Mostafa Hassan, CEO of the Micro, Small and Medium Enterprise Development Agency (MSMEDA), said the agency is working to strengthen its mechanisms as a key catalyst for the growth and development of the enterprise sector during the coming period by providing an integrated package of financing, technical support, youth training, and capacity-building programmes to help businesses expand and adapt to economic changes. Hassan said MSMEDA aims to increase the size of its financing portfolio for micro, small, and medium-sized enterprises (MSMEs), as part of the agency’s role in supporting the sector and strengthening its contribution to comprehensive economic development, with a particular focus on industrial and productive activities. His remarks came during a meeting organised by the Egyptian Businessmen’s Association’s MSME Committee with the MSMEDA CEO to discuss ways to support the private sector in complying with environmental requirements and international standards, promote feeder industries and supply chains, and explore mechanisms to help businesses transition from the informal to the formal sector. During the meeting, MSMEDA presented its new strategy for supporting and developing the MSME sector and strengthening its competitiveness. Participants also discussed mechanisms for expanding financing and non-financial services and providing greater support to businesses, particularly in marketing, exports, and digitalisation. Hassan said the agency’s strategy aims to strengthen businesses’ ability to grow and expand, support entrepreneurs in implementing their ideas, and help companies access foreign markets and obtain international quality certifications. These efforts, he said, would enhance their competitiveness and increase their contribution to the national economy. He added that MSMEDA will focus during the coming period on providing tailored technical support to individual companies based on their specific needs, helping them expand and improve operational efficiency, while preparing companies for export and assisting them in obtaining international quality certifications. Hassan said the agency is also focusing on implementing a data-driven system to connect businesses domestically, while providing low-cost local digital solutions through the use of artificial intelligence technologies to help companies improve their operations and increase efficiency. Mohamed Medhat, Deputy CEO of MSMEDA, said industrial projects had received around 40% of the total financing recently provided by the agency, in line with the state’s strategy to empower locally manufactured products. Medhat said the agency had successfully obtained licences for around 2,500 companies and brought them into the formal sector within a short period, enabling them to benefit from incentives stipulated under Law No. 152, including tax exemptions and reductions. He added that MSMEDA is currently developing its financial and non-financial tools to strengthen MSMEs’ ability to expand, improve their competitiveness, and become more fully integrated into the formal economy. The meeting covered several areas, foremost among them ways to support the private sector in complying with environmental requirements and international standards, as well as the cooperation protocol between MSMEDA and the Industrial Modernisation Centre to promote feeder industries and supply chains. Participants also discussed mechanisms for coordinating with business organisations to create new investment opportunities for feeder industries, as well as ways to facilitate the transition from the informal to the formal sector through a range of incentives and facilitation measures. The meeting further addressed the impact of this transition on the national economy and the role of MSMEDA in creating an environment that enables businesses to formalise their activities, access financing and support programmes, and expand their contribution to economic development.
