Latest news with #microfinance
Reuters
2 days ago
- Business
- Reuters
India's TTK Prestige posts 36% profit decline on competition, soft rural demand
July 28 (Reuters) - Indian kitchenware maker TTK Prestige ( opens new tab reported a 36% decline in quarterly profit on Monday, hurt by subdued rural demand and increased competition, especially from those selling low-priced goods. Consolidated net profit fell to 266.3 million rupees ($3.07 million) for the first quarter ended June 30 from 417.5 million rupees a year ago, according to a regulatory filing. Revenue from operations rose nearly 4% to 6.09 billion rupees, while total expenses increased about 7%. Consumer-facing businesses selling discretionary goods — from kitchenware to clothing — have been struggling to boost sales over the last several quarters, partly due to slow wage growth. In rural areas - a significant sales driver for TTK Prestige - microfinance lenders have been issuing fewer collateral-free small loans to borrowers due to rising default rates, weighing on demand. In February, TTK Prestige earmarked 5 billion rupees to be spent over three financial years on manufacturing and marketing, as part of its plans to beef up its core business, including cookware and kitchen appliances. PEER COMPARISON * The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell ** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT APRIL TO JUNE STOCK PERFORMANCE -- All data from LSEG -- $1 = 86.6125 Indian rupees
Zawya
18-07-2025
- Business
- Zawya
Egypt: MSMEDA supports 51,000 youth projects in Alexandria with EGP $44.5mln
Arab Finance: The Micro, Small, and Medium Enterprise Development Agency (MSMEDA) has financed 51,000 youth-led micro- and small-sized projects with EGP 2.2 billion in investments across Alexandria between July 2014 and May 2025, CEO Basil Rahmy said. These projects created more than 110,000 diverse job opportunities. Rahmy's remarks came during a meeting with Alexandria's governor Ahmed Khaled to discuss enhancing cooperation in supporting micro, small, and medium enterprises (MSMEs). They also explored ways to facilitate services for business owners, focusing on industrial projects, particularly in Borg El Arab. Rahmy highlighted that a sum of EGP 102 million of the total financing was allocated to infrastructure, community development, and training projects. He affirmed the agency's interest in raising awareness among business owners of Law No. 6 of 2025, currently being implemented in cooperation with the Ministry of Finance and the Egyptian Tax Authority (ETA). The law offers several tax incentives to business owners, starting from 0.4% of the project's annual turnover if it reaches EGP 500,000. It reaches 1.5% if the turnover ranges between EGP 10 and 20 million. This is in addition to exemptions from many types of taxes and stamps previously imposed on small businesses.
Zawya
02-07-2025
- Business
- Zawya
Egypt: MSMEDA, Tasaheel pen $8mln agreement to finance micro-projects
Arab Finance: The Micro, Small, and Medium Enterprise Development Agency (MSMEDA) has signed a new financing agreement worth EGP 400 million with Tasaheel Company, according to a statement. Basil Rahmy, CEO of MSMEDA, noted that the contract aims to finance new micro-projects and back the development, expansion, replacement, and upgrade of existing projects. The move will boost production and offer permanent and temporary job opportunities, enhancing the standard of living for citizens. Rahmy noted that this new agreement is expected to support 8,000 micro-projects, with the financing amount reaching EGP 266,000 per project, depending on its financing needs. This falls under Prime Minister Mostafa Madbouly's directives to maximize the sector's contribution to supporting the national economy by providing services and products that meet the needs of local markets and encourage productive and agricultural projects. On her part, Nevin Badr El-Din, Head of the Central Sector for Microfinance at MSMEDA, said the first contract signed with the company in 2017 backed the financing of around 2,257 micro-enterprises with EGP 28 million. Women-led businesses accounted for nearly 52% of the funded projects. The second contract in 2022 resulted in financing approximately 37,459 micro-enterprises with EGP 307 million, of which women-led projects made up over 50% of the funds. © 2020-2023 Arab Finance For Information Technology. All Rights Reserved. Provided by SyndiGate Media Inc. (
Zawya
02-07-2025
- Business
- Zawya
Egypt: MSMEDA allocates $8.07mln to support micro enterprises via Tasaheel
