The Central Bank of Egypt (CBE) announced, on Monday, that the loan and facilities granted to micro, small, and medium enterprises (MSMEs) have increased by EGP 201.7bn during the period between December 2015 and June 2020.
The CBE also revealed that the funding went to a total of 1.016m projects during this time period.
In a report published on Monday, the CBE said the volume of financing granted to small projects during the period amounted to EGP 111.4bn which was provided to 113,968 projects. At the same time, a total of EGP 65bn in financing was granted to 7,984 medium enterprises across the country.
The report noted that the total volume of financing provided to micro-projects during the period from December 2015 to June 2020 amounted to EGP 25.3bn, which was granted to 939,294 projects.
The CBE said that the focus in directing financing was not limited to a specific category of larger companies, but rather included all small and micro-enterprise activities, in addition to medium-sized enterprises. This had the greatest impact on providing job opportunities and reducing unemployment rates during the given time period.
It also said that Egypt’s service sector acquired the largest percentage of funds granted, amounting to EGP 73.6bn, or a rate of 36.5%. This was followed by the industrial sector, which received a funding value of EGP 67.1bn, or a rate of 33.3%, and the commercial sector with a volume of funds amounting to EGP 38.3bn, accounting for 19% of total funding. Of the volume of granted financing, the share of the agricultural sector stood at 11.2%, receiving EGP 22.7bn.
According to the geographical distribution of funds granted to MSMEs, the CBE said that Cairo took the lion’s share, at a rate of 31.4% amounting to EGP 63.4bn.
Giza governorate came in second place at a rate of 15.5%, receiving EGP 31bn, then Alexandria with EGP 13.3bn or 6.6%.
The CBE report indicated that Sharqeya governorate came in fourth place with a value of EGP 11.2bn, holding 5.5%, then Daqahleya governorate, with a value of EGP 10.5bn or 4.4%, and Assiut Governorate with EGP 8.8bn, accounting for 4.1%.
Menoufia governorate’s share amounted to about EGP 8.2bn, at a rate of 3.5%, the Gharbeya governorate with EGP 7.1bn, or 3.5%. Minya governorate received a value of EGP 6bn, at 3%, Sohag governorate was granted EGP 5.9bn accounting for 2.9%, then the rest of Egypt’s governorates acquired EGP 36.1bn, a rate of 17.9%.