The Egyptian agency responsible for the development of medium, small and very small enterprises (MSMEDA) has partnered with Banque Misr to support Egyptian micro enterprises. The agreement provides for funding of 500 million Egyptian pounds, EGP (32 million USD) to companies.
This agreement was signed this weekend by Tarek Shash, deputy executive director of MSMEDA, and Akef El Maghraby, vice-president of Banque Misr.
“About 10,000 micro-loans will be granted throughout Egypt, with a maximum of EGP 250,000 (USD 16,043.04) per loan, depending on the production and marketing capacities of each company,” said Nevine Gamea. , Minister of Commerce and Industry and CEO of MSMEDA. The Minister explained that the microfinance contracts concluded between MSMEDA and Banque Misr started in 2011 and have so far reached a total value of around 1.81 billion EGP (116 million USD).
For his part, Akef Al-Maghraby pointed out that the value of the Micro, Small and Medium Enterprises (MSMEs) portfolio, both standard and Islamic, stands at around EGP 37.7 billion (2.4 billion USD). The number of clients in the SME portfolio, he explains, reached 184,000 in June 2020, against 121,000 in June 2019, an increase of 63,000 clients with a growth rate of 52%.
According to official statistics, the volume of financing provided to microenterprises has doubled over the past seven years, reaching EGP 14.4 billion (USD 924 million) from July 2014 to April 2021.