Consulting Services, Feasibility Study on Risk Management Instruments

TENDER CANCELLATION!

Project

MSME are highlighted in the governmental strategy "Egypt Vision 2030" as the engine for economic growth. CGC Egypt and KfW are preparing a FC project aiming to develop risk management instruments in the form of a credit guarantee mechanism. CGC Egypt as project executing agency (PEA) will use FC funds to provide guarantees to commercial banks in order to secure their lending business with MSME with the perspective of commercially sustainable guarantee products. Credit guarantee mechanisms are one building block of KfW's support to financial sector development and the enhancement of financial inclusion of MSMEs in Egypt. This mechanism is also supposed to ultimately support banks in the downscaling of their credit lending activities to MSMEs and possibly also to young entrepreneurs and start-ups.

Requested Services:

• Elaboration of a comprehensive feasibility study on Risk ManagementInstruments with the objective to analyse and assess the feasibility of a new KfW Guarantee facility and to prove the viability with regard to loans to the target groups, i.e. MSME and young entrepreneurs, specially by designing appropriate financial products and proposing proper product conditions. The 4 main elements of this study are (1) Analysis of framework conditions for financial inclusion of MSME in Egypt and the operation of Guarantee Schemes (2) Due diligence of the CGC as PEA (3) Design of a Financial Cooperation project (4) Design of an Accompanying Measure (Technical Assistance Component)