DamanSME Company signs Small Loan Guarantee Agreements with 3 Financing Companies

Date: November 5, 2020

[Translated From Al-Quds Newspaper 5/11/2020]
The CEO of DamanSME Company signed loan guarantee agreements for each of ACAD for Finance and Development, REEF Finance and ASALA Finance. It aims to guarantee micro-assumptions with high political and economic risks, especially loans to rural women and agricultural projects, including Area C, the Gaza Strip and the Jerusalem area. Engineer Judeh Al-Jamal stated that the agreements aim to guarantee 60% of the loans granted in order to encourage institutions to expand lending to marginalized groups and in high-risk areas, and he explained that these agreements are a priority and the company seeks to increase its resources to provide guarantees to all institutions operating in the sector Microfinance. It is worth noting that Daman for Small Projects was formally established in 2015 and recently signed a financing agreement with the Ministry of Foreign Affairs of Luxembourg and French non-governmental institutions. In addition to loan guarantees, Mr. Judeh added that the company will provide technical services, capacity building and training for companies and groups benefiting from the program. The Palestinian Monetary Authority had insisted on instructions to recognize the covered loans from a guarantee company for the purposes of calculating provisions, in addition to the European Palestinian Corporation for Loan Guarantees and the Middle East Loan Guarantee Initiative.