The European Bank for Reconstruction and Development (EBRD) has signed a US$30mn trade finance line to Jordan’s Investbank in support of trade transactions with tenors of up to five years.

Under the agreement, the EBRD will issue guarantees for Investbank’s international trade transactions with tenors of up to three years, and intra-regional transactions within the EBRD’s remit, with tenors of up to five years. The deal will help Investbank to provide longer maturities for its own trade finance products.

Part of the EBRD’s trade facilitation programme (TFP), the agreement is the bank’s first project in Jordan and in the southern and eastern Mediterranean region.

Francis Malige, EBRD director for financial institutions, says: “The inclusion of Investbank in the TFP network will allow the bank to expand its correspondent network and advance working relationships in trade finance worldwide.”

Investbank’s CEO Muntaser Dawwas adds: “Through this agreement, Investbank aspires to better serve the Jordanian business and trade community by focusing on economic innovations and facilitating the procedures of financing international trade.

“These range from supporting and funding import and export companies, to offering comprehensive banking services and innovative solutions by utilising the latest technologies to address our clients’ needs.”

The EBRD’s TFP programme currently includes over 100 banks in 20 EBRD countries, as well as more than 800 confirming banks throughout the world.