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Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) i

September 31, 2016

This publication was produced for review by the United States Agency for International

Development.

It was prepared by AECOM.

STRENGTHENING

ENTREPRENEURSHIP AND

ENTERPRISE DEVELOPMENT (SEED)

QUARTERLY REPORT (THIRD QUARTER)

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) i

STRENGTHENING

ENTREPRENEURSHIP AND

ENTERPRISE DEVELOPMENT (SEED)

QUARTERLY REPORT (THIRD QUARTER)

Submitted to:

USAID Egypt

Prepared by:

AECOM International Development

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) ii

DISCLAIMER:

The authors’ views expressed in this document do not necessarily reflect the views of the United

States

Agency for International Development or the United States Government.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) iii

TABLE OF CONTENTS

List of Acronyms and Abbreviations ............................................................................................... v

List of Acronyms and Abbreviations (Continued) ............................... Error! Bookmark not defined.

I. Executive Summary ................................................................................................................... 1

1.1 Summary of Results for the Reporting Period and Key Achievements............................... 1

1.2 Challenges and Other Critical Issues ................................................................................................. 3

II. Introduction............................................................................................................................... 3

2.1 Seed Quarter 3 Operating Environment .......................................................................................... 4

III. Component Activity Implementation ........................................................................................ 5

3.1 Component A: Entrepreneurship Skills and Opportunities....................................................... 5

3.1.1 Key Activities Accomplished Under Component A ............................................... 5

3.1.2 Key Activities Planned for the Next Reporting Period ...................................... 14

3.1.3 Lessons Learned for Future Implementation ........................................................ 15

3.2 Component B: Financial and Non-Financial Services ............................................................... 16

3.2.1 Key Activities Accomplished Under Component B............................................. 16

3.2.2 Key Activities Planned for Next Reporting Period .............................................. 24


3.3 Component C Intergration of Msmes in Value Chains ............................................................ 26

3.3.1 Key Activities Accomplished Under Component C ............................................ 26

3.3.2 Key Activities Planned for Next Reporting Period .............................................. 32


IV. Implementation of Grants Component ................................................................................... 33

4.1 Description of Grants ......................................................................................................................... 33

4.2 Key Activities Accomplished Under the Grants Component ............................................... 34

4.3 Key Activities Planned for the Next Reporting Period ........................................................... 35

V. Cross Cutting Activities Implemented ..................................................................................... 36

5.1 Gender and Youth ................................................................................................................................. 36

5.2 Communication and Marketing ....................................................................................................... 40

5.2.1 Key Activities Accomplished ....................................................................................... 40

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) iv

5.3 Internet Communication Technology ............................................................................................ 43

VI. Management and Administrative Issues ................................................................................. 45

6.1 Personnel .................................................................................................................................................. 45

6.2 Operations ................................................................................................................................................ 47

6.3 SME Connect ........................................................................................................................................... 47

6.4 Onesource ................................................................................................................................................ 48

6.5 Environmental Compliance ................................................................................................................ 49

6.6 Safety and Security................................................................................................................................ 49

VII. Monitoring and Evaluation ...................................................................................................... 50

7.1 Development and Submission of the Seed M&E Plan ............................................................ 50

7.2 Indicators .................................................................................................................................................. 58

7.3 Development of Monitoring and Evaluation Tools .................................................................. 60

7.4 Development of the Seed Ict Platform .......................................................................................... 62

7.5 Baseline Survey ....................................................................................................................................... 63

7.6 M&E Activities Next Quarter ............................................................................................................. 63

Annex I: Seed in Action May-July 2016 ......................................................................................... 64

Annex II: List of Memoranda of Understanding (MOU) Signed .................................................... 67

Annex III: Summary Reports of Seed Events May-July 2016 ......................................................... 68

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) v

LIST OF ACRONYMS AND ABBREVIATIONS

Arab Academy for Science, Technology & Maritime Transport (AASTMT)

American Chamber of Commerce in Egypt (AmCham)

American University of Cairo (AUC)

