Bank al Etihad and the Jordan Loan Guarantee Corporation (JLGC) have signed a cooperation agreement to join the “Guarantee for Employment” program, with the aim of expanding access to financing for micro, small, and medium-sized enterprises (MSMEs) to support their growth and expansion, while encouraging them to create new and sustainable job opportunities for Jordanians through a model that links access to financing with tangible employment outcomes.
The agreement was signed at Bank al Etihad’s headquarters in the presence of representatives from both sides, marking a step that brings together improved access to financing with incentives for businesses to expand their operations, increase their operational capacity and workforce, and strengthen their contribution to economic activity.
The agreement comes as part of the “Guarantee for Employment” program, launched by the Jordan Loan Guarantee Corporation with funding from the German government through KfW Development Bank. The program aims to enable Jordanian businesses with growth potential to access the financing needed to expand and increase their operational capacity.
Shatha Bdeir, Head of the Small and Medium Enterprises Sector at Bank al Etihad, said: “At Bank al Etihad, we believe that the true value of financing is not measured solely by its size, but by the impact it creates.
This agreement aligns with the bank’s approach to expanding access to financing for small and medium-sized enterprises and enabling them to move into new stages of growth and expansion.
The importance of the program lies in combining financing with the economic and social outcomes it generates, so that business growth translates into greater productivity, expanded operations, more job opportunities for Jordanians, and stronger economic activity and job security.”
Bdeir added: “Small and medium-sized enterprises are among the most important drivers of economic activity and job creation. Enabling them to access appropriate financing is a direct investment in their ability to grow, compete, and remain sustainable.
This highlights the importance of our partnership with the Jordan Loan Guarantee Corporation, which enables us to reach a broader segment of promising businesses, support them in overcoming financing challenges, and help them move into new stages of growth and development and enter multiple markets.
“Our ambition goes beyond simply financing businesses. Our success is not measured only by the size of our financing portfolio, but by the number of businesses we have helped expand, the jobs we have contributed to creating, and the value we have added to the economy and society.
Ultimately, the agreement reflects the commitment of both parties to developing more inclusive and sustainable financing solutions, strengthening the partnership between the financial sector and loan guarantee institutions, empowering small and medium-sized enterprises, stimulating investment, and supporting sustainable economic growth in the Kingdom.”
For his part, Adnan Naji, Director General of the Jordan Loan Guarantee Corporation, said that the “Guarantee for Employment” program offers a model that links expanding access to financing for micro, small, and medium-sized enterprises with their ability to grow, expand, and create new jobs.
He noted that the guarantees provided by the corporation help reduce credit risks and encourage banks to expand financing for eligible businesses with growth potential.
Naji added that cooperation with Bank al Etihad will expand the channels through which businesses can benefit from the program.
He emphasized that combining financing guarantees with employment-related incentives provides a practical mechanism to support businesses in their expansion plans and increase their operational capacity, while linking access to financing to a tangible economic impact in the form of sustainable employment opportunities for Jordanians.
Bank al Etihad’s participation in the program reflects its commitment to developing financing solutions that respond to the needs of small and medium-sized enterprises at different stages of their growth, as well as strengthening financial inclusion by expanding the pool of businesses able to access financing.
This, in turn, supports private-sector growth, contributes to increased economic activity, and creates sustainable employment opportunities.
