EAEF injects $223mlnb in Egypts private sector since 2015

ArabFinance: Egyptian American Enterprise Fund (EAEF) has pumped $223.9 million since 2015 in the private sector either in companies directly or via the funds investment advisers, Lorax and TCV, the 2020 Impact Report showed.

The US Congress established the EAEF with an aim to back the countrys private sector and to stimulate it after the sharp decline in tourism and foreign direct investment.

Such kind of funds provides flexible equity and debt financing to private enterprises in undersupplied capital markets, to help attract additional foreign investment.

According to the report, EAEF invested $50 million through its Lorax Capital Partners Fund, committed $10 million to Fawry Microfinance to provide loans to micro, small and medium-sized enterprises, and provided $6.7 million as co-investment in Al-Tayseer Healthcare Group in the underserved Nile Delta region.

In 2021, we will begin marketing Egypt to US investors. The strong financial and impact returns generated by EAEF should be attractive to US institutions and family investment offices. Raising additional capital from the US to invest in Egypt will help its private sector become the leading engine of growth. It will also help sustain a durable economic relationship between our countries, James A. Harmon, Chairman of EAEF, commented.

Harmon added that as the fund considers the future in the wake of COVID-19, EAEFs model should now be replicated by the US in countries of Central America, Africa, and Asia that need similar economic support.