Business Development Services (BDS)

British University in Egypt (BUE)

Contracting Officer (CO)

Chief of Party (COP)

Contracting Officer’s Representative (COR)

Department for International Development (DFID)

Egyptian Banking Institute (EBI)

Egyptian Financing Supervisory Authority (EFSA)

Eitesal Business Nurturing Initiative (EBNI)

European Bank for Reconstruction and Development (EBRD)

Egyptian Center for Public Policy Studies (ECPPS)

Egyptian National Competitiveness Council (ENCC)

Environmental Monitoring and Mitigation Plan (EMMP)

Emergency Preparedness Plan (EPP)

Egyptian Regulatory Reform and Development Activity (ERRADA)

European Union (EU)

Federation of Chambers of Commerce (FEDCOC)

Federation of Egyptian Industries (FEI)

Gender Action Plan (GAP)

General Authority for Investment and Free Zones (GAFI)

Global Affairs Canada (GAC)

Gulf Cooperation Countries (GCC)

Deutsche Gesellscahft fur Internationale Zusammenarbeit (German Federal Enterprise for

International Cooperation) (GIZ)

Government of Egypt (GOE)

Industrial Development Authority (IDA)

Initial Environmental Examination (IEE)

Information, Communication, Technology (ICT)

International Labour Organization (ILO)

Industrial Modernization Centre (IMC)

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) vi

Information Technology Industry Development Agency (ITIDA)

Knowledge Economy Foundation (KEF)

Key Performance Indicators (KPI)

Local Compensation Plan (LCP)

Long-Term Technical Assistance (LTTA)

Micro and Small Enterprises (MSE)

Micro, Small, and Medium Size Enterprises (MSME)

Monitoring and Evaluation (M&E)

Monthly Action Plans (MAP)

Memorandum of Understanding (MOU)

Ministry of Social Solidarity (MOSS)

Ministry of Trade and Industry (MTI)

Non-Governmental Organization (NGO)

National Council of Women (NCW)

National Supplier Development Program (NSDP)

Operational Security Plan (OSP)

One-Stop-Shop (OSS)

Program Management Unit (PMU)

Price Waterhouse Coopers (PWC)

Request for Proposals (RFP)

Strengthening Entrepreneurship and Enterprise Development (SEED)

Swedish International Development Cooperation Agency (SIDA)

Social Fund for Development (SFD)

Small and Medium Enterprises (SME)

Scope of Work (SOW)

Short-Term Technical Assistance (STTA)

Technology Innovation and Entrepreneurship Center (TIEC)

Training of Trainers (TOT)

Technology Innovation and Commercialization Offices (TICO)

Technology Transfer Offices (TTO)

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development

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I. EXECUTIVE SUMMARY

1.1 SUMMARY OF RESULTS FOR THE REPORTING PERIOD AND

KEY ACHIEVEMENTS

The following Quarterly Report provides a review of the activities, successes, and challenges for

the Strengthening Entrepreneurship and Enterprise Development (SEED) Project for the period of

May 1 - July 31, 2016. This period saw substantial progress for the SEED Project in advancing its

goals of improving the entrepreneurship ecosystem in Egypt, promoting a broad range of

business development services, and facilitating value chain linkages in the economy.

In order to establish the project as a principal actor in the entrepreneurship and SME development

community, SEED laid the foundations for significant and meaningful relationships with other key

players in the community. During the quarter, Memoranda of Understanding were completed with

a number of organizations with the intent of creating partnerships that encompass all of SEED’s

technical capacities with broad geographic reach across Egypt. For example, SEED signed an MOU

with Enpact, a not-for-profit organization that focuses on developing entrepreneurship skills and

opportunities for youth to create “Entrepreneurship Camps” in communities outside of Cairo.

SEED also signed MOUs with other key stakeholders including but not limited to the Federation

of Egyptian Industries (FEI) and the National Council of Women (NCW).

