In a bold step toward digital transformation and financial inclusion, Irada Microfinance plans to open 100 new branches across Egypt in 2026, leveraging its strategic partnership with e& Egypt instead of adopting the traditional brick-and-mortar model, according to Mohamed Hamed, CEO of Irada’s Microfinance Division.
Speaking to Al Borsa, Hamed explained that the initiative aligns with Irada’s broader vision of expanding financial access via tech-integrated solutions, aiming to cut costs and enhance accessibility for underserved communities, particularly in remote and rural areas.
Aggressive Lending Target for 2025
Irada is also setting an ambitious goal to disburse EGP 1.5 billion in microloans before the end of 2025, bolstering its position as a major player in Egypt’s growing microfinance sector. This comes as the company continues to scale its new lending products, chief among them the “Irada Masreya” (Egyptian Will) product, tailored specifically for female entrepreneurs.
Launched in Q2 2025, Irada Masreya has already built a portfolio worth EGP 28 million, with plans to close the year at EGP 60 million. Hamed noted that women account for 48% to 49% of Irada’s 50,000 active clients, and they demonstrate lower default rates compared to their male counterparts—underscoring the reliability and potential of women-led microbusinesses.
Launching Sharia-Compliant Financing in October
Irada is set to further diversify its offerings with the launch of a new Islamic finance product in October 2025, targeting an initial portfolio of EGP 35 million by year-end. This move follows the company’s receipt of official Sharia-compliant financing certification from Egypt’s Financial Regulatory Authority (FRA).
The product will be based on Murabaha and investment-based structures, providing an ethical alternative to interest-based lending and catering to the significant demand for Islamic financial services in Egypt.
Strategic Expansion Tied to Branch Rollout
Irada’s 2026 performance will largely depend on the rollout of its new branches, especially in underserved governorates. “More branches mean more reach, and that translates to a larger managed loan portfolio,” Hamed emphasized.
By integrating with e& Egypt’s retail footprint, Irada aims to significantly lower its operational overhead, while also tapping into digital and mobile-first customer segments, a key demographic for scaling microfinance efficiently.
Capital Structure and Shareholding
Irada Microfinance is backed by a strong capital foundation, with a registered capital of EGP 180 million. The company’s ownership is split among major stakeholders:
- e& Egypt holds a 65% majority stake,
- The Sovereign Fund of Egypt (TSFE) owns 25%, and
- CEO Amr Abou El Azm retains the remaining 10%.
This diversified ownership structure blends private-sector agility with sovereign backing, giving Irada both the financial muscle and institutional credibility to scale nationwide.
Driving Financial Inclusion Through Fintech
The company’s strategic roadmap reflects a commitment to empowering micro-entrepreneurs and SMEs with flexible, tech-enabled financial tools. Irada’s push into Islamic finance and women-centric products illustrates a customer-centric innovation approach, vital for deepening financial penetration in Egypt.
By offering tailored solutions, embracing fintech, and leveraging synergistic partnerships, Irada aims to contribute to sustainable job creation and inclusive economic development in alignment with Egypt’s Vision 2030.