Egypt - The Micro, Small and Medium Enterprise Development Agency (MSMEDA) has signed a new microfinance contract worth EGP 400m with Tasaheel for Small, Medium and Micro Enterprise Finance, aiming to expand funding for micro-scale projects across Egypt. The agreement was signed by Nevine Badr El-Din, Head of the Central Microfinance Sector at MSMEDA, and Mounir Nakhla, Chairperson of Tasaheel, in the presence of MSMEDA CEO Bassel Rahmy and Deputy CEO Mohamed Medhat. Rahmy affirmed MSMEDA's ongoing efforts to broaden access to microfinance through partnerships with a wider network of microfinance institutions. This initiative, he said, supports self-employment and the establishment of productive, sustainable businesses that generate decent job opportunities. He explained that the contract is designed to finance both newly established and existing micro-enterprises, helping them to expand, upgrade operations, and purchase equipment. This, in turn, is expected to contribute to increased productivity and job creation—both permanent and temporary—across various sectors. According to Rahmy, the agreement is projected to finance around 8,000 micro-enterprises, with average funding estimated at EGP 266,000 per project, depending on the specific needs of each enterprise. Funds may be used for working capital or investment in fixed assets such as machinery. He noted that this initiative is part of MSMEDA's broader 2025 strategy to scale up micro-enterprise financing, a critical driver of employment generation in Egypt. It aligns with the directives of Prime Minister Mostafa Madbouly, who chairs the agency's board, to increase the sector's contribution to the national economy—particularly in local manufacturing and agriculture. Mounir Nakhla expressed pride in Tasaheel's continued partnership with MSMEDA, describing it as a successful model of public-private cooperation aimed at empowering micro-entrepreneurs. 'This agreement will help improve the quality of life for Egyptian families by creating sustainable jobs across governorates and driving inclusive economic development,' he said. Nevine Badr El-Din highlighted the success of previous contracts between the two parties. The first agreement, signed in 2017, financed 2,257 micro-enterprises with a total value of EGP 28m, with women representing 52% of beneficiaries. Under the second agreement in 2022, approximately 37,459 micro-enterprises received a combined total of EGP 307m, again with over 50% of the recipients being women.
Forbes
30-06-2025
- Business
- Forbes
Complex Financing For Micro Enterprises In Indonesia Wins Grunin Prize
In Indonesia, micro, small, and medium enterprises (MSMEs) are a significant part of the economy, providing 60% of GDP and employing 97% of the workforce. Many of those businesses are micro enterprises—and access to financing gets harder the further down the pyramid you go, especially in rural areas. Feng Lin, senior counsel at IFC With that in mind, two years ago, International Finance Corporation (IFC), the private sector arm of the World Bank, and PT Amartha Mikro Finance (Amartha), a fintech P2P platform that uses alternative data and technology to reach borrowers not served by traditional banks, started work on a new structure for providing micro-finance loans to under-served female micro entrepreneurs in rural Indonesia. The structure, they figured, would allow Amartha to tap financing that could potentially be scaled to up to $206 million and help women borrowers in rural and small towns to get access to $50 to $1,000 loans. The two organizations then reached out to legal counsel to help create the complex approach. Eventually, that included IFC Legal (IFC's in-house legal team), Pinsent Masons (IFC's external counsel, English and Singapore Law), Jardin Legal (IFC's external counsel, Indonesian law) and TRILEXICA (Amartha's external counsel, Indonesian law). The project just won the 2025 Grunin Prize for Law and Social Entrepreneurship. Administered by NYU School of Law's Grunin Center for Law and Social Entrepreneurship, 'it aims to reward the innovation, potential impact, and replicability and/or scalability of projects and solutions developed by lawyers to advance the fields of social entrepreneurship, impact investing and sustainable development.' Challenges and Features Because many potential borrowers live in areas without bank branches, Amartha's digital lending capability was essential. In addition, many aren't likely to get bank financing in the first place. But, while Amartha had technology and data, it also had small balance sheets. Plus, according to Feng Lin, senior counsel at IFC, there was no securitization framework in Indonesia. 'In a conventional securitization, you need to have an existing portfolio on the balance sheet that you purchase. You purchase the risk and reward, and you are at the back end,' says Asif Mustaqim, principal invstment officer at IFC. 'But in this case, the balance sheets were very small. So we had to come up with a structure whereby you delivered a securitization type of instrument and investors who came in would take the full risk and reward.' (l to r) James Harris, partner at Pinsent Masons, Asif Mustaqim, principal investment officer at ... More IFC, and Feng Lin With no existing portfolio, how to bridge the gap? The answer was to create a structure with junior and senior tranches, establishing an orphan Special Purpose Vehicle (SPV) in Singapore to act as the lender of record. Thus, Amartha would service the loans, with lenders funding the SPV, which would draw down tranches as needed and directly lend to entrepreneurs. 'The solution worked to deal with both local regulatory constraints and the limitation caused by the small balance sheet,' says Lin. IFC and eight investors contributed approximately $170 million. Specifically, IFC committed $25 million and attracted the rest from banks, impact funds, and global insurers. There's also interest from fintechs and banks in the Philippines, Japan, and Hong Kong in replicating the model, according to Mustaqim.
