Alexandria Forum: Small and Medium Enterprises Present and Future Strategic Orientation

Alexandria Forum: Small and Medium Enterprises Present and Future Strategic Orientation

Upon the invitation of the Union of Arab Banks, H.E Dr. Jamal Salah, Director General of the Jordan Loan Guarantee Corp. participated in the activities of a forum on  small and medium-sized Enterprises entitled: “present and future strategic planning, which was held in Alexandria, Egypt during the 16-17 of July 2009.

Dr. Jamal presided over a discussion meeting entitled:

“Role & Initiatives of banks, financial institutions, and Investment Guarantee Institutions for financing small and medium enterprises.”

Several sources of financing for SMEs are available, including specialized lending programs, in addition to commercial banks, which has recently been interested in this kind of financing, where many of them created specialized departments for the financing of small and medium enterprises.

The philosophy of loan guarantee programmes is to encourage commercial banks to provide the funding required to establish and expand small businesses, depending on the feasibility of these projects and the soundness of cash flows rather than to provide the traditional collaterals required by conventional banks normally.

Governments strive to establish loan guarantee companies and institutions to provide the required guarantees to facilitate the financing of SMEs from the banking sector and other financing institutions, based on the borrower's credit rating and ability to re-pay.

Topics:

  • Methods of financing SMEs.
  • Commercial banks procedures and requirements of financing SMEs
  • Reasons for reluctance of commercial banks in financing SMEs.
  • Importance of Credit Bureaus and Loan Guarantee Companies to SMEs.

Speakers:

  • Mr. Ali Shaker, Chairman of the Board of Agricultural Credit Bank, Egypt.
  • Mr. Basil El Hainy, Managing Director, Cairo Bank.
  • Mr. Mohamed Abdel-Hamid, Chairman, Credit Risk Company, Egypt.
  • Mr. Hamdi Azzam, General Manager of SME Unit, National Bank of Egypt,  Egypt