EIB lends 100 million euros to Jordanian banks to finance SMEs

European Investment Bank EIB
(File photo: Jordan News)
AMMAN — The European Investment Bank (EIB) has agreed to grant a long-term financing loan of 100 million euros out of 300 million euros, to help Jordanian banks to relend these amounts to local small and medium-sized businesses (SMEs), in response to the repercussions of the COVID-19 pandemic, Al-Mamlaka TV reported Wednesday.اضافة اعلان

The EIB confirmed in a statement posted on its website that long-term financing for SMEs and mid-caps to improve access to finance and financial inclusion, which have been identified as key factors for reinforcing Jordan’s economic resilience. It said the facility will contribute to economic resilience, employment-generating activities, and alleviating the economic burden of the COVID-19 crisis in the country. The loan is expected to benefit from a portion of the investment grant made available by the EU in order to enhance the cost of the local currency tranche to an acceptable level for the borrower and, ultimately, the final beneficiaries.

The EIB said that it will require the intermediary institution to take all the requisite measures to ensure that the procedures, including procurement procedures, are carried out by the final beneficiaries for the sub-projects receiving the financing.

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