The Ministry of Education & Higher Education (MEHE) issued Decree no. 3446 dated July 15, 2026 about accepting a financial grant of €10m from Germany through the German government-owned KfW Development Bank for the third phase of the “Education Programme Lebanon (School Construction)”, which covers the rehabilitation and expansion of public schools in the country. It pointed out that the implementation period of the project will be for five years, or 60 months, from the date of signing the agreement. It added that the donor will directly disburse all payments from the grant to the project’s implementing agency or to the entity contracted for the project. Also, it stated that the decree exempts imports financed by the grant from all taxes and duties, as well as from all fees and taxes that the Directorate of Revenues and the Directorate of the Value-Added Tax collect.  Article 1 stipulates that KfW will provide the MEHE with a grant of up to €10m, to be used exclusively for the extension and rehabilitation of public schools, and to cover primarily the costs payable in foreign currency. Article 2 indicates that KfW will disburse the grant based on the progress of the project and upon the ministry’s request, and that the bank has the right to refuse to make disbursements after March 31, 2032.  Article 3 stipulates that KfW may suspend disbursements if the ministry fails to meet its payment obligations; in case of violations of the obligations under the grant agreement or separate agreements related to it; or if extraordinary circumstances arise that preclude or seriously jeopardize the implementation, operation or purpose of the project. It added that if these circumstances are not addressed within at least 30 days, KfW may demand the immediate repayment of all disbursed amounts. Also, it stated that in case the ministry cannot prove that the funds were used for their stipulated purpose, KfW the bank may request the immediate reimbursement of the amounts.  Article 6 specifies that the ministry must prepare, implement, operate and maintain the project in conformity with sound financial and engineering practices, and in compliance with environmental and social standards. It states that the ministry has to assign the project’s construction to independent and qualified consulting engineers, and the implementation of the project to qualified firms.  It added that the ministry must allow KfW’s representatives to inspect at any time the books, records, project, and all related installations. Article 8 stipulates that the ministry must comply at all times with the obligations set out in the agreement’s “Compliance Covenants Recipient” annex. It added that if any provision of the agreement is invalid, the validity of the remaining provisions will not be affected, and any resulting gap will be filled by a provision consistent with the purpose of the agreement. The article also stipulates that the ministry may not assign, transfer, pledge or mortgage any claims arising from the agreement. (ICE BEIRUT)

Fonte notizia: Byblos Bank, LTW, 10-15 August 2026