The International Finance Corporation (IFC) and Attijariwafa Bank Egypt (AWB Egypt) have announced a strategic partnership aimed at strengthening AWB Egypt’s capital position and enabling the bank to expand its financing for small and medium-sized enterprises (SMEs), with a particular focus on women-led businesses. The initiative will also enhance AWB Egypt’s ability to support climate finance in Egypt, including renewable energy and energy efficiency projects.

IFC’s $20 million Tier 2 qualifying subordinated debt investment will reinforce AWB Egypt’s capital base, boosting its financial flexibility and capacity to pursue strategic growth initiatives. This capital enhancement will play a critical role in advancing the bank’s SME lending activities, addressing the significant funding gap in Egypt’s micro, small, and medium-sized enterprise (MSME) sector. The initiative is also expected to drive climate finance expansion, aligning with both Egypt’s National Climate Change Strategy (NCCS) and Attijariwafa Bank Group’s ambitious sustainability agenda.

Egypt is home to approximately 6.4 million businesses, making it the largest MSME market in the Middle East and North Africa (MENA) region. Despite accounting for over a third of the nation’s GDP and employing the majority of the private-sector workforce, Egyptian SMEs continue to face significant financing challenges that hinder their growth and economic contribution. By injecting fresh capital into AWB Egypt, IFC aims to address these barriers and facilitate broader access to finance for SMEs, particularly those led by women entrepreneurs.

“This partnership with IFC is a pivotal milestone in reinforcing Attijariwafa Bank Egypt's capital base, which will enable us to scale our business and extend critical financing to key growth sectors,” said Mouawia Essekelli, Managing Director of Attijariwafa Bank Egypt. “With this investment, we are well-positioned to accelerate financing for SMEs and green projects, reaffirming our commitment to sustainable economic development.”

The IFC investment also aligns with broader global and national economic development strategies. “A strong and diversified financial sector is vital for promoting inclusive and sustainable economic growth,” said Aliou Maiga, IFC's Financial Institutions Group (FIG) Director for Africa. “By strengthening AWB Egypt's capital structure, IFC is facilitating greater access to finance for SMEs and contributing to the expansion of Egypt’s climate finance market, helping to build a more resilient and sustainable future.”

The initiative is closely aligned with the World Bank Group’s Country Partnership Framework (CPF) for Egypt, which seeks to create better private-sector jobs and enhance economic resilience. It also supports the World Bank Group’s gender strategy, which aims to reduce gender disparities in economic participation.

Since launching operations in Egypt in 1975, IFC has invested and mobilized a total of $9 billion in development projects across the country. Its advisory portfolio currently stands at $22 million, with a primary focus on private-sector development in areas such as fintech, climate finance, manufacturing, infrastructure, renewable energy, healthcare, and gender equity.

This strategic partnership represents a significant step in advancing financial inclusion, fostering sustainable growth, and strengthening Egypt’s economic resilience, ensuring that SMEs and climate-focused projects receive the necessary support to thrive in a rapidly evolving market.