National Bank of Egypt SME Credit Line

Location:

Egypt

Project number:

44442

Business sector:

Financial institutions

Notice type:

Private

Environmental category:

FI

Approval date:

01 Oct 2013

Status:

Repaying

Project Description

The EBRD is considering a financing package of up to USD 80 million to the National Bank of Egypt.

The facility will comprise of (i) a senior loan of up to USD 30 million for on-lending to private small and medium-sized enterprises (“SMEs”); (ii) a USD 20 million pilot Women–in-Business facility (WiB) to support women-led SMEs; and (iii)a facility of up to USD 30 million for on-lending to private sub-borrowers for energy efficiency and renewable energy projects.

Transition Impact

The SME loan will increase the availability of finance to private SMEs supporting an increased number of SMEs - a largely underserved and important segment - gaining access to bank credit.

The ultimate goal of the WiB programme is to promote women’s entrepreneurship and more broadly, their participation in the economy. The WiB facility will pilot the first comprehensive programme of its kind in Egypt combining dedicated financing for women-led SMEs with technical assistance for capacity building to both the financial intermediary and end-borrowers.

The energy efficiency facility will pilot the first dedicated sustainable energy efficiency facility (‘SEFF’) in Egypt with a commercial bank leveraging EBRD’s successful track record in structuring and implementing similar facilities in the past ten years in other countries. Promoting sustainable energy investments by private companies is of particular relevance at present in the context of the current subsidy reforms in Egypt.

The Client

NBE is the largest commercial bank in Egypt wholly owned by the Government of Egypt. With total assets of EUR 45 billion, NBE has a market share of 21-27% by assets, loans and deposits.

EBRD Finance

SME Loan: up to USD 30 million.

Project Cost

Up to USD 80 million senior debt to be provided in USD.

Environmental Impact

Categorised FI. NBE will be required to comply with the EBRD's Performance Requirements 2 & 9 and the EBRD’s Environmental and Social Procedures for Small and Micro Loans and Environmental and Social Procedures for Corporate Loans. This will include adherence to the EBRD's Environmental and Social Exclusion Lists and submission of annual environmental and social reports to the Bank.

Technical Cooperation

The SME facility will benefit from a technical cooperation project aimed at transferring best practices, knowledge and skills in SME lending, with an estimated budget of EUR 700,000 funded by the EBRD’s SEMED Multi-Donor Account and EBRD’s SEMED cooperation funds account.

Company Contact

Abbas Chams
General Manager
International Loans

E-mail: AbbasChams@nbe.com.eg
Tel: + 202 25945312

 

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Project Complaint Mechanism (PCM)

The Project Complaint Mechanism (PCM) is the EBRD's accountability mechanism. It provides an opportunity for an independent review of complaints from individuals and organisations concerning EBRD-financed projects which are alleged to have caused, or are likely to cause, environmental and/or social harm.

Please visit the Project Complaint Mechanism page to find information about how to submit a complaint. The PCM Officer (pcm@ebrd.com) is available to answer any questions you may have regarding the submission of a complaint and criteria for registration and eligibility, in accordance with the PCM Rules of Procedure.