NBE and EBRD Foster Youth Entrepreneurship with $50Mn Program

The National Bank of Egypt announced the completion of its financing program in cooperation with the European Bank for Reconstruction and Development, which aimed to provide support to small and medium-sized enterprises owned by young people.

The program provided two groups of financial and non-financial (consulting and training) services, designed specifically to support young people who excel in the field of small and medium-sized enterprises, in addition to working to develop human resource management.

Yehia Abou El-Fotouh, Vice Chairman of the Board of Directors of the National Bank of Egypt, affirmed that the bank is always keen to pay attention to the youth segments in all financial and non-financial fields.

He explained that the youth category is one of the most important categories that are expected to be attracted to enter under the official umbrella of the banking sector, which is also in line with the strategic direction of the National Bank of Egypt in supporting and developing micro, small and medium enterprises in all economic activities for their important role in the economy and development as the main engine of growth.

Tarek Hassan, Head of the Small and Medium Enterprises Group at the National Bank of Egypt, stated that the Youth Business Project (YIB) was designed specifically to develop and support young people who excel, who are under 35 years old and own or manage small and medium-sized enterprises and have the desire to develop their experiences or grow their companies.

He pointed out that this is through providing consultations and training that include workshops in various management fields by consultants and trainers specialized in various fields of business such as marketing, financial management and corporate management, or a group of consultations, which are cost-supported consultations in all fields of business.

He added that the Skills Attraction Project (SIB) is an integrated program developed by the European Bank for Reconstruction and Development in cooperation with the National Bank of Egypt to be the first project of its kind that is based on integrating non-financial services (consulting, training) with financial services (financing) provided by banks, which has an impact on achieving growth and ensuring success and sustainability for beneficiaries.

The cooperation targets small and medium-sized enterprises with rapid growth, which operate through developing their capabilities in attracting and retaining young and skilled labor with high efficiency, in line with the institutional growth of the project and maintaining sustainability.

This is through providing integrated and effective technical solutions, which was done through extensive studies conducted by the bank’s specialists to reach effectiveness in implementing these programs in a way that achieves the desired return specifically for the target groups.

Chantal Sabagh, General Manager of the Business Development Sector at the National Bank of Egypt, indicated that all training courses have been completed, which amounted to 18 courses since the start of the program, resulting in the training of 300 business owners and 72 consulting services were provided to young people. Business and the volume of financing for those who obtained the Youth Business Program amounted to the equivalent of $30 mn.

She explained that the volume of financing for those who obtained the Business Skills Program amounted to the equivalent of $20 mn, in addition to receiving consultations that led to improving their ability to attract and retain young and skilled labor with high efficiency, which helped them to sustain business growth.

She added that there are many programs being prepared that combine consulting and financing services.