By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
DailynewsegyptDailynewsegypt
  • Home
  • Business
    BusinessShow More
    blinx: New digital media hub for Middle East’s youth
    blinx: New digital media hub for Middle East’s youth
    September 24, 2023
    ADNOC Distribution launches first ADNOC service stations in Egypt
    ADNOC Distribution launches first ADNOC service stations in Egypt
    September 24, 2023
    Banks’ financial position grows to EGP 13.798trn in 1H 2023, CBE reports
    Banks’ financial position grows to EGP 13.798trn in 1H 2023, CBE reports
    September 24, 2023
    Shell, KUFPEC partner to explore Egypt's Mediterranean Block 3
    Shell, KUFPEC partner to explore Egypt’s Mediterranean Block 3
    September 24, 2023
    Food Export Council holds symposium on challenges of food exports to EU, US
    Food Export Council holds symposium on challenges of food exports to EU, US
    September 24, 2023
  • Politics
    PoliticsShow More
    Egypt, India affirm their strategic partnership, discuss regional issues
    Egypt, India affirm their strategic partnership, discuss regional issues
    September 24, 2023
    Pope Francis denounces ‘invasion’ rhetoric on migrants
    Pope Francis denounces ‘invasion’ rhetoric on migrants
    September 24, 2023
    Sudanese leader Al-Burhan denounces RSF commander’s letter to UN
    Sudanese leader Al-Burhan denounces RSF commander’s letter to UN
    September 24, 2023
    Egypt, Greece, and Cyprus stress coordination on gas, regional issues
    Egypt, Greece, and Cyprus stress coordination on gas, regional issues
    September 23, 2023
    CCCPA, African Union train officials on ‘Climate Responsive Programming for Sustaining Peace’
    CCCPA, African Union train officials on ‘Climate Responsive Programming for Sustaining Peace’
    September 22, 2023
  • Interviews
    InterviewsShow More
    Microsoft Egypt aims to provide advanced AI models, build solid AI ecosystem: Mirna Arif
    Microsoft Egypt aims to provide advanced AI models, build solid AI ecosystem: Mirna Arif
    September 18, 2023
    I love privacy, and I am not concerned about competition: Yasmine Sabry
    I love privacy, and I am not concerned about competition: Yasmine Sabry
    September 14, 2023
    Sustainability, digital transformation at the heart of our strategy: Heidelberg Materials Egypt
    Sustainability, digital transformation at the heart of our strategy: Heidelberg Materials Egypt
    September 12, 2023
    India welcomes Egypt's BRICS membership: Boosting trade, investment, and access to strategic commodities
    India welcomes Egypt’s BRICS membership: Boosting trade, investment, and access to strategic commodities
    September 11, 2023
    The box office is not a measure of success: Basma Hassan
    The box office is not a measure of success: Basma
    September 6, 2023
  • Culture
  • Opinion
  • Sports
  • Lifestyle
Reading: Banque du Caire aims to inject EGP 2bn into SMEs during 2016: Chairperson
Share
Notification
Latest News
Egypt, India affirm their strategic partnership, discuss regional issues
Egypt, India affirm their strategic partnership, discuss regional issues
Politics Egypt
Pope Francis denounces ‘invasion’ rhetoric on migrants
Pope Francis denounces ‘invasion’ rhetoric on migrants
Politics World
blinx: New digital media hub for Middle East’s youth
blinx: New digital media hub for Middle East’s youth
Business
National Cancer Institute, Novartis Egypt host run to raise awareness on World Chronic Myeloid Leukemia Day
National Cancer Institute, Novartis Egypt host run to raise awareness on World Chronic Myeloid Leukemia Day
Culture
ADNOC Distribution launches first ADNOC service stations in Egypt
ADNOC Distribution launches first ADNOC service stations in Egypt
Business
Aa
Aa
DailynewsegyptDailynewsegypt
  • Home
  • Business
  • Politics
  • Interviews
  • Culture
  • Opinion
  • Sports
  • Lifestyle
  • Home
  • Business
  • Politics
  • Interviews
  • Culture
  • Opinion
  • Sports
  • Lifestyle
Have an existing account? Sign In
Follow US
  • Advertise
© 2023 DNE News. All Rights Reserved.
Dailynewsegypt > Blog > Business > Banking > Banque du Caire aims to inject EGP 2bn into SMEs during 2016: Chairperson
BankingBusinessInterviews

Banque du Caire aims to inject EGP 2bn into SMEs during 2016: Chairperson

Hossam Mounir
Last updated: 2016/03/19 at 6:39 PM
By Hossam Mounir 5 Min Read
Share
Mounir El-Zahed CEO and Chairman of Banque du Caire (Photo courtesy of Banque du Caire)
SHARE

Banque du Caire Chairperson and CEO Mounir El-Zahid said his bank aims to inject EGP 2bn into small and medium enterprises (SMEs) during 2016.

El-Zahid explained that the bank has been supporting these projects for more than 10 years, and the loans directed to them constitute 5% of the bank’s loans portfolio.

He added that the bank recently put into place the final structure of the sector in charge of financing these projects, and created a risk unit that began operating at the beginning of 2016.

