Egypt : Enhancing Access to Finance for Micro and Small Enterprises
This operation provides a $300m line of credit (Financial Intermediary Loan) through Egypt's Social Fund for Development (SFD), the apex body for micro and small enterprise finance, which would on-lend on commercial terms to eligible Non Gover...
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| Format: | Brief |
| Language: | English |
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World Bank, Washington, DC
2012
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| Online Access: | http://documents.worldbank.org/curated/en/2011/09/15039740/egypt-enhancing-access-finance-micro-small-enterprises http://hdl.handle.net/10986/10865 |
| Summary: | This operation provides a $300m line of
credit (Financial Intermediary Loan) through Egypt's
Social Fund for Development (SFD), the apex body for micro
and small enterprise finance, which would on-lend on
commercial terms to eligible Non Governmental Organizations
(NGOs), potential microfinance institutions (MFIs), and
banks. The project objective is to increase micro and
small enterprise credit sustainably and broaden the outreach
of finance through innovative delivery mechanisms and
financial products. It plans to contribute to a sustainable
improvement in inclusive access to finance for micro and
small enterprises on a commercial basis. The Project went to
the Board in March 2010 and is planned to be completed at
the end of 2015. This note is based on the Project Appraisal
Document (PAD). The project is well underway as of the date
of this note but it is too early for any implementation
lessons to be collected. Overall, lack of access to finance
has been a major factor constraining the growth of micro and
small enterprises (MSEs) in Egypt. Microenterprise lending
in Egypt is supported by a fragmented set of hundreds of
NGOs distinct from the mainstream financial sector. SFD
finances 390 NGOs that are on-lending to microenterprises,
many of which are small in scale. |
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