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MSMEDA Partners with Banque Misr and CIB to Support SMEs

MSMEDA Partners with Banque Misr and CIB to Support SMEs
Image Source: Presidency of the Egyptian Council of Ministers Facebook
  • Banque Misr and the MSMEDA signed a contract worth approximately USD 5.96 million to support micro-projects.
  • CIB signs a strategic cooperation protocol with the MSMEDA aiming to increase support for entrepreneurs and SMEs across Egypt.
  • Both agreements align with the state’s goal to support SMEs and position them to drive Egypt’s economic growth.

The Micro,Small and Medium Enterprise Development Agency (MSMEDA) signs agreements with the Commercial International Bank (CIB) and Banque Misr. These agreements aim to increase and support Small and Medium Entreprisies (SMEs) whilst enhancing their local and international competitiveness. Additionally, these agreements align with Egypt’s plan to stimulate economic growth and boost exports. Ultimately, this is to position SMEs as the driving force of Egypt’s economic growth. 

Banque Misr

Banque Misr and MSMEDA signed a contract worth EGP 300 million approximately USD 5.96 million. This is to support micro-projects focusing on development and expansion. Additionally, they seek to provide loans for working capital, enabling increased production and income for these ventures. This is part of the bank’s strategy to engage in initiatives that expand SME financing, promote financial inclusion ,generate jobs and economic growth. 

Amer Demerdash, Head of the SME and Microfinance Sector at Banque Misr, emphasizes that it is part of the bank’s strategy to engage in initiatives that expand SME financing, promote financial inclusion ,generate jobs and economic growth. 

Basil Rahmi, CEO of MSMEDA stated that this contract is part of MSMEDA 2025 plan to inject additional financing into the micro-enterprise sector which provides job opportunities and helps transition informal projects into the formal economy. Additionally, Rahmi also indicates that the collaboration will support project owners across all Egyptian governorates. In addition, 40% of available funding under the contract will be directed towards industrial projects, agricultural manufacturing and other related sectors. 

Nevin Badr El-Din, Head of the Central Sector for Microfinance at MSMEDA, explains that they expect the contract to finance an approximate of 3,000 micro-project across Egypt. Moreover, they estimate the financing per project to be EGP 500,000 for each beneficiary. 

Ultimately, Banque Misr aims to dedicate itself to supporting entrepreneurs and unlocking the potential of the youth. 

CIB

CIB signs a strategic cooperation protocol with the MSMEDA aiming to increase support for entrepreneurs and SMEs across Egypt. 

“By providing both financial and technical support, we aim to empower SMEs and enhance their competitiveness. This will help increase local production, open new export markets, and contribute to sustainable development.”

Amr El-Ganainy,Deputy CEO and Executive Board Member of CIB

The agreement aims to create a comprehensive environment for SMEs. As indicated by Rashwan Hammadi, CEO of CIB’s Retail Banking and Financial Inclusion Sector, who highlights that CIB offers comprehensive support for SMEs including services related to export, logistics, legal and tax consulting and marketing. Additionally, CIB and MSMEDA are planning to help businesses with sustainable financing initiatives through helping them adopt innovative technologies that reduce carbon emissions.

Together, CIB and MSMEDA, aim to foster entrepreneurship and drive economic growth in Egypt through providing support to SMEs.  They aim to achieve a shift in SME’s contribution to Egypt’s GDP whilst making them locally and internationally competitive.

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