GCF GEFF Regional - Jordan - Tamweelcom

Project Description

Provision of a senior unsecured loan to Tamweelcom of up to USD 4 million, of which up to USD 3 million to be provided by EBRD and up to USD 1 million by the Green Climate Fund ("GCF") under the GCF-Green Economy Financing Facility ("GEFF") Regional Framework.

Project Objectives

Proceeds of the loan will be allocated to climate change mitigation and adaptation technologies by local micro, small and medium enterprises, including women-led, in line with the standards and reporting requirements for GEFF in Jordan.

Transition Impact

ETI score: 70The project will support the Green TI quality by contributing to the objective of the GCF GEFF Jordan Programme by facilitating the direction of funding towards climate mitigation and adaptation technologies and services that will drive the transition to environmentally sustainable, low-carbon and climate-resilient economies.

Client Information

TAMWEELCOMJordan Microfinance Company ("Tamweelcom"), established in 1999, is the second largest microfinance institution in the Jordanian market, serving ca. 100,000 clients through its 39 branches in Jordan (of which 26 outside Amman). Since the start of its operations, Tamweelcom disbursed ca. JOD 725m to more than 400k sub-borrowers. Tamweelcom provides financial and non-financial services to its clients. It provides the required finance for productive and low-income individuals who are excluded from the banking system through various financial products, solutions and services, in line with international standards.

EBRD Finance Summary

USD 3,000,000.00Up to USD 4 million, out of which up to USD 3 million to be provided by EBRD and up to USD 1 million to be co-financed by Green Climate Fund ("GCF").

Total Project Cost

USD 4,000,000.00Up to USD 4 million, out of which up to USD 3 million to be provided by EBRD and up to USD 1 million to be co-financed by Green Climate Fund ("GCF").

Additionality

The project offers a combination of longer-term financing and bespoke technical cooperation into a package that promotes targeted investment in sustainable energy in Jordan in a gender-responsive way.

Environmental and Social Summary

Categorised FI (ESP 2019): The review of the completed Environmental and Social Due Diligence Questionnaire by Tamweelcom demonstrates the Client's compliance with PRs 2 and 4 in how labour and health and safety are internally managed, as well as having appropriate E&S risk identification and management procedures of their portfolio in line with the requirements of EBRD's PR9.All projects under the Green Economy Financing Facility (GEFF) will be required to comply with the national environment, health and safety and labour regulations and standards as well as the Environmental and Social eligibility criteria for Renewable Energy and Energy Efficiency sub-projects. The Client will be required to submit annual reports to the Bank to monitor their E&S performance.

Technical Cooperation and Grant Financing

Tamweelcom is expected to benefit from the support of grant resources from the European Union, Green Climate Fund and EBRD SSF. Donor funds will support a comprehensive technical assistance programme at the overall programme level to provide implementation support to Tamweelcom and its customers, and verification of the outcome of completed projects. A non-TC grant from the EU is also expected to provide investment incentives to end borrowers.

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.