Through SEED’s Component A, focusing on developing entrepreneurship skills and opportunities,

the project launched a nationwide mentorship initiative, which began with a national mapping

exercise to pinpoint where entrepreneurship mentorship services exist, and where there is the

greatest need for additional support. SEED is also designing a twinning initiative between

incubators/accelerators and local best practice organizations in order to create a pilot program

for start-up incubators with innovative, effective, and cost-efficient models. Component A is

directing its efforts at improving critical skills, practices, and methodologies at

incubators/accelerators, including leadership, service delivery, long term sustainability,

replicability, and inclusion of women and youth.

Component B, with a mandate to improve financial and non-financial business development

services, has been successful in engaging with the BDS community in Egypt. The project has been

coordinating with both the Social Fund for Development and the General Authority for Investment

and Free Zones (GAFI) to create a nationwide network of high-functioning One-Stop-Shops (OSS)

to support the creation of new businesses and to promote economically efficient interactions

between the private and public sectors. SEED has built a productive relationship with the Egyptian

National Competitiveness Council (ENCC) to provide assistance in developing and implementing

its strategic plan. Our first interaction with ENCC resulted in a productive working session on


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Egypt’s proposed new Value Added Tax (VAT) legislation, with a focus to help others advocate for

the law being designed in a way that does not inhibit MSMEs.1 SEED also developed strong

relationships with the Egyptian Banking Institute (EBI), the training arm of the Central Bank, and

the Financial Services Institute (FSI), the training arm of the Egyptian Financing Supervisory

Authority (EFSA). This resulted in the project sponsoring a series of workshops and seminars to

support innovative and SME-friendly financial services, including factoring, credit guarantees,

social performance monitoring, and innovative financial product development.

Component C, which is dedicated to the integration of MSMEs in select value chains (VC),

continued its value chain selection process, including shortlisting seven subsectors2, conducting

cost-benefit analyses for those subsectors, and developing an environmental mitigation

framework to be implemented for each subsector as needed. SEED completed an analysis of

Corporate Social Responsibility (CSR) activities being undertaken in Egypt, and has begun the

process of partnering with large firms in order to provide support services, mentorship, and VC

linkages to MSMEs. The project is also closely coordinating with the Federation of Egyptian

Industries (FEI) to develop that organization’s CSR Unit to provide more coherent and integrated

services to its members.

In terms of policy reform, SEED received approval to start working with ERRADA on a review of all

the articles in relevant laws that affect MSMEs. This is highly supported by the MTI and will result

in several recommendations to change the law itself. SEED also drafted a SOW for a STTA

consultant to develop a comprehensive Advocacy Manual for both private and public sector

stakeholders. This will be completed prior to the end of the year. As a follow-up to this

assignment, SEED has drafted a SOW and is in the process of hiring a STTA consultant to work

with the FEI’s Policy Unit to help them better understand, plan, and implement advocacy

campaigns on behalf of their members. Lastly, SEED met with the USAID WISE project to explore

areas where we can collaborate. One potential area of collaboration is with the ENCC in building

their capacity in terms of MSME policy reform advocacy.

During this period, SEED launched its grants program with an initial call for concept papers. The

response to this call has been immense, indicating the clear need for the types of support services

that SEED is offering. As of this writing, SEED’s grants unit had received over 100 concept notes.

The deadline for receipt of concept papers is scheduled for August 14th, 2016.

1 As of the writing of this report, the Egyptian Parliament has adopted the new VAT, which excludes all businesses

up to a revenue threshold of 500,000 LE. 2 Dairy production, fisheries, automotive parts and accessories, contract furniture, solid waste management, plastics,

and ready-made garments.


