MENA Hub Partners with Al Majmoua to Promote End-User and Green Finance in Lebanon
Oct 19 2022
Lebanon’s energy outlook is dire. The country’s financial crisis means that the government can no longer afford to import nor subsidize fuel as the reliance on imports has been overwhelming its foreign currency reserves and has been the largest contributor to an ever-growing budget deficit.
This has resulted in an energy crisis where power outages have worsened, and power cuts have reached more than 20 hours a day all over Lebanon. The failure to fix this crucial sector has resulted in citizens and private sector actors’ increased reliance on expensive and polluting diesel generators.
With generator bills skyrocketing – and some operators demanding payment in dollars – citizens have started installing solar panels. Their monthly solar system installment payment is almost equal to monthly generator bills, and in return, they get more electricity for a cheaper price. Renewable energy can contribute to solving some of Lebanon’s challenges by promoting energy efficiency, energy conservation, and clean energy solutions.
Joining forces to bring farmer-oriented green finance facilities to the Lebanese market
The WE4F MENA Regional Innovation Hub (MENA RIH) and Al Majmoua are proud to announce that they are joining forces to bring farmer-oriented green finance facilities to the Lebanese market. Both parties firmly believe in the positive climate, financial, and social impacts of enabling farmers to access technologies such as solar-powered irrigation by providing easy access to end-user finance.
Accordingly, Al Majmoua will dedicate resources to design and pilot an on-shelf standardized financial product that will ease access to solar-powered irrigation technology for farmers. At the same time, the MENA RIH will be providing Al Majmoua with technical assistance.
The MENA RIH’s technical assistance team will be composed of experts who have extended experience in developing solar-powered irrigation financial products in similar economies, including Egypt and Yemen. This end-user financing product will be suitable to farmers from a financial perspective; cost-effective for Al Majmoua; minimize risks of failure for farmers for a potential to extend growing seasons and Al Majmoua; and social welfare of farmers as well as environmental sustainability.
WE4F is a joint international initiative of the German Federal Ministry for Economic Cooperation and Development (BMZ), the European Union, the Ministry of Foreign Affairs of the Government of the Netherlands, Sweden through the Swedish International Development Cooperation Agency (Sida), and the U.S. Agency for International Development (USAID). To learn more, visit we4f.org and follow WE4F on Twitter @WE4FGCD.
The WE4F Middle East and North Africa Regional Innovation Hub (a consortium of Berytech, cewas, Chemonics Egypt and the International Water Management Institute) supports innovators in ten countries across the region to produce more food while using less water and energy. Together with investors and partners, the MENA RIH works to scale mid-to-later stage enterprises that have an environmental and social impact in the water-energy-food nexus.