This image will be automatically disabled when it gets reported by several people.
Tamweely Microfinance continues strong performance as portfolio exceeds EGP 1.07bn Company's net profit increases 75% to EGP 51.5m in 2020, compared to EGP 29m in 2019, says Chairperson
Tamweely Microfinance has announced strong results for its fiscal year (FY) 2020, ending on 31 December 2020. The results were fuelled by revenue growth, as well as clients and branches expansion. During a press conference on Wednesday, Amr Abou El-Azm, the company's Executive Vice Chairperson and CEO, announced that Tamweely's net profit increased 75% to EGP 51.5m in 2020, compared to EGP 29m in 2019. Furthermore, the total amount of disbursed loans reached EGP 2.64bn in 2020, versus EGP 1.1bn in 2019, marking an increase of 139%. Gross loan portfolio increased from EGP 699m in 2019 to EGP 1.07bn in 2020, growing 53%. Abou El-Azm added that Tamweely expanded its outreach and served 75,000 clients in 2020, compared to 55,000 clients in 2019. He expressed his pride that women represented 42% of beneficiaries. He emphasised that the company relied on its esteemed risk management strategy to thrive and overcome COVID-19 implications on the economy and in particular the microfinance sector. Furthermore, he highlighted that Tamweely's strategy aims to provide cutting-edge financial services, reinforcing economic empowerment for underprivileged communities, and integrating them in the formal economic sector. Building on its strategy, the company's investment value is maximised to benefit its shareholders and boost its pivotal role in the microfinance industry nationwide. Abou El-Azm added that Tamweely handled the crisis with swift & agile response, offering incentives for clients and introducing innovative products according to market needs. He concluded his talk unveiling Tamweely's projected plans for 2021. He revealed expansion plans, working on three pillars. The first of these is geographic expansion across Egypt to reach more segments of the community. The second is ensuring technological expansion reinforcing digital transformation. The third covers products expansion, enriching the sector with new credit products, and includes Nano Finance & Revolving credit. Tamweely continues to offer support to micro projects, complying with the state's strategy to reduce the burden on MSEs. Ahmed Khorched, CEO and Managing Director of Tamweely, asserted that the company witnessed success in 2020, which was ensured by its unceasing expansion plans along the year. Accordingly, branches increased from 47 branches covering 11 governorates in 2019, to 71 branches in 15 governorates at the end of 2020. Tamweely also offered more employment opportunities, growing from 891 employers in 2019 to 1,450 employers in 2020, whose notable efforts contributed to the company's growth during tough times. Khorched acknowledged the company's shareholders for their prominent support, in addition to the management's assertive decisions, leading to reliable performance during the pandemic. Striving hard to achieve its aspiring plans, Tamweely financed more than 111,000 clients with 91% growth in 2020 compared to 2019. He expressed his delight with the company's profitable partnerships in 2020. Tamweely has signed cooperation protocols with several entities, facilitating electronic payments (e-payments), including: the National Post Authority; Bee Company; and Damen ePayment. The company has allied itself with Banque Misr and the Al Qada Foundation. With programmes to enhance employee skills and develop technological infrastructure, Tamweely aims at cooperating with international development institutions to acquire further credit facilities and technical support. It is worth mentioning that Tamweely Microfinance is a non-banking financial institution founded in 2018 with an issued capital of EGP 75m. Tamweely's shareholders are NI Capital Holding for Financial Investment, Ayady for Investment and Development and Post for Investments Company.
