Kafalat Delegation

Small or medium sized project? Look no further.

Kafalat Delegation is the choice of individuals or companies in Lebanon that need up to LBP75 million (or its equivalent in foreign currency) for a small to middle size project related to their work in industry, agriculture, tourism, crafts and technology. The IBL Bank Kafalat Delegation loan is ideal if you want to purchase machinery and equipment, renovate or expand your plant, purchase raw materials and spare parts, cover construction costs, secure working capital and finance anything else your business might need.

Highlights:
  • Maximum Amount: LBP 75,000,000
  • Sectors Covered:
    • Industry
    • Agriculture
    • Tourism
    • Crafts
    • High technologies
  • Tenor:
    • Up to 7 years
    • 3 – 4 years if taken for Working Capital Needs only
  • Grace Period: Between 6 months and 1 year
  • Kafalat Guarantee: 70%
  • Collateral: Cannot exceed 50% of the loan value
  • Interest Rate:
    • LBP: 40% 1YR TB + 3.3% - subsidy rate 4.5% => Actual Effective Rate = 0.94%p.a.
    • USD: LIBOR (1YR) + 5.5% - subsidy rate 4.5%  => Actual Effective Rate = 2.55%p.a.Subsidy Rate: Up to 4.5%
  • Commission: 2.5% Kafalat Commission on the outstanding guaranteed amount to be collected on an annual basis

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