Any analysis of Lebanese banking performance in terms of activity has to be read in conjunction with the operating environment in the region and the recent expansion of Lebanese banks in regional markets. Real GDP growth, as estimated by the IMF, stood at 2.4 percent for the MENA region in 2014, while Lebanon registered 2.0 percent with an outlook of 2.5 percent for 2015. At the banking level, preliminary domestic figures for the MENA region have reported an acceptable 8 percent annual growth in major aggregates in 2014. Lebanon compares well, particularly with regard to the performance of oil producing countries — albeit with growth below the Arab MENA average. Lebanon’s banking sector ranks sixth by assets, fifth by deposits — an achievement considering its low public sector deposits compared to other countries — and seventh by loans among 15 surveyed countries of the Arab MENA region. In Lebanon, amidst continuing regional tensions and lingering
