Commercial International Bank – Egypt (CIB) has successfully completed the first EGP 1.383bn securitisation issuance for Capital Securitization Company on behalf of the Micro, Small and Medium Enterprises Development Agency (MSMEDA), the bank announced.
The transaction marks the inaugural issuance of a three-year securitisation programme with a total value of EGP 5bn.
The issuance is divided into two tranches. The first tranche, valued at EGP 987.6m with a 12-month maturity, received a P1 credit rating from the Middle East Rating & Investors Service (MERIS). The second tranche, worth EGP 395.6m with a 19-month maturity, was assigned an A credit rating, based on the strength of the underlying portfolio, comprehensive guarantees, and credit enhancements provided to bondholders.
CIB undertook multiple key roles in the transaction, acting as the arranger, general coordinator, issuance manager, underwriter, subscription receiver, and custodian. The bank noted that the issuance received wide investor demand, reflecting confidence in the issuing agency and the transaction’s financial structure.
Amr El-Ganainy, Deputy CEO and Executive Board Member of CIB, described the inaugural issuance for MSMEDA—a leading government body in the sector—as a “historic breakthrough.” He affirmed that the collaboration will continue to solidify a sustainable partnership to lead further issuances, reflecting market confidence in both the agency and the bank.
El-Ganainy added that the issuance aligns with CIB’s strategy to provide financing solutions that enhance market growth and support vital sectors, primarily SMEs, which serve as a critical engine for sustainable economic development.
MSMEDA Chief Executive Mostafa Ismail Hassan confirmed that the agency, as part of implementing its new 2025-2031 financial sustainability strategy, succeeded in its first securitisation of a portion of its project finance portfolio. The operation aims to provide sustainable funding liquidity to expand financing for micro and small enterprises and reach a larger number of entrepreneurs across various governorates.
Hassan added that the move aligns with the agency’s action plan to adopt innovative financing tools that match best financial practices, contributing to the diversification of funding sources and ensuring the sustainability of resources needed to support economic development and create job opportunities.
CIB participated in the subscription alongside the Egyptian Gulf Bank and CIAM. Matouk Bassiouny & Hennawy acted as the legal advisor for the transaction, while Baker Tilly served as the certified financial auditor.
