Egypt : Enhancing Access to Finance for Micro and Small Enterprises

This operation provides a $300m line of credit (Financial Intermediary Loan) through Egypt's Social Fund for Development (SFD), the apex body for micro and small enterprise finance, which would on-lend on commercial terms to eligible Non Governmental Organizations (NGOs), potential microfinance institutions (MFIs), and banks. The project objective is to increase micro and small enterprise credit sustainably and broaden the outreach of finance through innovative delivery mechanisms and financial products. It plans to contribute to a sustainable improvement in inclusive access to finance for micro and small enterprises on a commercial basis. The Project went to the Board in March 2010 and is planned to be completed at the end of 2015. This note is based on the Project Appraisal Document (PAD). The project is well underway as of the date of this note but it is too early for any implementation lessons to be collected. Overall, lack of access to finance has been a major factor constraining the growth of micro and small enterprises (MSEs) in Egypt. Microenterprise lending in Egypt is supported by a fragmented set of hundreds of NGOs distinct from the mainstream financial sector. SFD finances 390 NGOs that are on-lending to microenterprises, many of which are small in scale.

Bibliographic Details

Main Author:	Nasr, Sahar
Language:	English
Published:	World Bank, Washington, DC 2011-09
Subjects:	ACCESS TO CREDIT, ACCESS TO FINANCE, ACCOUNTABILITY, ACCOUNTING, ADMINISTRATIVE COSTS, ADVANCED TECHNOLOGY, AGRICULTURAL CREDIT, ALLOCATION OF FUNDS, APEX INSTITUTIONS, BANK LENDING, BANK LINKAGES, BANKS, BORROWING, BRANCH, BRANCH INFRASTRUCTURE, BRANCH NETWORK, BRANCH NETWORKS, BRANCHES, BUSINESS DEVELOPMENT, BUSINESS DEVELOPMENT SERVICES, BUSINESS OWNERS, BUSINESS PLAN, CAPACITY BUILDING, CAPITAL FINANCE, COLLATERAL, COLLATERAL REGISTRY, COMMERCIAL TERMS, CORPORATIONS, COUNSEL, CREDIT BUREAU, CREDIT INFORMATION, CREDIT LINE, CREDIT SCORING, DEGREE OF RISK, DEPOSIT, DEPOSITS, DEVELOPING COUNTRIES, DEVELOPMENT BANK, DONOR FUNDS, ECONOMIC DEVELOPMENT, ELIGIBILITY CRITERIA, ENTERPRISE CREDIT, ENTERPRISE GROWTH, EXPANSION, EXTERNAL FINANCING, FINANCE COMPANIES, FINANCE INSTITUTION, FINANCES, FINANCIAL CRISIS, FINANCIAL INFRASTRUCTURE, FINANCIAL INSTITUTIONS, FINANCIAL INTERMEDIARY, FINANCIAL PRODUCTS, FINANCIAL RESTRUCTURING, FINANCIAL STATEMENTS, FINANCIAL SUSTAINABILITY, FINANCIAL SYSTEMS, FIRM SIZE, FIRMS, FOREIGN CAPITAL, GENDER, INFORMATION SYSTEMS, INSTITUTIONAL CAPACITY, INTERNATIONAL BANK, INTERNATIONAL DEVELOPMENT, INVESTMENT CAPITAL, INVESTMENT CLIMATE, INVESTMENT FINANCE, INVESTMENT LOAN, LACK OF ACCESS, LENDER, LENDERS, LENDING AGREEMENTS, LENDING POLICIES, LEVY, LINE OF CREDIT, LINES OF CREDIT, LOAN, LOAN ANALYSIS, LOAN APPLICATION, LOAN-TO-DEPOSIT RATIO, MAINSTREAMING GENDER, MANAGEMENT INFORMATION SYSTEMS, MFI, MFIS, MICROENTERPRISES, MICROFINANCE, MICROFINANCE INDUSTRY, MICROFINANCE INSTITUTIONS, MICROFINANCE MARKET, MICROFINANCE REGULATION, MICROFINANCE SECTOR, MOBILE PHONE, MOVEABLE COLLATERAL, OUTREACH, OVERDRAFT, OVERDRAFT FACILITIES, OVERDRAFT FACILITY, POST OFFICE, PRIVATE BANKS, PRIVATE CREDIT, PRIVATE CREDIT BUREAU, PROVISION OF CREDIT, REGULATORY FRAMEWORK, REGULATORY REFORMS, REGULATORY SYSTEM, RISK AVERSION, SMALL ENTERPRISE, SMALL ENTERPRISE FINANCE, SMALL ENTERPRISES, SMALL FIRMS, SOCIAL FUND, SPECIALIZED BANKS, TECHNICAL ASSISTANCE, TECHNICAL SUPPORT, WHOLESALE FUNDING, WORKING CAPITAL,
Online Access:	http://documents.worldbank.org/curated/en/2011/09/15039740/egypt-enhancing-access-finance-micro-small-enterprises https://hdl.handle.net/10986/10865
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