Characteristics of the Loan

Programme A: Energy Efficiency

Kafalat Energy – Energy Efficiency guarantees loans with amounts varying between a minimum of LBP four millions and a maximum of LBP 600 millions, and is available for loans in LBP only.

This programme finances all types of projects that aim to improve the energy performance of SMEs, thus reducing the total energy consumption required for their activities.

The loan has to be repaid within a maximum of 10 years. New loan guarantees include a grace period between 6 and 12 months depending upon the expected business revenue. During the grace period, the borrower makes no repayment, neither in principal nor in interest.

Kafalat Energy – Energy Efficiency guarantees 75% of the value of the loan granted by the bank and 75% of the accrued interest during the grace period + 3 months.

Programme B: Renewable Energy Generation for Internal Use

Kafalat Energy – Renewable Energy for Internal Use guarantees loans with amounts varying between a minimum of LBP four millions and a maximum of LBP 600 millions, and is available for loans in LBP only.

This programme finances the installation of systems for power generation from renewable energies, such as wind turbines, photovoltaics, hydropower schemes, etc. The produced electricity must be entirely consumed by the SME installing the system, and must displace fossil fuel based electricity.

The loan has to be repaid within a maximum of 15 years. New loan guarantees include a grace period between 6 and 24 months depending upon the expected business revenue. During the grace period, the borrower makes no repayment, neither in principal nor in interest.

Kafalat Energy – Renewable Energy for Internal Use guarantees 75% of the value of the loan granted by the bank and 75% of the accrued interest during the grace period + 3 months

Programme C: Renewable Energy Generation for Sale to Third Party

Kafalat Energy – Renewable Energy for Sale to Third Parties guarantees loans with amounts varying between a minimum of LBP four millions and a maximum of LBP 1,320 millions, and is available for loans in LBP only.

This programme finances the installation of systems for power generation from renewable energies, such as wind turbines, photovoltaics, hydropower schemes, etc. At Least part of the produced electricity must be sold to an entity other than the SME installing the system which could be the public grid.

The loan has to be repaid within a maximum of 15 years. New loan guarantees include a grace period between 6 and 36 months depending upon the expected business revenue. During the grace period, the borrower makes no repayment, neither in principal nor in interest.

Kafalat Energy – Renewable Energy for Sale to Third Parties guarantees 75% of the value of the loan granted by the bank and 75% of the accrued interest during the grace period + 3 months