In 2024, Reefy Microfinance invested EGP 4 billion in Egypt, raising its total funding since 2007 to over EGP 20 billion. The company opened 23 new branches, increasing its reach significantly. With a reported operating revenue of EGP 1.84 billion and net profit of EGP 374 million, Reefy has maintained a strong presence in the microfinance sector and earned international recognition for its growth.
Reefy Microfinance Enterprise Services has made substantial strides in 2024, injecting EGP 4 billion into Egypt’s economy. This investment elevates the company’s total funding since its inception in 2007 to over EGP 20 billion. This significant funding amounts to 20% of the total financing provided in the company’s history, highlighting a critical moment in its growth trajectory.
As the pioneering company to acquire a license from the Financial Regulatory Authority (FRA) for operations in the microfinance sector, Reefy has solidified its leadership role in providing accessible financial solutions. This commitment is crucial for enhancing entrepreneurship, stimulating economic growth, promoting financial inclusion, and fostering social stability within the community.
In the past year, Reefy has experienced robust operational growth, strengthening its status within the microfinance industry. By December 2024, the company’s total client portfolio escalated to EGP 3.2 billion, with an average loan size of EGP 36,400—a 23% increase from the previous year, demonstrating sustained demand for its services.
Continuing its strategic expansion, Reefy launched 23 new branches in 2024, increasing its network to 185 locations across 21 governorates. This growth strategy is aimed at enhancing access to financial services, particularly in regions that have historically been underserved.
The company also reported impressive financial outcomes in 2024, achieving total operating revenue of EGP 1.84 billion, which represents a 27% increase from the prior year. Additionally, net profits surged to EGP 374 million, with a remarkable return on equity of 78.1%, reflecting sound financial management amidst economic challenges, including a significant increase in interest rates.
Ahmed Labib, Managing Director and CEO of Reefy, commended the company’s resilience and capability to navigate economic difficulties. “Reefy continues to demonstrate that sustainable growth and financial stability are achievable, even amid economic uncertainties,” Labib asserted, emphasizing the firm’s strong performance despite external pressures.
In a noteworthy development, Reefy secured authorization from the Financial Regulatory Authority in November 2024 to securitize a portfolio valued at EGP 1.066 billion through the Egyptian Securitization Company. This move, part of Reefy’s securitization bond program, received a “Prime 1” credit rating, enhancing the company’s liquidity to offer competitive financing options for micro-entrepreneurs.
Reefy’s influence extends beyond national boundaries, having received global acknowledgment for its growth. In May 2024, the company was again listed in the Financial Times’ ranking of Africa’s fastest-growing firms, marking its second consecutive year of recognition, indicating its sustainable expansion and stronghold in Egypt’s microfinance sector.
In summary, Reefy Microfinance’s 2024 achievements underscore its significant infusion into Egypt’s economy, marked by strategic expansion and notable financial performance. The company’s leadership in microfinance, combined with its dedication to accessible financial services, positions it well for continued success. Furthermore, its recognition on an international level highlights its effectiveness in fostering sustainable growth in a challenging economic environment.
Original Source: www.dailynewsegypt.com
