Kafalat guarantees loans that are given by banks operating in Lebanon to finance projects in one of the five subsidized sectors: Industry, Agriculture, Tourism, High Technology and Traditional Crafts. Kafalat does NOT grant loans.
If your work is a profession such as a barber, a dentist, a mechanic, a plumber, etc. it is not eligible for Kafalat.
If it is a craft, such as a carpenter, a blacksmith, a shoemaker, etc. then it is eligible for Kafalat.
If your work is a service such as a gas station, a laundry, a supermarket, a beauty parlour, a car rental agency, or a learning institute, it is not eligible for Kafalat.
| Truck | NO |
| Taxi plate | NO |
| Land or Office | NO |
| Tractor to rent out | NO |
| Tractor to use in my own project | YES |
Kafalat covers costs which will enable the project to start operations and generate cash. These costs usually occur during the last phases of the project development, as opposed to construction costs, which occur at the starting phases. However, should the last phases costs necessary for operations be less than the maximum loan amount, part of the construction costs could be financed through the loan guaranteed by Kafalat.
Kafalat deals with all banks operating in Lebanon.
No. Kafalat analyses your file independently from the Bank.
Kafalat does not help you prepare a business plan. You can either prepare it yourself, hire a professional to help you prepare it, or get help from the Bank. There is no template to be followed.
Yes, it is possible
The borrower has first to approach a bank to present the project to be financed by the loan.
Once the bank has accepted the loan application, it submits this application to Kafalat. In addition to bank loan documents, Kafalat requires a completed loan guarantee application form as well as its own set of supporting documents.
Kafalat Agriculture guaranteed loans may be granted in either Lebanese Pounds or US Dollars, or any other foreign currency.
Loans taken in Lebanese Pounds (LBP) will be charged the following interest rate:
Interest Rate = 1-year Treasury Bill's Yield (TBY's) +3%
Loans taken in Foreign Currency (e.g. USD) will be charged the following interest rate:
Kafalat Small Agriculture and Kafalat Trees:
