Lebanese Banks to Shut until March 29 to Halt Coronavirus

Volunteers with Lebanon's Disaster Management Unit disinfect a currency exchange in the southern city of Sidon on March 12, 2020 to prevent the spread of coronavirus. (AFP)

Bank branches in Lebanon will close from March 17-29 for the safety of employees during the coronavirus outbreak, the banking association said on Monday.

It said work would continue to provide salaries in Lebanese pounds and necessary transactions for companies especially those related to food and medical supplies.

The government declared a medical state of emergency on Sunday, announcing a shutdown that included most public institutions and private companies.

Lebanon is already grappling with its worst financial and economic crisis since the 1975-90 civil war. Prices have skyrocketed, the Lebanese pound has plunged in value and unemployment is rampant.

Faced with a liquidity crunch, Lebanese banks have since September imposed stringent controls on dollar withdrawals and halted transfers abroad.

Account holders have been forced to deal in the nose-diving Lebanese pound, which has lost more than a third of its value on the black market.

Beirut’s usually congested streets were largely free of cars and pedestrians stayed away from its seafront Corniche as government measures to curb the spread of coronavirus took effect with varying degrees of success on Monday.

Police ordered closed several shops that were open in Beirut in violation of the shutdown order, and a group of swimmers were cleared from the beach in the southern city of Sidon, Reuters journalists said.

The government declared a medical state of emergency on Sunday, announcing a shutdown that included most public institutions and private companies as it looks to rein in the virus that has infected 109 people.

It also ordered the closure of borders, ports and airport from March 18-29 and said Lebanese are obliged to remain at home except for matters of “extreme necessity”.

Beirut traffic was unusually light on typically heavily congested roads.

A security official said compliance with the government decision was still lacking, noting that some people had no choice but to go to work.

“The traffic is definitely less but there are still cars in the streets,” he said “There are awareness campaigns but they are not reaching all parts of society”.

Addressing a news conference after an emergency cabinet session, Prime Minister Hassan Diab said the steps would “no doubt” impact the economy but “people’s lives and health are more precious”.