EFG Finance secures FRA licence for new NBFI subsidiary

Daily News Egypt
3 Min Read

EFG Finance, a subsidiary of EFG Holding specializing in non-bank financial services, has announced the acquisition of a licence from the Financial Regulatory Authority (FRA). This licence will enable the launch of a new subsidiary dedicated to providing bespoke financial services for small and medium enterprises (SMEs). The launch is scheduled for the upcoming second quarter.

This initiative aims to fill a niche in EFG Finance’s product range, targeting the segment between micro-enterprises served by Tanmeyah and larger corporations catered to by EFG Corp-Solutions. The focus will be on custom financing solutions to support SMEs throughout their development.

Karim Awad, Group CEO of EFG Holding, expressed enthusiasm about the new licence: “We’re excited to expand the EFG Holding portfolio with this new subsidiary. Our commitment to offering a diverse array of financial products ensures that we meet the needs of clients of all sizes and financial standings. We strive to create innovative financial solutions that drive economic growth, empower our clients, and provide solid returns for our shareholders.”

With the introduction of this subsidiary, EFG Finance will offer SMEs easily accessible, scalable financial products and services through multiple channels, enhanced by digital technology. The platform will focus on expanding its clientele and enhancing user experience, backed by a thorough evaluation of each customer’s risk profile and growth potential.

Aladdin ElAfifi, CEO of EFG Finance, remarked on the development: “The upcoming launch of our SME-focused business underscores our dedication to fostering the Egyptian economy’s growth and prosperity. The new licence marks the beginning of a specialized platform that will address the distinct financial needs of SMEs in Egypt. EFG Finance acknowledges the crucial role of SMEs in economic advancement and job creation. Our new company will provide innovative financial solutions, utilizing advanced technology and our extensive industry expertise.”

EFG Finance is recognized as Egypt’s rapidly expanding NBFI platform and a catalyst for financial inclusion. The platform hosts a variety of brands, including Valu, the leading financial technology entity in MENA, microfinance provider Tanmeyah, leasing and factoring service EFG Corp-Solutions, mortgage financier Bedaya, insurer Kaf, and digital payment service PayTabs Egypt.

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