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Analysis: Lebanon's woes push it to fringes of global finance system


Middle EastAnalysis: Lebanon s woes push it to fringes of global finance system
Tom ArnoldLaila BassamEllen Francis
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A view of Lebanon s Central Bank building in Beirut, Lebanon April 23, 2020. REUTERS/Mohamed Azakir
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Foreign lenders including HSBC (HSBA.L) and Wells Fargo (WFC.N) are cutting ties with Lebanon s central bank, sources familiar with the matter told Reuters, underlining the country s international isolation as it reels from economic crisis.
In a letter to Lebanon s public prosecutor last week, Governor Riad Salameh warned that foreign correspondent banks were starting to curtail their business relationships with the local financial system, while Wells Fargo had closed a central bank account in dollars, and HSBC had shut its British sterling account, according to three sources from the banking sector and the judiciary. ....

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Foreign lenders cutting ties with Lebanon's central bank: Sources | Banks News


Foreign lenders including HSBC and Wells Fargo are cutting ties with Lebanon’s central bank, sources familiar with the matter told Reuters news agency, underlining the country’s international isolation as it reels from economic crisis.
In a letter to Lebanon’s public prosecutor last week, central bank Governor Riad Salameh warned that foreign correspondent banks were starting to curtail their business relationships with the local financial system, while Wells Fargo had closed a central bank account in dollars, and HSBC had shut its British sterling account, according to three sources from the banking sector and the judiciary.
Salameh described “negative shocks” in the relationship between the central bank – the Banque du Liban – and foreign correspondent banks, which he said would make it tough for Lebanon to transfer foreign payments and purchase basic goods from abroad, a judicial source said. ....

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