EBank gets EBRD $25m loan to support SMEs
Export Development Bank of Egypt (EBank) has secured $25 million (€23.2 million) in loan from the European Bank for Reconstruction and Development (EBRD), EBRD said in a statement on Wednesday.
The financing, the second provided to the Ebank, aims at supporting small and medium-sized enterprises (SMEs) and private enterprises in Egypt.
It will focus on Egyptian exporting SMEs, helping EBank to expand its services to new small business clients locally and regionally, the statement said.
In addition, the loan will also help to increase the availability of financing and foster the competitiveness of Egyptian SMEs and financial institutions by enabling innovation in strategy, products, processes, and marketing related to private-enterprise lending.
The facility will be complemented by a technical cooperation package funded by the European bank’s southern and eastern Mediterranean (SEMED) multi-donor account, which is geared towards SME sub-borrowers specialised in the exporting of goods.
“The technical cooperation aligns with EBank’s strategy and will assist in developing a comprehensive value proposition that is market driven and guided by analysis of the varied needs of exporters. This includes tailored lending facilities that address exporters’ financing needs, both pre and post shipping.”
Through the EBRD’s Advice for Small Businesses programme, Ebank will provide:
- training sessions and seminars to its SME clients and
- access to various knowledge channels tailored towards small exporters who lack the financial knowledge of the applicable rules and regulations specific to exporting goods and services.
“The new financing channels to SMEs, with a focus on small exporters in Egypt, will play an important role in supporting the country’s economy, increase the influx of much-needed foreign currency and further encourage investment.”
