• EFSA issues a Report on microfinance activity for the first half of 2017
• Sherif Samy: microfinance balances was 5 billion EGP by the end of the first half of 2017
• Microfinance witnessed an increase by the end of the first half of 2017
• Women represent 70% of microfinance beneficiaries in Egypt
• Sherif Samy: 2 million citizens benefited from microfinance through 787 associations and companies
• 1500 outlets for NGOs and companies to provide microfinance services in Egypt
Sherif Samy- EFSA’s Chairman revealed that microfinance activity continued to grow during the first half of 2017, representing a rise of 23% in the value of financing balances which were amounted to5.5 billion pounds by the end of June, compared to 4.48 billion pounds by the end of December 2016. Microfinance semi-annual report which is published by the Authority today shows an increase in the number of beneficiaries by 10% by the end of June reaching 2 million beneficiaries and 1.8 million beneficiaries at the beginning of the year.
The report pointed out that during the first half of the year, financing balances for females was amounted to 52.4% representing 70.3% of the total number of beneficiaries of microfinance provided by associations, NGOs and companies.
Sherif Samy noted that microfinance includes two forms, one of which is personal loans representing 72% of the total financing balances by the end of the first quarter of the year and Crowd-funding represents 28%. One may notice that Crowd-funding witnessed quick growth than personal loans.
By the end of June 2017, the share of associations and NGOs from the microfinance market reached about 70% in terms of stocks compared to 30% for companies. In terms of beneficiaries, 80% were for NGOs and 20% for companies.
He explained that by analyzing the activity according to the purpose of financing, portfolio of commercial activities represented 61.5% and service activity about 18%, while the agricultural activity was 13% and finally the productive and crafts activity was 7.4%.
Sherif Samy revealed that the number of entities which obtained the license to practice microfinance reached 787 serving its customers through 1500 headquarters and branches in various governorates of the Republic.
Sherif Samy revealed that the Authority keens to publish microfinance quarterly report in order to follow up the development of this activity .He pointed out that EFSA launches last week the first interactive digital map for microfinance which shows the entities that are licensed to practice microfinance activity from companies, associations and civil institutions in various governorates and at the level of centers in each governorate. The map identifies branches of these entities, their addresses, number of clients and financing value in each governorate and center. He added that interested people can view the map through the internet.
EFSA’s Chairman stressed that the Authority seeks to achieve financial inclusion through introducing financial products and services targeting low incomes and other financially marginalized categories which did not benefit from dealing with banks and other insurance or financing entities.
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