Amman, Aug. 5 (Petra) -- The Jordan Loan Guarantee Corporation (JLGC) and the Islamic International Arab Bank (IIAB) signed an agreement on Wednesday to launch the "Retail Guarantee" program aimed at supporting supply chains and improving access to financing for micro and small retail enterprises to cover operational needs and working capital.

The agreement was signed by JLGC Director General Adnan Naji and IIAB General Manager Iyad Asali.

Speaking at the signing ceremony, Central Bank of Jordan (CBJ) Governor Adel Sharkas stated that the central bank continues to support initiatives that advance financial inclusion and broaden access to finance for micro and small businesses in line with national economic priorities.

Sharkas noted that loan guarantee schemes serve as vital tools to mitigate credit risk for banks, encouraging them to extend funding to productive sectors, stabilize supply chains, stimulate growth, and create employment opportunities.

The new program aims to empower the retail sector a core link in domestic supply chains by guaranteeing credit facilities that help merchants secure inventory and maintain business continuity.

Naji emphasized JLGC's commitment to developing tailored guarantee programs that address the financing needs of diverse economic sectors and support small business sustainability.

For his part, Asali highlighted the importance of partnering with JLGC to provide practical financing solutions for retailers, thereby driving economic activity and enhancing supply chain stability.

The partnership comes as part of ongoing efforts between the banking sector and JLGC to broaden the beneficiary base of guarantee programs and bolster local economic development.

//Petra// AF