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The SANAD Fund for MSME (SANAD) announced on Thursday that it has provided a new loan of $15m to Banque du Caire for on-lending to micro, small, and medium enterprises (MSMEs), agricultural producers, and microfinance institutions (MFIs) in Egypt. The investment aims to strengthen the banks ability to continue offering much-needed liquidity to business owners and farmers in response to the economic difficulties brought about by the COVID-19 crisis.
The bank is a SANAD partner since 2017. It has proven its commitment to supporting the funds mission to promote economic growth and job creation by channeling tailored financing to Egypts business owners.
SANAD Board Chairperson Daniela Beckmann said, Banque du Caire has been a valuable partner to SANAD in our efforts to expand and deepen financial inclusion in Egypt. As the economic effects of the COVID-19 outbreak ripple across the region, we are glad to once again join forces with this impactful institution to strengthen the financing base for local entrepreneurs a significant pillar of income generation, stability, and employment within their communities.
Banque du Caires Chairperson Tarek Fayed said: “The new investment particularly aims to help businesses confront the current difficult environment by maintaining their access to dedicated financing, including by providing liquidity to farmers and small agricultural enterprises, as well as to MFIs with an outreach to low-income, rural, and otherwise disadvantaged groups.”
We believe that MSMEs, agriculture projects, and small enterprises are fundamental parts of the Egyptian economy. Accordingly, Banque du Caire has always placed those business segments as key priorities of our lending activities. The bank provides a wide array of financing products that suit the nature of each of those segments, including lending for working capital purposes during various production stages, capital expenditure for expansions, renovations, and for new projects, added Fayed.
Banque du Caire is renowned in the market for pioneering institutionalized microfinance operations. The bank holds around 25% of the market share in Egypt’s banking sector, The bank succeeded in consolidating its leadership through remarkable expansion and growth in financing Small and Medium Enterprises with a recorded growth rate of 220% at the end of December 2019 compared to Dec 2018. The total facilities granted to customers in this segment amounted to EGP 9bn in 2019, growing by 24%.
Banque du Caire is one of the biggest partners to MSME with funding of circa EGP15.8bn.The bank provides necessary funds, whether for individuals or corporates to increase financial inclusion and sustainability, while regularly develops its business plan and strategy to meet different client needs
2020 Daily News Egypt. Provided by SyndiGate Media Inc. (Syndigate.info).