Flat6Labs, Misr Entrepreneurship, and the Ministry of Investment and Interntional Cooperation intend to invest some EGP 10m in emerging companies during the coming period.
Minister of Investment and International Cooperation Sahar Nasr signed on Tuesday an agreement with the founder of Flat6Labs, Ahmed El-Alfy, and the chairperson of Misr Entrepreneurship, Shehab Merzban, with the aim of encouraging the private sector’s investments in Egypt by encouraging innovation and supporting young entrepreneurs in their projects, which aims at empowering young people and providing employment opportunities for youth in all governorates in order to achieve economic growth and increase capital.
She noted that the ministry aims to help the young investor and emerging projects, in light of the Ministry’s keenness to provide equal opportunities for all investors, major and small, and provide technical support and funds to them.
The minister pointed out that the investment law provided for supporting youth projects, highlighting the ministry’s keenness to support young people who represent about 50% of the population of Egypt and stressing that there is a priority to support the emerging projects for young people, under a legislative framework that facilitates procedures for small investors.
Moreover, Nasr said that the ministry also targets supporting entrepreneurs to develop their skills and provide an environment conducive to the success of their projects, helping them choose the right job market for them, improving their business models and increasing the startup companies, and providing the necessary resources in terms of providing administrative support and legal advice.
She explained that this agreement comes in cooperation with the International Finance Corporation (IFC), which provides funding up to $2m to Flat6Labs, as well as the Egyptian American Fund for Entrepreneurship. Flat6Labs has investments in some 100 Egyptian startups.
The minister pointed out that a booth has been allocated to entrepreneurs at the Investors Service Center, pointing out that financing alone will not be enough to support the small investor, so will work to provide training and skills development.
Merzban said that the capital of the company is now at EGP 451m, noting that there are negotiations with development partners to reach a capital of EGP 1bn.
El-Alfy said that the agreement is an important step forward for entrepreneurs and emerging businesses in Egypt.