The Khalifa Fund of the UAE Steps Up to the Plate to Help Egypt

The recent turmoil in Egypt since the Arab Spring has left thousands if not millions in poverty and created economic instability in the country.  After several trying elections the country is beginning to show progress, but is still suffering from rolling power blackouts and a lack of funding in order to help develop various sectors of its economy rebuild, so that they  can once again contribute to the economy.  Fortunately for Egypt, it has neighbors who care about its economic development and stability.  You may have ready about the recent proposed agreements for funding of clean coal power plants in Egypt, but that isn’t all that’s happening.

Hussain Al Nowais, Chairman of the Khalifa Fund for Enterprise Development has recently announced that the Fund has come to a loan agreement with the Egyptian Ministry of International Cooperation and the Egyptian Social Fund for Development.  The signing of the loan happened in November of last year and agreed to a total of 200 million USD being invested in the microfinance and development sector of Egypt.  Hussain Al Nowais believes this agreement shows both the intelligence and forward thinking of the leaders in both countries, and also the importance of deepening economic and political ties between the two countries.

The breakdown of the Khalifa Fund’s breakdown goes like this.  In the coming six years the goals of the loan is to create more than 200 thousand enterprises and provide over 200 thousand job opportunities.  The loan will focus heavily on promoting women and their development and empowerment in the economy.  By promoting women and focusing on the unemployed in the country the idea is poverty will be combatted and the national economy will begin to rebuild.

The focus on the microenterprises sector will target, “The remote areas and the disadvantaged groups and the need to intensify efforts to promote comprehensive developmental efforts towards upgrading the economically and socially, and providing a safety net of continuum towards achieving the developmental benefits” said Hussain Al Nowais.  By raising more people out of poverty in Egypt and being able to create meaningful employment they will reduce poverty.  This reduction in poverty will reduce people’s dependence on the state and reduce welfare.  The focus on women and those under the age of 35 also shows a critical acknowledgement by those in power of the importance that these groups currently play in Egyptian society and the role they will play in the future.

 

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