Cairo - Mubasher: The European Bank for Reconstruction and Development (EBRD) is collaborating with Alex Bank to support the development of small businesses and trade activities in Egypt with a $ 100 million financing package.
A $ 50 million credit line will be used for on-lending to local small and medium-sized enterprises (SMEs), which are the backbone of Egypt’s economy.
Although SMEs account for over 90% of all firms in Egypt and provide the majority of jobs, their access to finance remains limited.
In addition, the EBRD is extending a further $50 million to Alex Bank under its Trade Facilitation Program (TFP).
Alex Bank will benefit from trade facilities and guarantee issuance in favor of international counterparties to cover payment risks. In addition, the TFP line will be available to fund trade-related financing for local companies for pre-export, post-import of goods.
The EBRD has invested close to €2 billion in Egypt through 36 projects since the start of its activities in the country at the end of 2012.
