As commercial banks in Lebanon reported an astonishing 9- month growth of 44 percent in 2008 and customer deposits increased by $7.5 billion in the first 10 months, it looked like the banking sector was not affected by the global financial crisis. But as time passes, inescapable challenges are beginning to emerge. “The Lebanese economy could be affected by what happens to the economies of the region,” said Lebanese Finance Minister Mohamad Shatah. The Lebanese economy will undoubtedly be affected by the ongoing global financial crisis, however, the question remains as to how these effects will take shape and to what extent they will impact the banking sector and economy at large. While some are saying Lebanon has benefited from the global turmoil, others are more cautious and waiting for the inevitable effects of the crisis to hit home. CEO of Standard Chartered Bank, Foong Pik Yee, asserts that, “It
