According to ABL statistics, the value of cleared checks contracted by 14.73% on an annual basis to LBP 12,855 billion (distributed over 565,271 checks) in the first quarter of 2022, in comparison with LBP 15,076 billion (allocated over 911,875 checks) during that same period last year. Of the total value of cleared checks, 35.12% was denominated in foreign currency, versus 58.50% a year before. On the other hand, the value of returned checks fell by LBP 92 billion (44.23%) y-o-y to LBP 116 billion YTD March 2022, with the number of returned checks plunging by 51.23% to 4,156. 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 0.74% by end of March 2022, down from 0.93% a year earlier. Concurrently, the value of returned checks calculated, as a percentage of the total cleared checks value fell to 0.90%, down from 1.38% during the first quarter of 2021.