The central bank on Wednesday promised to continue selling US dollars in unlimited amounts at the Syrafa rate. (Credit: João Sousa/L'Orient Today)
BEIRUT — The central bank on Wednesday extended the deadline for Circular 161 until the end of February, subject to renewal, and promised to continue selling US dollars in unlimited amounts at the Sayrafa rate.
Here’s what we know:
• Circular 161 was originally released on Dec. 16, allowing banks to sell dollars to depositors at the Sayrafa rate, but keeping in place the monthly lira liquidity quotas granted to banks.
• On Jan. 11, the circular was amended and all quotas were removed, allowing banks to sell US dollars in unlimited quantities to their clients.
• The US dollar to lira rate dropped from a high of LL33,700 reached in mid-Jan to its current rate of LL22,300.
• After Jan. 11. the difference between the Sayrafa rate and the parallel market rate compressed to between 2 and 5 percent from 15 percent.