Reefy gets more EBRD support: CI Capital’s microfinance arm Reefy will receive an EGP 200 mn (EUR 6 mn) senior unsecured loan from the European Bank for Development and Reconstruction (EBRD) for on-lending to private MSMEs, according to the lender’s website. The loan will target companies owned or led by young people under the EBRD’s Youth in Business (YiB) program and is expected to help Reefy adopt new lending practices and business models as it expands its customer base among this underserved segment, the EBRD said Thursday.

Technical assistance is part of the package: The loan will be supported by a technical cooperation program funded by the EU and EBRD Shareholder Special Fund to help Reefy train staff, build capacity, and develop skills to more effectively cater to the financial needs of the target group. The loan beneficiaries will also receive direct capacity-building and advisory services. The EU will also provide grants to help alleviate the impact of macroeconomic challenges on loan beneficiaries.

Reefy’s microfinance portfolio reached a total of EGP 2.9 bn by the end of May, according to the EBRD. The company targets “untapped and low-income individuals located in non-urban areas” through its 154 branches across the country.

Reefy and the EBRD know each other well: In 2021, the multilateral lender supported Reefy with an EGP 80 mn loan under its Women in Business (WiB) program to address the financing gap for women in rural areas.

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