Egypt’s Minister of Trade and Industry Nevine Gamea held a meeting with Ghada Al-Baili, Chairperson of the Industrial Development Bank (IDB), to discuss ways to maximise financing programmes provided by the bank to develop the industrial sector.
The IDB’s programmes are also aimed at contributing to the implementation of the government’s ambitious strategy to double Egyptian exports to various global markets.
Gamea said that financing is one of the most important elements affecting the implementation of the state’s plans for comprehensive and sustainable economic development.
She stressed her ministry’s keenness to maintain constant communication with the Central Bank of Egypt (CBE) in addition to banks working in the Egyptian market. This includes the IDB which she said is a pillar of the domestic banking system.
This will provide more financing mechanisms across Egypt’s industrial sector, to contribute to creating industrial entities capable of meeting local market needs and exporting to foreign markets.
The minister said the meeting dealt with the importance of the bank granting more financing mechanisms and programmes to investors at industrial complexes. This covers both complexes established by the ministry, or by the New Urban Communities Authorities (NUCA) and Governorates.
The programmes to help these investors establish and expand their projects will contribute to increasing rates of productivity in Egypt’s industrial sector, and create more job opportunities for Egyptian youth. It will also highlight the importance of the IDB’s participation in the initiative to replace and convert vehicles to work with clean energy, which was launched by President Abdel Fattah Al-Sisi earlier this month.
Gamea added that the development and promotion of exports is a major focus among the ministry’s objectives during the next stage. It requires the availability of easy financing programmes, to help exporting companies increase export rates.
The minister lauded the important role played by Egypt’s banking system in implementing the lump-sum payment of export subsidy dues with the Export Development Fund. The fund has paid about EGP 13.2bn as part of the initiative within only two months.
Gamea highlighted the importance of cooperation between the bank and businesses to present the financing programmes available to the industrial sector. This should focus particularly on financing small- and medium-sized enterprises (SMEs) in the areas of financing machinery and equipment, and financing working capital.
The minister hailed the fruitful and constructive cooperation between the IDB and the Micro, Small and Medium Enterprises Development Agency (MSMEDA), the latter of which falls under her ministry’s jurisdiction.
For her part, Al-Baili affirmed the IDB’s keenness to actively participate in the implementation of the state’s plans for establishing national projects. At the same time, the bank will take part in developing productive projects, auto industry initiatives, and the replacement of vehicles to work with clean energy.
She indicated that the bank is currently working to diversify its loan portfolio and expand financing programmes for all industrial and export sectors. These are foremost among the bank’s business plan priorities in the current stage, as they reflect the bank’s identity.
Al-Baili also confirmed the bank’s endeavour to provide excellent banking services to the business community through its branches located in most governorates in Egypt, especially the Upper Egypt region.
She highlighted the bank’s keenness to enhance cooperation with all investors, exporters, and businesses, to maximise the use of the bank’s financing capabilities in supporting the national industry.