The European Bank for Reconstruction and Development (EBRD) has approved an US$8 million loan to Cairo Amman Bank Palestine (CABP) to help Palestinian small businesses and households invest in clean energy and resource efficiency, according to a press release. The financing is provided under the EBRD’s Green Economy Financing Facility (GEFF) and is backed by technical assistance and investment grants from the EU-EBRD Sustainable Growth4All Programme.
The funds will be on-lent to micro, small and medium-sized enterprises (MSMEs) and individual borrowers for projects in small-scale renewable energy, water and energy efficiency, circular economy and related green technology supply chains. Eligible borrowers can receive investment grants of up to 25% of each project’s cost, alongside technical support to help them implement their investments effectively.
EBRD Director for the Eastern Mediterranean Region, Gretchen Biery, said the facility will help build “a greener and more resilient Palestinian economy” and acknowledged the EU’s critical role in providing the technical assistance and grant support that make the programme possible. CABP’s Deputy General Manager, Joseph Nesnas, said the partnership reflects the bank’s ongoing commitment to sustainable finance and long-term economic development in the Palestinian market.
The deal marks a continuation of a working relationship that has grown steadily since the EBRD began operations in the West Bank and Gaza in 2017. To date, the Bank has approved 37 projects in the territory worth a combined €192.2 million, spanning the private sector and financial institutions.
By channelling green finance through a well-established local bank, the EBRD and its partners aim to lower barriers for smaller businesses and households looking to cut energy costs and adopt cleaner technologies, supporting economic resilience in a challenging operating environment.
