ElKahky: a business volume worth 543 million EGP in 2019.
Tamweel Company which is specialized in mortgage financing intends to implement an expansionist plan in the Egyptian market and to diversify its financing portfolio during the upcoming 5 years.
Mohamed ElKahky, the managing director, revealed that the plan aims to disseminate a culture of mortgage financing between all classes especially the low-income and middle income youth over the next 5 years through an expansion by establishing a network of branches in various governorates and regions and diversifying its financing portfolio.
He also said that Tamweel issued new funds worth 543 million EGP during 2019 resulting in a growth rate of 62% in its financing portfolio, which reached 1 billion and 88 million EGP in comparison to 2018 that reached 670 million EGP.
He pointed out that Tamweel Company ranked the first place in the volume of mortgage financing in the Egyptian market with a rate of 21% of overall funding in last year’s market. Furthermore, it became the first mortgage finance company to break the barrier of 500 million EGP in one year. Indicating that the gross of mortgage financing market is estimated to be around 2 billion and 600 million EGP.
He affirmed that his company has an ambitious plan to diversify its financing portfolio by entering many different financing activities, along with the expansion of the business of mortgage financing in regions and various governorates to benefit from the huge housing stock Egypt has through disseminating a culture of financing between all classes and sectors of society.
“We are looking forward to make Tamweel the first and best choice for our customers among companies and banks working in the mortgage financing market by offering a diversified and integrated group of financing products for them and by selecting the best payment systems besides rapid response and simplification of documentations and measures required by the customer” He continued.
He confirmed that the mortgage financing market in Egypt is witnessing an increasing demand and growth due to the high prices of residential units which lead the customers to search for a long-term financing that matches their income.
ElKahky explained that The Central Bank of Egypt’s initiative in mortgage financing for low-income people achieved unprecedented success in reviving the real estate market on the level of sales movement and owning property in the Egyptian market. He also referred to the importance of expanding the range of the Central Bank’s initiative to include middle incomes and to provide the entrance of mortgage financing companies in 2020. This way companies will be able to introduce new sectors to mortgage financing and attract new customers of middle incomes, thereby, leading to the growth of the trading movement in the Egyptian market especially in reselling residential units that misses a mechanism of long-term payment.