Industrial Development bank approves 1.1 bln pounds for SMEs

Industrial Development & Workers Bank of Egypt has approved funds of 1.1 billion Egyptian pounds as part of Central Bank of Egypt initiative for SMES with interest rate of 5 percent, The Vice-Chairman Hamdy Azzam said

In January 2016, Egypt’s central bank launched an initiative to finance SMEs, and obliged banks to provide a minimum of 20 percent of their total loans portfolio to this sector within four years.

The initiative aims at fighting unemployment, increasing the gross domestic product (GDP), and achieving sustainable development.

Azzam added that the SMEs portfolio has recorded 2.6 pounds by the end of June 2018, adding that the bank aims to reach funds between 3 billion and 3.5 billion pounds by the end of 2018.

On the other hand, the bank has achieved a growth  in the micro-finance portfolio to record 1.050 pounds.

The bank made a net profit of 140 million pounds during the first half of 2018, compared with a profit of 500 million pounds in 2017.