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EGX Presents its Efforts for the Development of Egyptian SMEs Market to EBA Members
The Egyptian Businessmen's Association (EBA) organized a workshop entitled "The Egyptian SMEs market; opportunities for growth for start-ups", during which the Executive Chairman of the Egyptian Exchange (EGX), Dr. Mohamed Farid, discussed the strategic developments of the Egyptian SME market with the aim of achieving a comprehensive qualitative shift in the market.

Dr. Farid said that stock exchanges are key player for the development and growth of SMEs, provided listed businesses are committed to disclose needed information for investors.  He added that listing in the Egyptian SMEs market provides benefit on various aspects, including lower cash dividends tax and exemption from capital gains tax that is not yet applied on listed companies.   Also corporate governance is binding to listed companies contributing to the transformation of companies from family to institution, and allowing companies better chance of benefiting from financing through banks if needed.

Hassan al-Shafei, Chairman of the Small and Medium Enterprises Committee at the Egyptian Businessmen's Association (EBA), said that the SMEs sector is a vital factor for economies development, and is an essential element in supporting GDP and creating job opportunities.  He added that access to the necessary financing for the development of Small and Medium Enterprises through capital market contributes significantly to the rehabilitation and development of small businesses as a mean of achieving their goals in a sustainable manner.

Ms. Dalia Al-Sawah, a member of EBA’s SMEs Committee, said that EGX has taken necessary measures for the development of the SMEs in Egypt for the development of already listed companies and attract companies with high growth opportunities as well as to work to enhance liquidity.  She added that through listing on the Egyptian SME market her business grew and was able to promote the required sustainability practices.