The Micro, Small, and Medium Enterprise Development Agency (MSMEDA) and Banque du Caire have signed two major agreements worth a combined EGP 500 million to support micro-enterprises across Egypt. The funding is expected to benefit about 5,300 businesses in different parts of the country.
The signing took place between Mohamed Medhat, Deputy CEO of MSMEDA, and Ayman Khattab, Head of the Financial Institutions Sector at Banque du Caire. It was witnessed by Basil Rahmy, CEO of MSMEDA, and Hussein Abaza, Managing Director and CEO of Banque du Caire.
Basil Rahmy explained that the deal follows the directive of Egypt’s political leadership to boost support for small and micro-enterprises. According to him, such financing helps entrepreneurs grow their businesses, create jobs, increase productivity, and even enter foreign markets. He said the goal is to raise living standards and strengthen the national economy.
Rahmy also pointed out that the maximum loan amount per project will be EGP 500,000, giving business owners more flexibility to expand or improve their operations. He added that the first contract will help micro-business owners in the informal sector to formalise their operations so they can enjoy government incentives. The second contract will focus on existing small businesses that want to expand, replace equipment, or improve production efficiency.
Bahaa El-Shafei, Deputy CEO of Banque du Caire, said the partnership with MSMEDA has already supported thousands of projects, creating more job opportunities. He noted that the bank is a leader in microfinance in Egypt, with over 20 years of experience. The bank has provided funding for about 1.3 million projects, focusing on women breadwinners and young entrepreneurs.
El-Shafei revealed that around 51% of the bank’s microfinance clients are in Upper Egypt, 35% are women, and 54% are youth. He stressed that Banque du Caire offers products and services designed to meet the needs of this sector, in line with Egypt’s Vision 2030 goals for sustainable growth and financial inclusion.
Medhat added that the EGP 500m financing will target vulnerable groups, especially women and young people, helping them formalise their businesses and complete necessary paperwork. Khattab emphasised that the agreements are part of the bank’s effort to focus on communities most in need, integrating entrepreneurs into the formal economy and boosting productivity.
Since their partnership began in 2012, MSMEDA and Banque du Caire have financed over 862,000 micro-projects worth about EGP 16.5 billion, with revolving loans valued at around EGP 4.3 billion. This long-term cooperation shows how government agencies and national banks can work together to strengthen the micro-enterprise sector and contribute to national development.
