Lebanon’s central bank has finally taken decisive action to sever ties with Hezbollah’s bank, Al-Qard Al-Hassan, by banning all financial institutions from doing business with the terror-linked entity. The directive, issued Monday, prohibits “all licensed financial institutions in Lebanon from dealing directly or indirectly with unlicensed entities,” specifically naming Al-Qard Al-Hassan, according to Reuters.
Al-Qard Al-Hassan masquerades as a charitable organization but has long operated as Hezbollah’s financial backbone. The U.S. Treasury sanctioned the group as far back as 2007, citing its role in providing Hezbollah access to the global financial system and managing illicit funds. More sanctions hit earlier this month, targeting senior officials who helped run shadow accounts to evade restrictions.
“Failure to comply… exposes perpetrators to legal prosecution and measures that may reach the extent of suspension or withdrawal of the license and freezing of accounts and assets,” the central bank’s statement read.
This move follows an Israeli military strike last October that destroyed buildings tied to the so-called charity after Hezbollah fired missiles into Israel in support of Hamas.
For years, critics have demanded stronger financial enforcement in Lebanon to choke off Hezbollah’s funding. The ban signals growing pressure—international and internal—to treat Hezbollah not as a political party, but as the Iran-backed terror network it is.