The MENA-OECD Enterprise Financing Network aims to improve the regulatory conditions for financing entrepreneurship using the MENA-OECD Investment Programme as a forum for exchange of good practice between MENA and OECD business and government representatives
The Network aims to foster entrepreneurship in the region by:
Creating a platform to connect entrepreneurs, financiers and government regulators
Providing avenues for private sector participants to effectively input into key investment policy reforms relevant to financing of entrepreneurship
Public guarantee instruments : introduced in Egypt, Israel, Jordan, Lebanon, Morocco and Tunisia in cooperation with their banking sectors
SME banks : Banque de Financement de Petites and Moyennes Enteprises (BFPME) created in 2005 in Tunisia to provide loans to local SMEs. Fondation Bank Populaire of Morocco and Bank of Cairo in Egypt began to outsource this customers segment set up microfinance departments within the bank.
Venture capital initiatives: In Morocco, a law regulating the venture capital sector was introduced in 2006 in order to provide incentives for funds to invest in SMEs
A number of regional initiatives established (EU Working Party on access to finance for SMEs, IFC-PEP MENA Programme, etc.) to address the issue
EIB co-investing via specialised local intermediaries, direct equity participations in local investment funds, or even in local companies.
Enterprise Financing Network which aims to close the financing gap by studying the exact demands for financing in each country and gather entrepreneurs and financiers
Address the shared responsibility for public and private sectors and facilitate information exchange between government action and private sector initiatives on innovative entrepreneurship and enhancement of financing conditions;
Improve the collection and disseminate data related to enterprise financing through various instruments (bank credit, fixed income instruments, capital markets, venture capital, private equity, etc.);
Establish linkages between financiers, namely venture capital and private equity, business angels and science and technology associations, entrepreneurs, and other actors in the entrepreneurship value chain in order to bridge the financing gap;
Recommend the establishment of private and public credit bureaus in order to establish credit history and thus facilitate borrowing;
Encourage governments to evaluate their insolvency frameworks in order to facilitate corporate borrowing as well as issuance of debt and equity instruments;
Review the legal framework with respect to innovation and financing, in particular takeover and joint venture legislation and regulation of intellectual property with a view to facilitate domestic and foreign investment in the financial industry;
Support analysis undertaking by the MENA-OECD Enterprise Financing Network on how to address the financing gap/innovation challenges in the MENA region;
Survey framework conditions relating to the operation of private equity and venture capital in the MENA countries and develop recommendations;
Participate and support the Enterprise Financing Network as a key initiative to reduce the financing gap in the Middle East and North Africa region.
Encourage the establishment of a regional institute for entrepreneurial finance to conduct research, education and professional training and provide advice on the regulatory environment and the development of financing instruments