Economics & Development

Ratings of the Building Beirut Businesses Back and Better (B5) Fund for Lebanon were as follows: Outcome was highly satisfactory, Bank Performance was highly satisfactory, and Monitoring and Evaluation quality was substantial. A dual delivery mechanism improves outreach in disaster-affected contexts; combining wholesale channels through microfinance institutions (MFIs) to reach informal micro-entrepreneurs with a retail window managed by the implementation agency to serve more formal firms ensures broad and effective coverage, and channel selection should be based on a clear mapping of target beneficiary segments at appraisal. Implementing partner due diligence and sustainability need deliberate attention in fragile and conflict-affected (FCV) settings; operations should include thorough institutional due diligence, contingency provisions for reallocating funds if a partner underperforms, clear escalation and exclusion protocols when remediation fails, and targeted investment in the institutional sustainability of capable partners where the market is thin. Speed of disbursement must be balanced with fiduciary oversight by adopting proportional compliance frameworks, layered verification, cross-checks, and independent technical audits that safeguard integrity without unduly slowing delivery. Informal enterprises require simplified documentation, model templates tested with beneficiaries, and early, practical handholding to build compliance capacity. Implementation capacity should be strengthened early through upfront staffing assessments and front-loading of key fiduciary, monitoring and evaluation, and verification functions. Communication and trust-building are critical; dedicated strategies with community liaisons, multilingual materials, clear eligibility and selection messaging, strong grievance redress, and regular feedback loops enhance participation and transparency. Digital tools for applications, automated de-duplication, and integrated tracking can reduce administrative burden and improve accuracy. Gender inclusion requires addressing structural barriers by employing targeted outreach, remote or community-based delivery, flexible scheduling, peer-based or one-on-one coaching, and simplified participation requirements to increase meaningful engagement of women-owned or led enterprises.