The European Union (EU) has signed grant contracts worth EUR15m with Banque du Liban (BdL) and Kafalat as part of its energy efficiency financing initiative to help Lebanese small and medium-sized enterprises (SMEs) invest in energy savings and renewable energies technologies.

The EU program, which will provide a financial support of EUR12.2m to Banque du Liban and of EUR2.5m to Kafalat, will also include technical assistance to SMEs to ensure proper analysis and implementation of the energy efficiency projects.

The energy efficiency financing initiative will enable SMEs to overcome difficulties in terms of accessing credit and high energy costs to contribute to the economic growth and job creation of the nation.

The EU chargee d’affaires of delegation to Lebanon, Cecile Abadie said that this program is an example of the creative solutions that Lebanon needs in order to promote a sustainable economic development.

“However, it is only an incomplete solution while major challenges remain to be tackled, in particular decreasing the global energy bill of the country and increasing the competitiveness of the Lebanese SMEs,” Abadie said.