Tanmeyah, a subsidiary of EFG Holding, has announced a strategic partnership with the Micro, Small, and Medium Enterprise Development Agency (MSMEDA) for microenterprise financing. The contractual agreement is valued at EGP 200 million. This step reflects Tanmeyah’s commitment to promoting financial inclusion and delivering crucial financial services in line with government initiatives.
The agreement was signed by the Director of the Micro Finance Central Sector at MSMEDA, Nevine Badr El Din, and the CEO and MD of Tanmeyah, Jinu Johnson. This collaboration aims to empower approximately 10,000 micro-enterprises to expand their operations, with individual loans reaching up to EGP 220,000.
The partnership aims to support various types of small businesses, including production, sales, services, crafts, and traditional activities, in different villages and districts. Special attention will be given to communities in Upper Egypt and the Delta region, to improve their quality of life.
Dr. Bassel Rahmy, CEO of MSMEDA, emphasized the agreement’s significance in implementing the government’s plans to upgrade the micro-enterprise sector. The first contract aims to encourage informal micro-enterprises to transition into the formal sector under Law 152/2020. This transition will enable them to increase their turnover and eventually grow into small and medium-sized businesses.
Rahmy, further, explained that the second contract will target young men and women, particularly women heading households, to assist them in establishing start-ups or expanding existing micro-businesses. The goal is to meet the diverse needs of local markets. Both contracts combined will provide financing to approximately four thousand beneficiaries, enhancing the competitiveness of micro-businesses nationwide.
CEO of EFG Finance, Aladdin ElAfifi, emphasized the crucial role of strategic partnerships in driving inclusive economic growth. He stated that this collaboration aimed to empower micro-enterprises not only through financial assistance but also by providing the necessary support and resources for their success. They believe in the transformative power of entrepreneurship to drive socioeconomic development and create lasting impact in communities across Egypt.
Tanmeyah CEO and MD, Jinu Johnson, expressed enthusiasm for the partnership’s impact. He highlighted their shared commitment to fostering economic growth and financial inclusion in Egypt. Through strategic financing, they aim to unlock the potential of entrepreneurs, creating a ripple effect that positively influences communities and contributes to the broader socio-economic development of the nation.
This partnership between MSMEDA and Tanmeyah represents a significant step towards realizing the government’s vision for financial inclusion. Tanmeyah remains dedicated to its core mission of providing financial services to those traditionally excluded from mainstream banking. Their focus extends beyond small businesses to include individuals with lower incomes, with a particular emphasis on women and youth.
