Banque Misr and the Micro, Small and Medium Enterprise Development Agency (MSMEDA) have signed a new EGP 500m financing agreement under the Tamkeen Microfinance 3 programme to support the expansion and development of micro enterprises across Egypt. The programme will provide financing to existing micro enterprises to help them expand their operations, create jobs, improve income levels, and increase the sector’s contribution to Egypt’s economic development. The agreement forms part of Banque Misr’s strategy to strengthen its role in supporting the micro, small and medium enterprise (MSME) sector, one of the main drivers of economic growth. It also aligns with MSMEDA’s efforts to expand cooperation with financial intermediaries operating in the Egyptian market to increase access to finance for productive and service-oriented enterprises nationwide. The agreement was signed by Hossam El Din Abdel Wahab, Deputy Chief Executive Officer of Banque Misr, and Bassel Rahmy, Chief Executive Officer of MSMEDA, in the presence of Mohamed Medhat, Deputy Chief Executive Officer of MSMEDA; Maged Abdallah, Head of the SME and Microfinance Sector at Banque Misr; and Nesma El Gharably, Head of MSMEDA’s Central Microfinance Sector. Under the agreement, MSMEDA will provide Banque Misr with EGP 500m to on-lend to eligible micro enterprise owners. The financing will be used to cover working capital requirements and fund the purchase of machinery and equipment needed for business expansion, helping enterprises increase production, improve competitiveness, and create both permanent and temporary employment opportunities. The programme also targets existing micro enterprises that obtain a tax card after the agreement’s signing. Financing for eligible beneficiaries will range from more than EGP 80,000 to EGP 400,000, with repayment periods of between 12 and 36 months. Speaking at the signing ceremony, Abdel Wahab said the Tamkeen 3 agreement builds on the successful partnership between Banque Misr and MSMEDA following the launch of Tamkeen 1 in 2021 with EGP 500m in financing and Tamkeen 2 in 2024 with EGP 300m. He reaffirmed Banque Misr’s commitment to its developmental role in supporting micro enterprise owners, enabling them to expand their businesses, create more employment opportunities, and improve the living standards of Egyptian families. Abdel Wahab added that the bank places significant importance on the MSME sector as one of the key pillars of sustainable economic development. He stressed that Banque Misr will continue to provide a wide range of financing solutions tailored to the needs of different customer segments, supporting financial inclusion and the integration of the informal economy into the formal sector in line with the directives of the Central Bank of Egypt and the state’s broader economic strategy. For his part, Rahmy reaffirmed MSMEDA’s commitment to strengthening cooperation with major banking and financial institutions, including Banque Misr, to support sustainable development, expand financing for micro enterprises, encourage self-employment, and help reduce unemployment. He said the Tamkeen Microfinance 3 agreement forms part of MSMEDA’s action plan under the Ministry of Finance’s initiative to integrate more businesses into the formal economy, enabling them to benefit from investment-supporting legislation, the simplified tax regime introduced under Law No. 6 of 2025, and the incentives and facilitation measures provided by the MSME Development Law No. 152 of 2020. Rahmy described Law No. 152 of 2020 as one of the most important legislative frameworks supporting Egypt’s MSME sector. He added that MSMEDA is currently coordinating with the House of Representatives on proposed amendments, including updating enterprise classifications and increasing turnover thresholds to better reflect the evolving needs of micro, small and medium-sized businesses. He also praised the partnership with Banque Misr, describing the agreement as further evidence of the bank’s pioneering role as the first financial institution to participate in the government’s initiative to help businesses transition into the formal economy. He added that the new financing programme is expected to benefit around 2,500 micro enterprises, supporting economic empowerment and advancing Egypt’s formalisation agenda. The post MSMEDA, Banque Misr sign EGP 500m financing deal to support micro enterprise expansion first appeared on Dailynewsegypt.
