Egypt’s Arab African International Bank (AAIB) and Germany’s SANAD Fund for MSMEs launched on Tuesday a joint venture to practice microfinancing activities in the North African country.
The new company, named Sandah, is the first joint venture formed in Egypt through a partnership between a banking institution and an international mutual fund.
It will finance commercial, agricultural, industrial, and services projects across Egypt, from Nile Delta to Upper Egypt areas.
AAIB will take a 70 percent stake in the joint venture and SANAD the rest. SANAD Fund is part of the German state-run Kfw Development Bank.
“By establishing Sandah, AAIB is up to another round of growth targeting the microfinance segment.” the Egyptian bank said in a tweet.
AAIB’s Chairman Hassan Abdalla
