IFC, Attijariwafa Bank Egypt team up to boost SMEs, climate finance in Egypt

Updated 2/25/2025 8:10:00 AM

Arab Finance: International Finance Corporation (IFC) and Attijariwafa Bank Egypt (AWB Egypt) have partnered to strengthen the bank’s capital position and expand its support for small and medium-sized enterprises (SMEs) and climate finance in Egypt, as per an emailed press release.

IFC’s $20 million Tier 2 qualifying subordinated debt will enhance AWB Egypt’s capital base, increasing its ability to finance SME growth, with a particular focus on women-owned businesses.

The capital injection also provides the bank with greater financial flexibility to pursue strategic initiatives.

Additionally, IFC’s funding and technical assistance will help AWB Egypt expand its climate finance portfolio, particularly in energy efficiency and renewable energy projects.

This aligns with Egypt’s Climate Change Strategy (NCCS) and Attijariwafa Bank group’s broader sustainability goals.

Egypt has the largest micro and SME market in the Middle East and North Africa, with 6.4 million enterprises contributing over one-third of GDP and employing most of the private sector workforce.

However, these businesses face significant funding constraints that limit their growth.

The initiative aligns with the World Bank Group’s Country Partnership Framework (CPF) for Egypt, which aims to support private sector job creation and improve economic resilience.

It also supports the group’s gender strategy by working to close the gender gap in business financing.

Since launching operations in Egypt in 1975, IFC has invested and mobilized $9 billion in development projects and manages an advisory portfolio of $22 million.

Its private sector support in the country spans fintech, climate finance, manufacturing, infrastructure, renewable energy, healthcare, and gender-focused initiatives.