Al Tadamun Microfinance Foundation, a prominent provider of microfinance services for women entrepreneurs, has extended its credit facility agreement valued at EGP 120 million with First Abu Dhabi Bank Egypt. This renewed collaboration aims to broaden the reach of financing services to a greater number of women-led micro-enterprises.
The agreement underscores both organizations’ dedication to bolstering the micro-enterprise sector as a catalyst for economic growth, job creation, and the enhancement of the national product. It aligns seamlessly with the Egyptian government’s initiatives to foster financial inclusion and integrate more women into the formal economy.
Mona Zulfikar, Chairperson of the Board of Trustees of Al Tadamun Microfinance Foundation, emphasized that this agreement aligns perfectly with the organization’s strategy of expanding its beneficiary base and providing tailored financial and non-financial services. She highlighted its role in supporting the Central Bank of Egypt and the Financial Regulatory Authority’s directives to empower citizens, particularly women, boost local product manufacturing, and reduce dependence on imports.
Reham Farouk, CEO of Al Tadamun Microfinance Foundation, expressed how this agreement strengthens the institution’s capacity to execute its ambitious strategy, maintain its outstanding performance, and achieve robust growth in its financing portfolio and client base. She acknowledged the long-standing collaboration between Al Tadamun Microfinance Foundation and First Abu Dhabi Bank Egypt since 2017, emphasizing the foundation’s strong credit history through partnerships with eight government and private banks.
Farouk further elaborated that the newly secured credit facility aligns with the foundation’s strategy, focusing on providing financing avenues for women entrepreneurs to expand and develop their projects. The foundation offers a diverse range of financing programs, including individual, group, family, gold, and opportunity financing, tailored to meet the specific needs of female clients.
Highlighting the foundation’s commitment to overcoming geographical barriers and expanding its reach, Farouk mentioned the recent launch of a mobile branch service. This innovative approach enables the foundation to serve new business areas and a wider range of female clients, contributing to financial inclusion and economic development.
The latest report from Al Tadamun Microfinance Foundation, reflecting data from June 2023, reveals the foundation’s remarkable growth. The portfolio has increased to approximately EGP 1.133 billion, compared to EGP 995 million in June 2022. This demonstrates the escalating demand for microfinance services among women entrepreneurs in Egypt. Furthermore, the foundation has disbursed around EGP 1.109 billion in financing to female clients, reinforcing its commitment to supporting and empowering women-led micro-enterprises.
The renewal of the credit facility agreement between Al Tadamun Microfinance Foundation and First Abu Dhabi Bank Egypt strengthens their partnership and reaffirms their shared dedication to advancing financial inclusion. By providing accessible and tailored financing options, these organizations play a pivotal role in empowering women entrepreneurs, stimulating economic growth, and fostering a sustainable future.