Only lend a friend what you could let go of. Money has ended more friendships than distance.

A loan quietly converts a friendship into a debt with no way to enforce it. From then on every purchase they make is something you notice, and every time you meet there is a small unpaid thing in the room, so people start avoiding each other rather than dealing with it. That is how friendships end over amounts nobody would have missed. The money was never the problem, the ledger was.

Before handing anything over, decide the number you could genuinely give away, then hand over that. Call it a gift out loud so nobody is counting. If the ask is larger, say no kindly.