The LEBANON WEEKLY MONITOR - MOFCOMimages.mofcom.gov.cn/lb/201312/20131227154955896.pdf · 2012 and 2013, therefore limiting deterioration of the current account deficit and budget
12
1 Week 51 December 16 - December 22, 2013 DECEMBER 16 - DECEMBER 22, 2013 WEEK 51 Bank Audi sal - Audi Saradar Group - Group Research Department - Bank Audi Plaza - Bab Idriss - PO Box 11-2560 - Lebanon - Tel: 961 1 994 000 - email: [email protected]CONTACTS RESEARCH Treasury & Capital Markets Micky Chebli (961-1) 977419 [email protected]Nadine Akkawi (961-1) 977401 [email protected]Bechara Serhal (961-1) 977421 [email protected]Private Banking Toufic Aouad (961-1) 329328 toufi[email protected]Corporate Banking Khalil Debs (961-1) 977229 [email protected]Marwan Barakat (961-1) 977409 [email protected]Jamil Naayem (961-1) 977406 [email protected]Salma Saad Baba (961-1) 977346 [email protected]Fadi Kanso (961-1) 977470 [email protected]Sarah Borgi (961-1) 964763 [email protected]Gerard Arabian (961-1) 964047 [email protected]Nivine Turyaki (961-1) 959615 [email protected]LEBANON MARKETS: WEEK OF DECEMBER 16 - DECEMBER 22, 2013 The LEBANON WEEKLY MONITOR Economy ___________________________________________________________________________ p.2 INFLATION STAYS CONTAINED AT A LOW ONE-DIGIT RATE This week saw the release of inflation figures issued by the Consultation and Research Institute (CRI) for the month of November 2013 that suggest that inflation stays contained at a low one-digit rate. Also in this issue p.3 Fitch revises Lebanon’s outlook to negative p.4 Cleared checks up by 1.6% during the first eleven months of 2013 Surveys ___________________________________________________________________________ p.5 BEIRUT’S HOSPITALITY SECTOR STILL SUBJECTED TO POLITICO-SECURITY CONSTRAINTS According to Ernst & Young’s Middle East Hotel Benchmark Survey, the local hospitality sector is still at the image of adverse local developments, while occupancy rates within the capital posted the same declines as those registered, on average, in other Middle Eastern cities. Also in this issue p.6 Insurance on the rise for all sectors p.6 Growing challenges raised by competitiveness report Corporate News ___________________________________________________________________________ p.7 BBAC’S NET PROFITS UP BY A YEARLY 2.5% TO US$ 34.9 MILLION IN THE FIRST NINE MONTHS OF 2013 BBAC’s net profits recorded an annual improvement of 2.5% to reach US$ 34.9 million in the first nine months of 2013, against US$ 34.1 million in the same period of 2012. Also in this issue p.8 Arwan pharmaceutical plant opens in Chouf p.8 LEB’IN Health R&D Center to open next year Markets In Brief ___________________________________________________________________________ p.9 CONTRACTION IN LEBANESE BOND SPREADS FOLLOWING US FEDERAL RESERVE’S DECISION Lebanese capital markets saw this week contractions in spreads on the Eurobond market, stability in prices on the equity market, and sustained balanced activity on the foreign exchange market. In details, the bond market registered contraction in the average spread of 14 bps to 300 bps due to a decline in Lebanese yields and a rise in international benchmark yields after the US Federal Reserve said it will lower its monthly asset purchases to US$ 75 billion from US$ 85 billion. It is worth mentioning that a revision for Lebanon’s outlook by Fitch from “Stable” to “Negative” left no relevant impact on the market, with the average yield declining to 5.07%. On the stock market, the total trading value amounted to US$ 10.3 million versus an average weekly trading value of US$ 6.5 million since the beginning of the year, while the price index remained stable. At the level of the FX market, the US Dollar was relatively more on offer, which translated into a decrease in the LP/US$ interbank rate from LP 1,507-LP 1,509 at the end of last week to LP 1,501-LP 1,503 at the end of this week, while the BDL remained on the sidelines.
