(Photo courtesy of SFD official Website)
In an initiative sponsored by the Social Fund for Development (SFD) and the African Development Bank (ADB), the Centre for Research and Economic Studies at the College of Economics and Political Science conducted a study analysing the results of loans for SMEs and micro-businesses.
The study sought to identify what indicators could be used to measure the performance of these businesses, specifically reviewing data to measure the success of projects in Western Cairo and Assiut.
The study concluded that despite the existence of a number of sources available, only 5% of borrowers in Egypt were owners of SMEs or micro-businesses.
The number of these businesses in Egypt was estimated to be near 3.4 million by the end of 2011, employing nearly 7.9 million people, or 33.7% of Egypt’s employed population.
The study suggested providing financial incentives to businesses over the next three years such as tax reliefs, which would help expand the number of businesses operating in Egypt and allow them to improve the quality of their products and services.
