Societe Generale de Banque au Liban (SGBL) signed a trade finance agreement with IFC, a member of the World Bank Group, to boost cross-border trade and help local businesses access international markets.

Under the agreement, SGBL will join IFC’s Global Trade Finance Program (GTFP), which supports banks as they deliver trade finance in challenging markets. IFC guarantees will help SGBL clients import critical commodities to the local market, including raw materials, pharmaceuticals, fertilizers and spare parts. The GTFP offers global and regional banks guarantees covering payment risk against letters of credit and other trade-related transactions.

“The facility from IFC will support our growth strategy and help us provide a diversified range of banking services to our trading clients, to help boost regional trade and strengthen the economy,” said Georges Saghbini, Deputy General Manager at SGBL.

From his part, Thomas Jacobs, IFC Principal Country Officer in Lebanon, said: “In such challenging times, trade finance can play a key role in facilitating cross-border trade and boosting economic growth in Lebanon, helping small businesses grow and expand their businesses by accessing global markets.”

Commenting on the agreement, SGBL’s Chairman and CEO Antoun Sehnaoui, stated: “We believe the IFC agreement is a win-win on multiple levels. It supports small and medium-sized enterprises, hence boosting the private sector and the national economy, while promoting Lebanese entrepreneurship abroad.”

Since the inception of the GTFP, IFC has committed $6.6 billion to boosting cross border trade across the Middle East and North Africa, $2.7 billion of which was dedicated to Lebanon.