Algeria
Egypt
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Libya
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Palestine *
Syria *
TunisiaEBRD and Bank of Palestine support small businesses in the West Bank
The European Bank for Reconstruction and Development (EBRD) is supporting Palestinian micro, small and medium-sized enterprises (MSMEs) by providing a financing package of US$ 30 million to Bank of Palestine, the largest bank in the West Bank and Gaza and an EBRD client since 2020.
MSMEs are at the core of the Palestinian economy, representing more than 98 per cent of the local economy and contributing to over 60 per cent of gross domestic product, but have been facing multiple economic challenges after the escalation which started in October 2023. Recent estimates indicate that the local economy contracted by at least 6.4 per cent at the end of 2023 due to employment losses and rising security tensions which affected mobility and business activity.
Proceeds of the facility will be used for on-lending to eligible private MSMEs based in the West Bank to address their liquidity needs, enable them to maintain their operations and contribute to building the resilience of the local private sector.
The facility builds on the EBRD’s successful experience of extending a small and medium-sized enterprise (SME) loan of US$ 13 million and a Women in Business loan of US$ 2 million to Bank of Palestine in December 2020.
Countries covered:
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Palestine *
