Reinforcing Med Microfinance Network System for Start-ups

Lebanon National Mesures – Support to MSMEs

Support to MSMEs
Name of responsible organization: UNDP and financing from KFW
Starting year2022End year2022
Short description
The purpose of this project is to support the stabilization and development of businesses in key sectors in Lebanon affected by the crisis and the pandemic to foster job retention, help reduce unemployment and socio-economic vulnerabilities and promote economic growth in the longer term.  This Call for Proposal covers the Bekaa and Baalbeck El Hermel governorate and 4 keys sectors chosen due to their (1) potential for employment especially women and youth in both urban and rural areas, (2) import substitution potential (3) vulnerability in light of the expected removal of subsidies and (4) prospect for innovation and growth:
– Agriculture/Fishery;
– Agro-food;
– Light manufacturing (including hygiene products, sewing and crafts and other light production);
– Rural tourism.
The intervention will target 87 Micro, Small and medium enterprises and start-ups including cooperative/associations, farmers, and fishermen and cover all Lebanon. 

What kind of activity does this measure finance?

Creation of new businessesNo
Strengthening of existing businessesYes
Specific investments – specify type (i.e. innovation, research, environmental transition, hiring, internationalization, purchase of goods)Yes 
Training activitiesYes
Other (specify)Yes/No

What type of financing is it?

Low-interest loan (indicate the repayment time and, if present, the requirement for collateral)No
If Yes, repayment time (years):
If Yes, requirement for collateral: 
Non-repayable grant (indicate the percentage of non-repayable fund)Yes
If Yes, percentage of non-repayable fund: 100%
Tax creditNo
Other (specify)No

How does the activation of the measure work?

One-stop means 
Call with closing dateX

Financial entity of the measure (indicate the resources allocated)

Overall amountUSD 665,000
% facilitation for each recipient
Minimum amount that can be financedUSD 2,000
Maximum amount that can be financedUSD 15,000
Origin of financial resources (European, State, Regional authority, Municipal authority, other)KFW

Type of funded social structure (indicate if belonging to a specific category is required in order, to access the measure)

FemaleOver 50Unemployed (specify any type)Disadvantaged groups (specify type)Youth (specify age range)Other (specify)

Does the measure provide for accompaniment and training or only financial support?

Financial support + accompaniment/trainingYes
Only Financial support

Is the measure considered a good practice and as such replicable in other national and / or international contexts?

YESGood practice to support MSMEs

How many initiatives have been financed in the last 3 years and for what economic amount?

Number of initiatives 87 MSMEs for nowTotal economic amount USD 174,000
ReSt@rts Logo

If you do not already have a ReSt@rts Account follow the link to request one.