IFC and Banque Misr Partner to Boost Financial Access for Egyptian MSMEs
Enhancing Financial Access for MSMEs in Egypt
The International Finance Corporation (IFC) and Banque Misr, Egypt’s second-largest public sector bank, have joined forces to enhance financial access for micro, small, and medium-sized enterprises (MSMEs) in the country. This strategic partnership, announced at the World Bank Group – International Monetary Fund Annual Meetings, involves a $234 million loan from the IFC.
A Commitment to Gender Equality
Half of the loan, which is part of Banque Misr’s ZAAT program, will be allocated to women-owned MSMEs, addressing the gender financing gap. This initiative represents IFC’s first gender-focused investment in an Egyptian public sector bank. The loan will benefit from concessional funding from IFC’s Global SME Finance Facility.
Transitioning Informal Micro-Businesses into the Formal Sector
By supporting this partnership, Banque Misr aims to transition informal micro-businesses into the formal sector. This initiative will not only enhance financial inclusion for female entrepreneurs but also stimulate job creation in Egypt.
Strengthening Egypt’s Private Sector
The IFC, with its significant $1.7 billion investment portfolio in Egypt, is committed to promoting gender equality and fostering economic growth. This partnership aligns with the World Bank Group’s Country Partnership Framework for Egypt.
Enriching Egypt’s Business Landscape
The collaboration between IFC and Banque Misr marks a significant step towards enriching Egypt’s business landscape. By providing financial support and resources to MSMEs, especially those led by women, this partnership aims to drive economic development and create opportunities for all.
Conclusion
Through their joint efforts, the IFC and Banque Misr are paving the way for a more inclusive and prosperous future for Egyptian MSMEs. By expanding financial access and addressing the gender financing gap, this partnership will contribute to the growth and stability of the country’s economy.
