Suez Canal Bank (SCB) has partnered with the International Finance Corporation (IFC) through a $50 million
financing package to enhance lending to micro, small, and medium-sized enterprises (MSMEs) in Egypt.
This strategic collaboration aims to stimulate economic growth, job creation, and reduce the financing gap
for women-owned businesses, particularly in under-served regions.
Key Highlights of the Partnership
IFC’s $50 million loan to Suez Canal Bank specifically targets MSMEs, which are crucial contributors to
Egypt’s economy, accounting for over one-third of the GDP and employing nearly 40 percent of the workforce.
A quarter of the loan is dedicated to supporting women entrepreneurs, addressing significant gender
disparities in MSME financing as women-owned businesses represent 20 percent of the MSME market in Egypt.
The partnership includes the development and adoption of an environmental and social management
system (ESMS) aligned with international standards, underscoring a commitment to sustainable banking practices.
The initiative aligns with Egypt’s broader economic goals to empower SMEs and promote inclusive growth,
especially in disadvantaged and vulnerable communities.
Suez Canal Bank’s Role in Egypt’s SME Sector
Suez Canal Bank continues to expand its role in supporting SMEs through innovative financial products and
partnerships.
Recently, the bank introduced new financing solutions targeting SMEs involved in commercial,
industrial, and sustainable energy sectors, aligning with governmental and Central Bank of Egypt policies
aimed at financial inclusion and sustainable economic development.
Addressing MSME Funding Constraints
MSMEs in Egypt, despite their critical economic role, face notable challenges in accessing
sufficient finance, limiting their growth potential.
The IFC-SCB collaboration intends to bridge this financing gap, enhance MSME resilience, and unlock
their full economic contributions.
The focus on gender inclusion is also a deliberate measure to close the financing gap faced by women entrepreneurs.
Green Transformation Commitment
SCB’s CEO, Akef El Maghraby, emphasized that this partnership marks a vital step in
the bank’s green transformation journey.
He stated that adhering to modern environmental standards is a necessity for institutions
operating in Egypt and the region, reflecting SCB’s commitment to sustainable finance principles.
Official Endorsement and Summit Signing
The signing ceremony took place at the Africa Financial Summit (AFIS), with participation from
key SCB leaders such as CEO Akef El Maghraby, Deputy Managing Director Shehab Zidan, and Head
of Financial Institutions Mahmoud Shehab El Din, alongside the IFC delegation.
