.86% during the first ten months of 2020.