- EBRD to lend US$ 75 million (€67.9 million) to Jordan’s Housing Bank
- Financing to support MSMEs in underserved cities outside of the capital Amman
- Third EBRD engagement with Housing Bank, further strengthening a trusted partnership and advancing shared goals
The European Bank for Reconstruction and Development (EBRD) is providing up to US$ 75 million (€67.9 million) to Jordan’s Housing Bank for on-lending to micro, small and medium-sized enterprises (MSMEs).
The credit line will help increase financing to an underserved segment of Jordan’s economy. It will also support Housing Bank in expanding its MSME loan portfolio and reaching new clients outside the capital Amman, helping boost economic resilience and job creation.
MSMEs form the backbone of Jordan’s private sector, but they were hit by a fall in the country’s GDP growth from 2.6 per cent to 2.4 per cent in 2024 that further constrained their access to finance.
This agreement marks the EBRD’s third partnership with HBTF, following a US$ 15 million (€13.8 million) loan in 2023 co-financed with the Green Climate Fund under its Green Economy Financing Facility, and a US$ 50 million trade finance facility in 2021 to foster export and import activities.
Matteo Patrone, the EBRD’s Vice President for Banking, said: “We are very pleased to have signed this facility, which further deepens our partnership with Housing Bank, a leading financial institution in Jordan. This third engagement reflects our shared commitment to supporting MSMEs and driving economic growth. Together, we are creating more opportunities for businesses to thrive and contributing to a stronger and more resilient economy.”
Housing Bank CEO Ammar al-Safadi said: “This agreement is vital for Housing Bank, as it demonstrates a successful partnership between local and international financial institutions to foster a supportive business environment and stimulate investment. Additionally, the agreement will allow Housing Bank to expand its lending portfolio to MSMEs, enhancing its client base, improving the quality of its financing portfolio and increasing liquidity – all of which will reinforce its position as a leading financial institution in supporting development.”
The Housing Bank was established in 1973. It is a universal bank serving the retail, corporate, governmental and public sectors, as well as small and medium-sized enterprises through its large network of branches in Jordan and its foreign branches and subsidiaries.
Since 2012, the EBRD has invested more than €2.3 billion in Jordan through 75 projects, of which 70 per cent have been in the private sector, including financial support to the banking sector through MSME loans, subordinated debt and trade finance facilities.