Highest interest rate paying banks?

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    freemind

    Well-Known Member
    They are giving 15% if you close for 3 years Bank Audi that is. He even said 17%. Dont buy anything in Leb. The place is a dump not worth it.
    Hold on, truth is there is a political decision to improve things. Listen to what they have been saying in the past 2 weeks, it sounds like the pre-2008 boom all over again. Interest on deposits will come down, real estate prices will start increasing again.
     
    !Aoune32

    !Aoune32

    Well-Known Member
    Hold on, truth is there is a political decision to improve things. Listen to what they have been saying in the past 2 weeks, it sounds like the pre-2008 boom all over again. Interest on deposits will come down, real estate prices will start increasing again.
    I hope.
    I wouldn't be disappointed. People there really need to get their oxygen back. It is a long time coming.
     
    !Aoune32

    !Aoune32

    Well-Known Member
    I cannot fathom how a country has 15% interest on deposits. Mafe less than $1000 house repayments and still standing.
     
    Mrsrx

    Mrsrx

    Somehow a Member
    Staff member
    I cannot fathom how a country has 15% interest on deposits. Mafe less than $1000 house repayments and still standing.
    It is because the lebanese gov is paying the bank 21% as the article states.
    basically you give the bank 100$ ...they give you 15$ and give it to the gov who gives them 21$>>> net 6$ for the bank.
    The day the govt defaults your 100$ is gone and we have in the best case scenario 2 yrs for this as no more foreign currency!
    Cash is becoming safer than banks...or buy bluechip stocks even with the incoming bear market they will still hold up better
     
    !Aoune32

    !Aoune32

    Well-Known Member
    It is because the lebanese gov is paying the bank 21% as the article states.
    basically you give the bank 100$ ...they give you 15$ and give it to the gov who gives them 21$>>> net 6$ for the bank.
    The day the govt defaults your 100$ is gone and we have in the best case scenario 2 yrs for this as no more foreign currency!
    Cash is becoming safer than banks...or buy bluechip stocks even with the incoming bear market they will still hold up better
    Our gov always borrows from the bank. Nothing they can do.
     
    F

    freemind

    Well-Known Member
    It is because the lebanese gov is paying the bank 21% as the article states.
    basically you give the bank 100$ ...they give you 15$ and give it to the gov who gives them 21$>>> net 6$ for the bank.
    The day the govt defaults your 100$ is gone and we have in the best case scenario 2 yrs for this as no more foreign currency!
    2 years?
     
    Danny Z

    Danny Z

    Legendary Member
    Do you recommend any specific banks? How risky do you think this investment will be if i hold onto it for the next 5 years?
    when you see the interest reate is 16% it is damn well risky when GDPs in the whole world cannot go above 3% where are the banks getting money to finance your 16%, they are getting it from the government and where is the gov getting from, it is printing money and issuing bonds, looks like a Ponzi scheme to me that will eventually crash. One day investors will stop buying bonds as the government cannot pay them back, the LBP will depreciate like crazy inflation will settle and the gov will default on payments. There is growth or potential growth able to offset all these debts. Lebanon is not China.
     
    Last edited:
    !Aoune32

    !Aoune32

    Well-Known Member
    The issue is that the gov and politicians are not tackling the main cause of this deficit. we have several institutions that keep on receiving a pay check which don't even work or do anything for our country. all these institutions should be closed and its people sent home. we have 40K public teachers for god sake. how is that possible?
     
    Jo

    Jo

    Administrator
    Master Penguin
    In the meantime, people who froze their accounts in LBP or USD for 1 year or 2 have gained millions now.

    Interest on USD is also very high, reaching 10% in some cases.

    I do not think the LBP will crash, but this program will end soon and interests will default back to normal.
     
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