MSMEDA provides LE 215Mto micro, small projects in 2017

CAIRO – 25 December 2017: The Micro, Small and Medium Enterprises Development Agency (MSMEDA) has provided funds at a value of LE 1.929 billion for 227,000 micro and small projects, MSMEDA said Sunday in a statement.

The statement added that the new projects funded by MSMEDA have created 305,000 job opportunities.

MSMEDA offered nearly LE 215 million during 2017 to finance about 14,000 small and microprojects thatenabled the creation of 19,000 jobs. In addition, they providedgrants at LE24 million fortraining projects and community development programs.

On April 24, Prime Minister Sherif Ismail issued a decree to merge the Social Fund for Development (SFD) with the MSMEDA to become one entity, working to upgrade and develop the SMEs sector by offering financial and non-financial services.

Egypt began a strategy aimed at enhancing the SME sector, with the Central Bank of Egypt (CBE) announcing an initiative to fund Egyptian SMEs with LE 200 billion.

MSMEDA, the governmental entity responsible for micro,SMEs projects in Egypt, offers funds for SMEs projects either directly or through banks as mediators

MSMEDA DirectorNevineGamea told Egypt Today in November that beneficiaries can access a maximum value of LE 3 million and a minimum value of LE 10,000 if the projects are in the commercial or service sectors. Loans can reach LE 5 million if the project is in the industrial sector.

In some cases, the agency reaches beneficiaries through collaborating with a network of 450 development associations, reaching citizens the agency cannot access without their help; the agencyoffers them micro-loans with a value between LE 500 and LE 10,000.

The agency is also offering direct loans outside the banking system because the values are relatively small. With regards to the insolvency rate, around 5 percent of the participants will be unable to repay the loans.

MSMEDA opened a new office in Shak El-Thoban, south of Cairo, to provide different services for marble manufacturers in the area, MSMEDA announced mid-December.