Lebanon’s Central Bank denies request to close Al-Qard Al-Hassan

Shafaq News – Beirut

On Thursday, the Central Bank of Lebanon denied reports claiming it had requested the closure of Al-Qard al-Hassan, a financial institution affiliated with Hezbollah. 

The organization is considered one of Hezbollah’s most significant financial arms, operating outside Lebanon’s official monetary and credit regulatory framework.

In a statement, the Bank asserted that it lacks the legal or administrative authority to take such action, clarifying that such institutions are not subject to its supervision or regulatory oversight.

The statement accused some outlets of falsely portraying the situation as a judicial precedent or a direct security move initiated by the Bank. “This narrative is entirely disconnected from reality,” the statement affirmed.

The official denial came amid reports that Lebanese authorities are preparing to close all branches of Al-Qard al-Hassan, according to sources cited by Al-Hadath news channel.

The step, the sources stated, is part of a broader effort to shut down currency exchange offices and financial entities allegedly tied to the group. They added that the decision follows requests made by US envoy Tom Barrack during recent discussions with Lebanese officials.

A step in the right direction by the Lebanese government in harnessing the flow of Hizballah militia finances that had been directed thru Al-Qard Al-Hassan. Transparency and alignment of all financial intermediaries in Lebanon under the supervision of the Central Bank is a valued…

— Ambassador Tom Barrack (@USAMBTurkiye) July 15, 2025

Earlier this week, the Central Bank issued a directive banning all licensed banks, financial institutions, investment funds, and brokerage firms from engaging in any dealings — financial, commercial, or otherwise — with unlicensed organizations such as Al-Qard al-Hassan.

While the United States has accused the group of using the organization as a financial front to access the global financial system — placing it under sanctions since 2007 — Hezbollah insists the entity is a charitable association, originally established in the 1980s.

During the most recent war in Lebanon, which ended with a ceasefire agreement on November 27, 2024, Israeli airstrikes targeted multiple Al-Qard al-Hassan facilities across the country.