Arab Finance: The Micro, Small, and Medium Enterprises Development Agency (MSMEDA) has provided EGP 300 million in financing to Al Ahli Capital for Microfinance (Tamkeen), according to a statement.

Basel Rahmy, CEO of the MSMEDA, and Karim Saada, Chairman of Tamkeen, signed the facility deal under the Ministry of Finance's initiative to integrate micro-enterprises into the formal sector, enabling them to benefit from the state's investment-friendly laws.

Rahmy emphasized that the new financing is part of the ongoing cooperation with the National Bank of Egypt (NBE) to drive support for the micro-enterprise sector.

He added that it aligns with MSMEDA's strategic plans to expand the network of microfinance companies working with the agency, increase the microfinance portfolio, and create more job opportunities for citizens across Egypt’s governorates.

The contract will encourage business owners to join the formal tax system to leverage all available advantages, open tax files for their activities, and increase employment opportunities and production.

The MSMEDA recently raised funding for projects in Sinai and expanded free entrepreneurship training programs as part of the country’s Sinai Liberation Day celebrations.

In March, the agency signed a contract with Aman Holding to provide EGP 300 million in financing to back SMEs across the country.