CBJ, GIZ launch micro-, SMEs financial inclusion project

AMMAN — The Central Bank of Jordan (CBJ), in partnership with the German Agency for International Cooperation (GIZ), on Sunday launched a financial inclusion project for micro-, small- and medium-sized enterprises (SMEs) in Jordan.

The project will be implemented over the next four years by GIZ in cooperation and partnership with the CBJ, and with approximately 10 million euros in funding from the German Federal Ministry for Economic Cooperation and Development, the Jordan News Agency, Petra, reported.

The project seeks to support efforts exerted by the CBJ and relevant partners to enhance financial inclusion for micro- and small to medium-sized enterprises in the Kingdom.

It also targets owners of micro enterprises and SMEs to enable their effective access to innovative financial services and products, in addition to helping these SMEs overcome challenges, especially those led by women, in receiving necessary funds.

The project also includes working with CBJ and stakeholder partners to develop proper legislative oversight, in order to improve financial accessibility in accordance with SMEs’ needs via the use of digital financial solutions.

CBJ Governor Adel Sharkas said that the scheme is part of the bank's ongoing endeavours for enhancing financial inclusion in the Kingdom in general and among micro and SMEs in particular, which are among the most important drivers of the Kingdom’s economic and social development. 

According to Sharkas, these enterprises make up almost 99 per cent of all companies registered in Jordan, highlighting the role of these companies in increasing production and creating jobs, and their impact in reducing high unemployment rates, in addition to their significant contributions to increasing economic growth rates and increasing national income. 

The CBJ governor also praised the Jordanian-German partnership and Germany’s long-term support to the Kingdom towards enhancing financial inclusion in Jordan, stressing the importance of the ongoing partnership and cooperation between all stakeholders for developing the financial sector.

The head of German development cooperation at the German embassy in Amman Kordula Mehlhart commended the efforts of CBJ in enhancing financial inclusion as part of the government’s priorities in the employment sector, praising the effective role of the bank and the progress it has already achieved.