Emirates NBD bank set up specialized financing unit for SMEs

Middle East’s largest bank by assets, Emirates NBD has announced the establishment of a specialized unit for financing small- and medium-sized enterprises as it seeks to implement the Central Bank of Egypt requirements even as it eyes expansion.

SMEs are one of the most important sectors that contribute to advancing economic development, said deputy managing director and chief risk officer of Emirates NBD-Egypt Sahar El Damati.

These projects allow the bank to expand in funding this area, and a unit will be launched to finance these projects in accordance with the CBE, she added.

Frederic de Melker, head of retail banking and wealth management at Emirates NBD-Egypt, said that since the bank entered the Egyptian market in June 2013 after acquiring BNP Paribas, it has worked to meet the needs of its clients from all segments, both individuals and companies.

He pointed out that launching a business banking unit represents the importance of such projects in supporting the economy.

Hany El-Shamy, head of the small enterprise sector at Emirates NBD-Egypt, confirmed that the new unit works to facilitate the procedures of financing SME projects easily and quickly.

It also provides tips necessary for the success of these projects, which helps to increase the bank’s customer base, according to El-Shamy.

He added that the bank implemented a strategy during the second half of 2016 to expand in the financing of SMEs. This sector has been developed and credit policies, procedures, and internal systems have been updated to fit these projects by launching a plan to increase loans directed to small projects to 10 per cent of the total loan portfolio by the end of 2017 in preparation to be doubled to 20 per cent in accordance with the instructions of the CBE.

Source: Africa Business Communities