Egypt : 2K small enterprises founded in Egypt in September 2020 through 1 funding program

  • 05 November 2020 / News / 177 / Emerging Africa

Egypt : 2K small enterprises founded in Egypt in September 2020 through 1 funding program

CAIRO – 4 November 2020: Minister of Local Development Mahmoud Shaarawy told press Wednesday that 2,000 enterprises - worth LE600 million and offering 26,000 job opportunities - were founded in September through the SME's funding program "Mashrouak" (Arabic for Your Project).

 The program was launched in September 2019, and funded until present 156,000 enterprises across 16 governorates creating 890,000 job opportunities, the minister said.

 Shaarawy pointed out that the program is part of the initiative of the Central Bank of Egypt (CBE) providing loans to SMEs at 5% interest rate.

 Menya comes on top in number of enterprises with 18,500 projects worth LE1,9 billion, followed by Sohag with 16,000 projects worth LE1.8 billion. Then comes Beheira with 15,800 projects worth LE1.2 billion, followed by Daqahleya with 13,000 projects worth LE1.3 billion. At last comes Sharqeya with 12,000 projects worth LE1.7 billion.

 The minister stated that funding requests are being submitted to the 260 offices of Mashrouak, and that the program grants those whose requests are approved free feasibility studies, training, and temporary licenses until they issue permanent ones. The funding is approved in coordination with banks participating in the initiatives.

 The volume of funding for the initiative to support micro, small and medium enterprises amounted to about LE180 billion, from which about 120,000 companies and 1 million borrowers benefited, in addition to the launch of savings certificates with an interest of 15 percent, Central Bank Governor Tarek Amer said in August.

 In June, CBE announced adding newly founded medium-sized enterprises and small companies that are affiliated with big entities to its LE100 billion financing initiative to support the industrial, agricultural and construction sectors.

source: egypttoday