FIF - Palestine for Credit and Development (FATEN) Loan


West Bank and Gaza

Project number:


Business sector:

Financial institutions

Notice type:


Approval date:

02 Sep 2020



PSD disclosed:

28 Jul 2020

As permitted by paragraph 2.6 of Section III of the Access to Information Policy, disclosure of this PSD was deferred in accordance with paragraph 1.4.4 of the Directive on Access to Information.

Project Description

Provision of an SME loan of up to USD 3.0 million (EUR 2.6 million equivalent) in favor of Palestine for Credit and Development (FATEN), a non-profit microfinance institution incorporated in the West Bank.


This project was approved in the context of the Bank's response to the COVID-19 pandemic. To avoid delays to the delivery of this project, the Bank's President granted a deviation from the ordinary timelines for PSD disclosure, as contemplated by Section V of the Directive on Access to Information.  Details of the Bank's response to COVID-19, and this deviation, can be found on our website.

Project Objectives

The credit line will be used by FATEN to on-lend to MSMEs in the West Bank with a focus on those operating in the agribusiness sector.  

Transition Impact

ETI score: 60

ETI: 60

The loan will contribute to the continued functioning of the Palestinian economy by on-lending to MSMEs. The goal of this operation is to ensure the resilience of the financial sector and preserve competition in the sector. More specifically, it will help FATEN remain operational (Resilient) and continue commercial lending in line with the market and comparable players (Competitive).

Client Information


Palestine for Credit and Development (FATEN) was established in its current form in 1999 as a private non-profit company registered with the Palestinian Ministry of Economy. In May 2014, FATEN became licensed by the Palestine Monetary Authority (PMA). Since its establishment, FATEN has played a key role in supporting the MSME sector in the West Bank and Gaza, creating job opportunities and reducing poverty and unemployment rates.


EBRD Finance Summary

USD .00

USD 3,000,000

Total Project Cost

USD 3,000,000.00

USD 3,000,000


Provision of medium-term financing and capacity building technical assistance.

Environmental and Social Summary

Categorised FI (ESP2019). An E&S Due Diligence Questionnaire has been completed by the Client and demonstrates labour, health and safety, and risk management procedures in line with IFC's Performance Standards and EBRD's PR2, PR4 and PR 9 requirements. Improvements in terms of E&S monitoring of FATEN's portfolio of projects is required. The Borrower will submit annual environmental and social reports to the Bank to monitor their E&S performance and progress. There is no GET component associated with this Project.

Technical Cooperation and Grant Financing

The project will be accompanied with technical cooperation on FATEN's risk management procedures as well as AML/CFT targeted trainings.

Company Contact Information

Lubna Aboudi
+970 2 296 1471
Al-Tireh, P.O Box 2446, Ramallah, West Bank & Gaza

PSD last updated

28 Sep 2020

Understanding Transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and the associated Performance Requirements (PRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”.  The ESP and the PRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation as well as to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about environmental and social performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD additionally requires its clients to disclose information, as appropriate, about the risks and impacts arising from projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and Compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all activities of the Bank in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.

OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations following its entry into force on 1 January 2020. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD Enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate; how to submit a Request for review; or contact IPAM  via email to get guidance and more information on IPAM and how to submit a request.


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