SFD To Launch New Murabaha Product

The Social Fund for Development (SFD) targets to launch a new sharia-compliant Murabaha product, said Nevine Gamea, Head of SME Development Department at SFD.

SFD signed a Musharaka contract worth EGP 200 million with Al Baraka Bank Egypt as each will provide EGP 100 million, but SFD will receive such finance from the World Bank.

SFD also plans to sign a second Musharaka contract worth EGP 150 million with the National Bank of Egypt (NBE). Gamea revealed SFD’s strategy which targets increasing the volume of SME finance portfolio by EGP 1.2 billion to reach EGP 4.5 billion by the end of 2012.

SFD aims at expanding in financing micro-enterprises by adding EGP 600 million to the portfolio before the end of 2012.