According to Central Bank statistics, the financial sector’s utilized credits expanded by 347.21% in 2023 to nearly LBP 176.41 trillion up from LBP 39.45 trillion at end of year 2022 as the official devaluation of the local currency in February 2023 increased the LBP counter value of USD-denominated credits by a factor of nine. Of total utilized credits, some LBP 74.8 billion represent the value of utilized credits benefiting from banks liabilities subject to reserve requirements. The breakdown of utilized credits by type of facility reveals a sizeable concentration in Overdrafts (LBP 71.28 trillion <40.40%>), followed by Advances Against Real Estate (LBP 61.70 trillion <34.97%>) and Advances Against Personal Guarantees (LBP 26.13 trillion <14.81%>) only to name a few. The total number of utilized credit transactions stood at 163,717 as at end of 2023, implying an average credit balance of around LBP 1.078 billion per credit line.

From a sectoral breakdown perspective, loans to the Trade & Services sector enjoyed the lion’s share (LBP 63.49 trillion <35.99%>) of total utilized credits, followed by loans to the Construction sector (LBP 43.13 billion <24.45%>) and Individuals (LBP 28.16 trillion <15.96%>). As for the distribution of utilized credits by number of borrowers, the number of Individual borrowers topped the list of borrowers (72.88% of total borrowers), followed by beneficiaries from the Trade & Services sector (16.67%) and borrowers in the Industrial sector (5.09%).

Geographically, the Beirut & Suburbs region amassed the highest concentration of utilized credits, detaining a share of 84.97% by end of year 2023, followed by the Mount Lebanon (7.45%), South (2.87%), North (2.74%), and Bekaa (1.97%) regions.