The European Investment Bank and Bank Audi sign a line of credit to support the Lebanese private sector

The overall objective of this line of credit is to promote economic growth and sustainable employment in all productive sectors of the Lebanese economy by co-financing projects that the EIB could not directly reach through individual loans.

It is mainly intended to finance small and medium scale projects targeting one of the following activities undertaken by private entities in Lebanon: industry (including agro-industry and services), tourism, healthcare, education, IT and knowledge-based economy.

This new line of credit comes within the pledge made by the EIB at the Paris III Conference on Support for Lebanon, to finance key projects as part of the country's recovery, reconstruction and reform plan.

Loans are granted by Bank Audi over a period of 10 years, taking into consideration that the total amount of loans provided for an eligible project should not exceed 50% of its cost, whereas the totality of the EIB's resources and possible other European Union funds should never cover more than 80% of the project's costs.

The EIB is a long-standing partner of Lebanon, where it has been active since 1978.

It has invested over €800m in total, in particular to support the country's reconstruction efforts in the transport, water and sanitation infrastructure, as well as in the private sector.

On this occasion, Philippe de Fontaine Vive, Vice-President of the EIB in charge of FEMIP, stated: "Both EIB and Bank Audi recognize the need, especially for small entrepreneurs and families, to have access to long term credit, so that Lebanon can resume its progress toward economic growth and stability."

Raymond Audi, Chairman and General Manager of Bank Audi, said: "We would like to thank the EIB for its support and commitment to Lebanon in general and to Bank Audi in particular. Such confidence makes us even more determined to maintain our leading role in servicing the Lebanese economy. This facility will help provide the financial capital that creates opportunities for businesses, entrepreneurs, and SMEs, and for the Lebanese economy as a whole".