Holistic resilience solutions for Egyptian MSMEs
Holistic resilience solutions for Egyptian MSMEs11 August, 2022 •
Key insights on opportunities to better serve Egyptian MSMES
Micro, small and medium enterprises (MSMEs) are the backbone of developing economies playing significant roles in employment, growth, and economic welfare. In Egypt, MSMEs have been estimated to account for over 90% of active enterprises in Egypt (3.7 million) and represent the third-highest density of MSMEs in the whole of Northern Africa.
Despite their importance in Egypt and many other developing economies, MSMEs face various risks and are prone to experience considerable rates of attrition. In Egypt, unreliable access to infrastructure, inadequate access to financing, extreme weather and climate events are among the top risks constraining the survival of MSMEs. With (approximately) less than 7% of Egyptian MSMEs having access to formal credit, and an insurance penetration rate for MSMES of less than 1%, a clear need exists for insurers in Egypt to rethink their approach to insurance and design solutions aimed at meeting the actual needs of MSMEs.
Cenfri together with FSD Africa and in collaboration with AXA Egypt explored the business case for integrating risk management solutions with insurance and for leveraging alternative distributions partners to better serve Egyptian MSMEs in the retail, tomato and dairy value chain.
The 60 minutes webinar shared the research findings and insights gained through a panel discussion where holistic resilience solutions for Egyptian MSMEs where discussed.