The European Bank for Reconstruction and Development (EBRD) is strengthening small businesses in Tunisia with a €5 million loan to Arab Tunisian Lease (ATL Leasing) to increase access to finance for micro, small and medium-sized enterprises (MSMEs).

Access to funding and liquidity remains a constraint for the growth of many private businesses. Existing challenges have become even more acute since the outbreak of the coronavirus pandemic.

The EBRD loan will allow ATL Leasing to ease this pressure with the provision of long-term funding to small companies. ATL Leasing will extend leases for the acquisition of equipment, light commercial vehicles, trucks, trailers and real estate.

The loan is supported by the European Union (EU) under the EU Initiative for Financial Inclusion, a comprehensive programme to help MSMEs in the southern and eastern Mediterranean region to become more competitive and grow. It provides finance and know-how to boost development and create jobs.

Small and medium-sized enterprises (SMEs) play a core role in the Tunisian economy. The country has over 80,000 SMEs, which are responsible for 40 per cent of GDP and employ more than half of the population.