What is the size of the SMEs loans portfolio at the bank?

SMEs outstanding finance amounts to approximately EGP 1.4bn, while total funds granted by the bank to these projects recorded EGP 7bn in recent years.

Those funds have contributed to providing roughly 700,000 job opportunities.

What is the ratio of SMEs loans out of the bank’s loans portfolio?

The total loans directed to SMEs constitute 5% out of the bank’s loans portfolio.

What is the target for 2016?

The bank aims to inject EGP 2bn as new funds into the SMEs sector in 2016.

How will the bank reach the 20% minimum rate that the Central Bank of Egypt (CBE) obliges banks to grant to SMEs out of the bank’s total loans portfolio in the next four years?

Banque du Caire has been working for more than 10 years to provide financing for SMEs, and the bank is committed to creating specialised products for these projects. The bank hopes to apply an integrated programme to facilitate the availability of financing opportunities for these projects and institutions, aligning with the CBE initiative to support SMEs, which contributes to pushing the wheel of production.

SMEs are a priority for the bank’s expansionist policy, which qualifies SMEs to be at the forefront of the banking sector.

The bank has taken several steps in this regard, based on a study of the needs and requirements of this vital sector, along with selecting qualified human resources and training them in the credit field in accordance with international standards.

How do you view the importance of the unified definition the CBE has created for these projects?

The CBE has created a unified definition of SMEs which provides complete and accurate data about the sector, contributing to increasing the size of the provided funds and facilities to them.

Does the bank have a specialised department to serve this sector?

The bank has established a department to finance SMEs, aligning with the bank’s policy to support financing these projects.

The bank recently put in place the final structure of this department, as well as establishing a SMEs risks unit.

This unit began working at the beginning of 2016, to implement the foundations for funding this sector, which differs from major corporate financing.

The bank has introduced and developed a credit competence evaluation system for the sector’s clients, so that the bank will be able to continue developing the SMEs’ finance portfolio.

Does the bank finance micro-enterprises?

Banque Du Caire has been financing micro-enterprises for more than 13 years. The bank has provided more than 100,000 job opportunities for young people and has created sustainable productivity projects.

Total loans granted to micro-enterprises were about EGP 1.3bn by the end of December 2015, and there was an 18% growth rate and 45% market share in the previous year.

What is your assessment of the initiative launched by the CBE for serving this sector?

The CBE initiative to finance SMEs is a successful step toward integrating the informal sector into a formal one, which supports national economic growth opportunities.

It is expected that the initiative will contribute to achieving financial inclusion by injecting new funds into the economy in an unprecedented manner, thus contributing to an increase in national income and the creation of more job opportunities for young people.

I’d like to point out that the cost of creating a business opportunity in SMEs has reached up to EGP 25,000, compared with EGP 150,000 in large projects. It is also faster to create business opportunities in SMEs than larger projects.

SMEs must be linked to major projects to supply them with goods and intermediate inputs. SMEs can serve as feeder industries for major projects, thus increasing these projects’ exports and raising their competitiveness.

You Might Also Like

blinx: New digital media hub for Middle East’s youth

ADNOC Distribution launches first ADNOC service stations in Egypt

Banks’ financial position grows to EGP 13.798trn in 1H 2023, CBE reports

Shell, KUFPEC partner to explore Egypt’s Mediterranean Block 3

Food Export Council holds symposium on challenges of food exports to EU, US

TAGGED: Banque Du Caire, Mounir El-Zahid, SMEs
Share this Article
Facebook Twitter Email Print
Previous Article Shoukry insists reopened NGO case an internal issue following Kerry’s remarks
Next Article The Kafrawy Shacks area of Ramlet Boulaq overlooked by Nile Towers Hassan Ibrahim Maspero Triangle residents fear home demolition amid unclear official position
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Ad image
Ad image

Stay Connected

Facebook Like
Twitter Follow
Instagram Follow
Youtube Subscribe

Latest News

Egypt, India affirm their strategic partnership, discuss regional issues
Egypt, India affirm their strategic partnership, discuss regional issues
Politics Egypt
Pope Francis denounces ‘invasion’ rhetoric on migrants
Pope Francis denounces ‘invasion’ rhetoric on migrants
Politics World
blinx: New digital media hub for Middle East’s youth
blinx: New digital media hub for Middle East’s youth
Business
National Cancer Institute, Novartis Egypt host run to raise awareness on World Chronic Myeloid Leukemia Day
National Cancer Institute, Novartis Egypt host run to raise awareness on World Chronic Myeloid Leukemia Day
Culture
//
Egypt’s only independent daily newspaper in English. Discuss the country’s latest with the paper’s reporters, editors, and other readers.

Quick Link

  • Home
  • Business
  • Politics
  • Interviews
  • Culture
  • Opinion
  • Sports
  • Lifestyle

Sign Up for Our Newsletter

Subscribe to our newsletter to get our newest articles instantly!

© 2023 DNE News. All Rights Reserved.

Join Us!

Subscribe to our newsletter and never miss our latest news, podcasts etc..

Zero spam, Unsubscribe at any time.

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?