Saturday 02 October 2021
I wrote – Manal Al-Masry:
Banking sources revealed that the banking alliance consisting of 3 banks, who intend to launch a fund to support the capital of emerging financial technology companies this month, roughly share the fund’s capital, which amounts to one billion pounds.
The Central Bank announced last week that 3 banks, Al-Ahly, Egypt and Cairo, intend to launch a fund to support the capital of emerging financial technology companies this October, with a minimum capital of one billion Egyptian pounds, with the possibility of any banks or other financial institutions wishing to participate, in accordance with Extensive studies carried out by the relevant sectors of the Central Bank.
The participation of banks in this fund stems from their belief in the importance of keeping pace with global developments in the field of financial technology, which is the future of the banking and financial industry in Egypt and the world, according to the Central Bank.
The sources pointed out that the share of Al-Ahly and Egypt banks in the fund’s capital is slightly more than that of Banque du Caire, but the fund’s role will be to provide the necessary financing for emerging companies in return for a share of the capital without adding the burden of a percentage of interest on lending.
The fund’s establishment aims to nurture young talents as they are a promising investment for the future and capable of achieving many gains for the Egyptian market, given what Egypt possesses of distinguished young cadres in various fields, foremost of which is financial technology.
It also aims to create the appropriate environment to provide innovative applications in this field, which helps raise the rates of financial inclusion and achieve the goals of the Egyptian state with the targeted digital transformation as part of Egypt’s Vision 2030, and with an ambitious vision to become the largest fund at the regional level in the field of financial technology.
The fund will direct investments to emerging financial technology companies, whether these companies are local or international, intending to launch their business in the Egyptian market.
The fund also aims to create the appropriate environment to attract and nurture talent, localize them in the Egyptian market and work to enable more innovative financial technology applications capable of providing and delivering banking and financial services to all segments of society more easily and at less cost, as an important step to transform Egypt into a regional center for the technology industry. Finance in the Arab world and Africa.