According to Banque Du Liban statistics, opened letters of credit (L/Cs), a measurement tool for trade activity, increased by 153.00% during the month of June 2024 to reach LBP 614.80 billion, up from LBP 243.00 billion a month earlier. Similarly on an annual basis, the face value of opened L/Cs reached LBP 7,605.20 billion during the first half of 2024 compared to LBP 1,442.10 billion in the same period of 2023 owing to the change of the official exchange rate to LBP 89,500 per USD starting the month of January 2024.

Documentary L/Cs opened to finance imports activities reached LBP 6,465.70 billion YTD June 2024, compared to LBP 1,190.50 billion in the equivalent period in 2023 at a time when the exchange rate was LBP 15,000 per USD. Similarly, utilized credits for imports came in higher at LBP 5,713.90 billion while inward bills for collection, another documentary credit form of financing (backed by invoices), soared to LBP 10,525.80 billion YTD June 2024, from LBP 1,233.40 billion in the same period in 2023.

In a related note, documentary L/Cs opened to finance exports activities rose to LBP 1,139.50 billion YTD June 20024, from LBP 251.60 billion in the same period a year earlier. Concurrently, utilized credits to finance exports soared to LBP 1,209.30 billion (106.13% of opened L/Cs for exports). In the same vein, the value of outward bills rose to LBP 3,264.80 million YTD June 2024, with outstanding bills for collection increasing to LBP 11,336.30 billion, from LBP 1,995.10 billion in the first half of 2023.