QNB captures 45.74% of Q1 factoring activity in Egypt – report

Egypt’s Financial Supervisory Authority (EFSA) revealed in a recent report the biggest factoring companies in the country in terms of market share during first quarter of the year.

Factoring is a financial transaction in which a company sells its debt to a third party at a discount for immediate financing so that it can begin operations.

QNB ALAHLI Factoring Company, part of QNB AlAhli Bank, ranked first registering a market share of 45.74 percent at the end of last March, the report showed.

Egypt Factors has come in the second position, with around 26.51 percent market share.

Drive Finance, the financing arm of Ghabbour Auto Company, came third with a market share of 23.28 percent during the first quarter of the current year.

Tamweel Mortgage Finance, a subsidiary of Orascom Hotels and Development Group, was in the fourth place, having a market share of 2.41 percent.

Cairo Factors (CF) ranked fifth, registering a market share of 1.10 percent.

Export Credit Guarantee Company, which is a 70 percent owned by state-run Export Development Bank, ranked sixth having a market share of 0.61 percent.

Reaching the seventh position, Elmasreen for Factoring, a subsidiary of Bayt El Khebra Financial Solution (BEK Group), secured 0.33 percent market share.

More factoring firms will be joining the market soon having Plus Factors and EFG Hermes Factoring, a wholly-owned unit of EFG Hermes Holding Group, obtained the licence in July 2017 and March 2018, respectively.