The Jordan Loan Guarantee Corporation (JLGC) and the Agricultural Credit Corporation (ACC) have signed a guarantee agreement for agricultural sector financing, aiming to enhance access to finance for small farmers and agricultural enterprises, and to support financial inclusion and economic development in agricultural and rural areas.
The agreement was signed on behalf of the Jordan Loan Guarantee Corporation by its Director General, His Excellency Mr. Adnan Naji, and on behalf of the Agricultural Credit Corporation by its Director General, His Excellency Engineer Mohammad Dujan Al-Balawneh. The agreement aims to guarantee agricultural financing and ease collateral requirements for beneficiaries, thereby stimulating investment in this vital sector.
Under the agreement, the Jordan Loan Guarantee Corporation will provide guarantees for financing extended by the Agricultural Credit Corporation within a targeted financing portfolio dedicated to small farmers, innovative and non-traditional projects, and women’s projects in the agricultural sector, particularly in poverty pockets and rural areas.
Both parties emphasized that the agreement focuses on financing agricultural activities with added value, such as agricultural and livestock technology, agro-industrial and food processing, packaging, and innovative agricultural ideas.
Mr. Naji stated that this agreement is aligned with Jordan’s Economic Modernization Vision and contributes to supporting and economically empowering productive groups, particularly those in the agricultural sector. He affirmed that the agreement reflects the company’s commitment to implementing the pillars of the Central Bank of Jordan’s Financial Inclusion Strategy by facilitating access to finance for small farmers and women-led projects.
For his part, Engineer Mohammad Dujan Al-Balawneh, Director General of the Agricultural Credit Corporation, affirmed that signing this agreement comes as a continuation of the Corporation’s policy to facilitate access to finance, especially for youth and small farmers, to establish entrepreneurial projects with economic and social impact. He noted that the issue of real estate collateral is among the biggest challenges facing the provision of financing to target groups, and that this agreement helps mitigate credit risks faced by financing entities. He also described this service as a qualitative leap in the developmental role of the Agricultural Credit Corporation.
This agreement comes within the framework of joint national efforts to support sustainable development, combat poverty and unemployment, strengthen institutional partnerships in service of the national economy, and achieve food security.
