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Project Finance 
 

The Bank’s efforts for widening the scope of its business included taking initiatives that create value for customers by concluding agreements with major international financing institutions, namely the ATFP, the EIB and the IFC. By providing customers with the financial support they require to drive their business, the Bank believes its is stimulating further economic and banking activity.

Arab Trade Financing Program (ATFP)

The Bank has an agreement with the Arab Trade Financing Program (ATFP), a specialised financial institution established by the Arab Monetary Fund to develop and promote trade among Arab countries. ATFP provides financing to Arab exporters and importers by extending lines of credit at concessionary rates to accredited banking institutions, such as the Bank, which are referred to as "National Agencies". The Bank then provides direct financing to borrowers at competitive rates. There are currently six National Agencies in Lebanon, including the Bank.

European Investment Bank (EIB)

The Bank has an agreement with the Central Bank, pursuant to which the Bank benefits from a credit facility extended by the European Investment Bank, at the date of this prospectus, the balance was around USD 9 million. This credit facility is utilised by the Bank for extending of loans to SMEs. In December 2008, the Bank signed a financing agreement with European Investment Bank (EIB) “Private Sector Facilities II” for the amount of Euro 25 million.

International Finance Corporation (IFC)

In June 2007, the Bank signed a “Risk Participation Agreement” with the International Finance Corporation (IFC), pursuant to which the IFC agreed to provide its risk participation up to an aggregate amount of USD 25 million which should be matched by the Bank for loans provided by the Bank to certain economic sectors that the IFC intends to encourage and provided certain eligibility criteria are met.

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