Loan Syndication

The Palestinian Banking Corporation has integrated and complemented its financial services with other local and international financial institutions where it has pooled together a wide range of financing sources. This has enabled PBC to extend large loan amounts to corporate clients and minimize projects financing risk.

Loan syndications are arranged and extended mainly to corporate clients asking for more than $ 1,000,000. The main partners of PBC are the International Finance Corporation and the Arab Palestinian Investment Bank.

The extended credit is provided under the following terms:

• Loan Size: above $ 1,000,0000.
• Loan Period: From 1 to 7 years with a maximum grace period of 2 years. In some cases and for special projects, credit may be extended for more years.
• Repayment Method: Depends on the project cash flows. It may be collected monthly, quarterly, semi-annually, annually or seasonal, particularly in the case of agricultural projects.
• Interest Rate: Interest rate depends on the nature of the project itself, operating and financing risk associated with the project and financing program. PBC offers a wide range of lending and financing programs with competitive fixed annual interest rate ranging from 7 - 8% or floating interest rates (LIBOR+) for loans above $ 500,000 and may be granted to projects with effective development impact. This in addition to an annul service fees of 1% that may be taken for one time for certain projects and large loan amounts.
• Collateral and Guarantees: The client has to provide adequate collateral and guarantee. Mainly one or more of the following types of collateral and guarantees can be accepted:
  1. Registered land (Taboo).
  2. Bank guarantee.
  3. Cars and vehicles with comprehensive insurance.
  4. Corporate Stocks traded in Securities Exchange Markets.
  5. Apartments registered in the Taboo.
  6. Respected personal guarantors and termination benefits and provident funds of employees working in recognizable NGOs.
  7. Any other accepted legal collateral.
  The accepted collateral varies from one project to another depending on the client credit history, project type, project financial soundness and economic viability, and project financing sources.

• Download MSWORD Loan Application.
• Download PDF Loan Application.
• Financing and Loan Applications are accepted only through our area Loan Officers. For inquires and applying for financing please consult our Loan Officer in your area.