|

Establishment
Procedure
/ Release of the Blocked Amounts / Sources
of Funds / Restrictions
/ Uses of Funds /Credit
Restrictions / Intermediation
/ Investments / Reserves
8. Capital
assigned for the branch's investments
The minimum capital requirement for the foreign financial
institution¡¯s branch is two billion Lebanese Pounds.
The capital is fully paid in cash at the counters
of the Bank of Lebanon.
The foreign financial institution¡¯s branch is not
allowed to decrease the assigned capital or buy back any part of it.
The branch is required to always prove that its assets effectively
exceed its liabilities by an amount that is at least equal to its
capital.
If a loss is incurred in the branch, the management
of the foreign financial institution must reconstitute the capital
assigned for the branch to the minimum requirement within a maximum
time limit of two months and up to the declared amount at the time
of opening the branch if it exceeds the minimum capital requirement,
within a maximum time limit of six months.
|