Egypt’s Minister of Finance, Ahmed Kouchouk, has announced the allocation of EGP 5 billion in the new fiscal year’s budget to support small, medium, and micro enterprises (SMMEs), marking it the largest economic backing for this sector to date.
The announcement came as Minister Kouchouk and Basil Rahmy, CEO of the Micro, Small, and Medium Enterprise Development Agency (MSMEDA), oversaw the signing of a strategic cooperation protocol between the Ministry of Finance and the agency.
The agreement is part of a broader policy initiative aimed at energizing private sector activity, encouraging entrepreneurship, and driving economic resilience through targeted financing.
“The EGP 5 billion funding will provide soft loans for young entrepreneurs and focus on priority sectors,” said Minister Kouchouk.
“This is a strong step to support the private sector and productive sectors through a ‘partnership’ path with MSMEDA. We are entering a new phase of strong and effective cooperation to achieve the agency’s financial sustainability and enhance its role in national economic growth.”
Kouchouk added that an initial agreement with MSMEDA includes support for initiatives targeting tax concession beneficiaries, entrepreneurial ventures, and projects aimed at increasing the local component in industrial, manufacturing, and export fields.
The plan also includes economic empowerment for underprivileged families, reflecting a broader vision of inclusive economic participation.
“We will provide distinguished and low-cost financing during the current fiscal year to the first group joining the simplified and unified tax system,” the minister noted.
In response, Basil Rahmy expressed his appreciation for the ministry’s proactive fiscal strategy. “These financial policies stimulate the growth of emerging enterprises and bolster economic activity,” he said.
“Minister Kouchouk’s forward-thinking approach opens new horizons for the economic empowerment of young entrepreneurs.”
This protocol underscores the government’s shift towards reinforcing grassroots enterprises as engines of job creation, innovation, and long-term economic sustainability.
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