Egyptian e-payment giant Fawry secures regulatory approval for SME financing

Ahram Online , Tuesday 8 Aug 2023

Egypt's leading e-payment solutions provider, Fawry, has announced that its subsidiary, Fawry Microfinance, has received preliminary approval from the Financial Regulatory Authority (FRA) to expand its services to include Small and Medium Enterprise (SME) financing, according to a bourse filing on Tuesday.

Microfinance activity. Fawry s website.
Microfinance activity. Fawry s website.


Fawry stated that its microfinance arm intends to enhance its offerings and scale up its operations following the launch of SME financing, scheduled for 2023. 

Ashraf Sabry, CEO of Fawry, emphasized the significance of this expansion. "Once officially launched, this latest addition to our service portfolio will enable us to tap into new, currently underserved segments of the population, once again highlighting Fawry's role as a pioneer of financial inclusion in Egypt," Sabry stated.

SMEs have been gaining increased attention in Egypt, reflecting broader efforts to empower the private sector and improve the business environment. The Central Bank of Egypt (CBE) has extended credit regulatory facilities for SMEs until the end of June 2024.

Furthermore, Prime Minister Moustafa Madbouly instructed to establish a permanent cabinet unit responsible for proposing policies, laws, and regulations that foster the growth and prosperity of startups in Egypt. 

In line with these efforts, the newly restructured Supreme Council for Investment in Egypt approved 22 decisions in May, aimed at encouraging foreign direct investments (FDIs) and private investments.

The approved decisions include proposals for legislative amendments to reduce the cost of establishing companies, simplify approval procedures and their duration, and expand the issuance of the Golden License.



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