Jordani green fund sets up financing programme with local banks - report

The Jordan Renewable Energy and Energy Efficiency Fund (JREEEF) on Saturday teamed up with a number of local financial institutions to finance green power schemes across the country, the Jordan News Agency (Petra) said.

The Islamic International Arab Bank, Ittihad Bank, Ahli Bank, Jordan Islamic Bank, Cairo Amman Bank, Capital Bank and the Jordan Loan Guarantee Corporation (JLGC) are all part of the alliance, according to the report. The agreements are also backed by the Central Bank of Jordan (CBJ), which allows the banks to use money allocated to the energy sector against low interest rates when providing funding to programmes implemented by the fund.

This deal will help accelerate the implementation of JREEEF-backed projects mostly in the industrial and tourism sectors. JREEEF executive director Rasmi Hamzeh said the programme will give as much as JOD 500 (USD 704.7/EUR 639.1) to individual households wishing to install solar heaters; up to JOD 3,000 will be allocated for the deployment of a single electricity-generation systems using solar energy in houses; each small- or medium-sized enterprise (SME) will receive no more than JOD 250,000 for the construction of its own electricity-generation systems.

The funding will be provided without any interest or commission and should be fully repaid within a maximum of six years for companies or 18 months for solar heater loans. JLGC will guarantee 70% of the value of all loans the banks hand out under the programme.

(JOD 1.0 = USD 1.409/EUR 1.278)

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