The activities of the “Investment and Finance Forum for the Pharmaceutical Industry” concluded yesterday in Cairo, which was held over the course of the ninth and tenth of October, under a joint strategic organization between the “African Development Bank AFDB” and the “Egyptian-African Businessmen Association EABA,” headed by Dr. Yousrey El-Sharkawi. The activities of the two days varied between two main axes. As follows :
– An open investment forum with the presence and participation of 75 participants between major pharmaceutical companies and banks, in which the African Development Bank presented the journey of its achievements for the African private sector and the extent of its current and future readiness through an ambitious program for distinguished financing for the vital industrial and commercial sectors with a comprehensive development goal for Egypt and the countries of the continent, specifically starting the pharmaceutical industry.
– The second axis over the course of two days was “investment clinics”…which is an innovative, governed idea that ensures that the client from the private sector submits all his financing requirements, and they are discussed and examined in a session with the specialized banking and financial team until the optimal financing direction is determined and the client is directed to the right path and chooses Those who pass the criteria to obtain optimal financing
The investment clinics in the pharmaceutical industry are a continuation of the forum, in which 33 major drug and vaccine manufacturers in Egypt participated. And a number of major banks and an international marketing consulting company. Investment clinics are also a direct way to identify and discover projects ready for financing.
Seven major pharmaceutical companies participated in the clinics, which successfully passed the conditions for qualifying for the clinic and entered the focus of attention of the African Development Bank in preparation for joint work, specifically a group. Companies including Menapharm, Biogenrix, Al-Andalus Pharmaceuticals, Organix, Ayogi, and Atco. These companies submitted their proposed projects for financing from the African Development Bank, the Islamic Development Bank, and the National Bank of Egypt. The projects aim to increase local drug production to cover the local and African markets.
For his part, Mr. Abdel Rahman Diao, Director of the Egypt Office of the African Development Bank, said:
Egypt can borrow from the African Development Bank no less than $500 million annually for the Egyptian private sector, and priority is given to important sectors, including the industrial sector, and we are concerned with the pharmaceutical sector. We strive with every effort for the bank to achieve fruitful partnerships with the Egyptian private sector for all parties, which achieves the bank’s higher policy and we can He transferred it to a number of African states and countries as a model for financing important industries within the continent.
Dr. Yousrey El-Sharqawi, President of the Egyptian-African Businessmen Association, confirmed that this first event of its kind came as a result of an effort from both sides of the relationship and the culmination of serious and effective cooperation between one of the most well-known African banks and financial institutions and one of the most important business and civil society organizations on the continent, and our distinguished activity is what made us worthy of these partnerships. The important strategy is, we are looking forward to expanding the circle of cooperation to move from the field of pharmaceutical industries to the sector of other industries, successively and successively. We also aim for this to be done in Egypt and many relevant and ready countries on the continent, as the comprehensive development goal of the private sector on the continent is one of our most important priorities.
Dr. Abdo Mokhtar, Director of Industrial and Commercial Projects Development at the African Development Bank, stated that we are implementing an ambitious plan in which we are trying to reach the private industrial sector and provide integrated solutions in order to maximize benefit. We are completely confident that this is one of the most important ways and optimal support for the industrial sectors that establish trade. Genuine and meeting the needs of the continent
Dr. Ghada Abu Zaid, the expert and official responsible for industrial and commercial projects and the event’s coordination officer, indicated that the African Development Bank will invest no less than $3 billion to develop the pharmaceutical industry sector in Africa. Egypt is considered one of the countries with a high readiness to become a regional center for manufacturing and exporting to all countries of the continent and beyond.
Ghada Abu Zaid explained that the financing of the African Development Bank is in the form of long-term loans between 10 and 15 years, with a grace period equivalent to 3 years, for major projects to build and expand pharmaceutical factories that require a budget equal to or more than 30 million dollars, so that the bank invests more than 33% of the amount. The value of the project is through what is known as investment in projects “project finance”. In addition, the bank finances companies with expansion by no more than 50% of the company’s investment. This financing depends on the company’s budget and income statement, and this is known as “corporate finance”.