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1.2 CHALLENGES AND OTHER CRITICAL ISSUES

II. INTRODUCTION

This quarter saw a number of exciting developments with new and potential stakeholders, the

strengthening of existing partnerships, and a predominant attitude of responsiveness on the part

of partners and stakeholders to the progressive strategies offered by SEED. The program

continues to present practical, professional, and innovative support to its stakeholders through

varied professional interventions. These interventions include in-depth pre and post intervention

assessments, workshop delivery, forum moderation, business consultancy, institutional support,

training, and technical assistance. These interventions empower beneficiaries and lead to realistic

goal setting and objective completion by institutions, thereby strengthening the MSME sector

throughout Egypt. Although the reporting period covers the traditionally slow days of summer,

Ramadan, and Eid al Fitr, SEED successfully increased cooperation with its stakeholders, achieved

several deliverables, and most importantly, set the stage for fulfilling its objectives related to

sustainable improvement of the entrepreneurial and MSME ecosystem in Egypt.

Nine months into SEED’s implementation, the program team has completed several

milestones, including:

General trainings and Training of Trainers (ToT) for financial institutions;

Forums to facilitate networking and collaboration with the ecosystem;

Presentations and technical assistance to women’s organizations;

Stakeholder mapping exercises;

Value Chain assessments before final VC identification;

Development of assessments and selection criteria for incubators;

Scope of Work drafting for key sector interventions (OSS, BDS, Policy Reform, etc.); and

Nine (9) Memoranda of Understanding signed.

These MOU were developed through collaborative processes that set out goals, strategies for

reaching these goals, required assistance in the form of expertise, training and capacity building,

and key benchmarks for marking progress. For example, cooperation between SEED and the

Federation of Egyptian Industries, the nation’s largest cluster of industry organizations,

commenced in earnest within 5 days of signing the MOU.

The FEI MOU covers the organization as a whole, and entails a broad reform plan under the

direction of its active chairman Mohamed El-Sewedy. Areas of SEED support to FEI and its

chambers and committees includes support to the newly formed Women in Business Unit, CSR

Unit, Policy Reform Unit, and stakeholder engagement units through internet and alternative


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media platform outreach. The other MOU serve a similar purpose as a roadmap of SEED

interventions and impact. Additional MOU with other key stakeholders are in discussions and are

expected to be signed in the next quarter. The reporting period also witnessed the launch of

SEED’s first grants program, called the Entrepreneurship and Innovation Fund (EIF).

The SEED Project’s main event of the quarter was held on May 23, 2016. Branded “A Networked

Approach to Entrepreneurship and Enterprise Development”. The event laid out the groundwork

for a strong and interactive relationship with ecosystem stakeholders, and informed and

sharpened the USAID SEED project’s profile and objectives. Following the forum, the over 180

participants received an email containing a contact directory, with guidance for further networking

and information sharing. One of the unexpected, yet most significant outcomes of this event was

the establishment of a very close relationship with SEED’s primary point of contact at the Ministry

of Trade and Industry (MTI), Dr. Sherine El Sabagh. Dr. Sabagh is both the head of all international

donor coordination at the MTI and the head of MTI’s Policy Unit.

2.1 SEED QUARTER 3 OPERATING ENVIRONMENT

The reporting period has seen a series of interesting and encouraging developments in the

landscape in which SEED operates, notably the Egyptian government’s interest and eagerness in

pushing forward genuine economic reforms, much of which focus on the recognition and support

of SMEs. The MTI is in the process of drafting legislation which would task the Industrial

Development Authority (IDA) with managing and tendering land allocated to industrial projects.

This legislation, and others like it, grants the New Urban Communities Authority (NUCA) exclusive

rights to manage allocating land for housing and erode the powers of the General Authority for

Investment and Free Zones (GAFI) to tender land under the Investment Law. The new Industry

Permits Act is anticipated to limit excessive bureaucracy when obtaining industry permits, shorten

the time required to obtain such permits to 30 days, and name the IDA to be the sole permit

authorization and issuance party. Interestingly, the environmental and security codes will not be

enforced for industrial permits.

The House of Representatives is currently drafting a law governing SMEs, with the goal of forming

a single accredited body responsible for the domestic SME sector. The proposed agency would

be responsible for business formation, liquidation, and taxation in the SME sector. The move is

aimed at facilitating funding and decreasing the risk of SME credit default. This comes as the

Finance Ministry prepares to introduce legislation that establishes a new tax framework for SMEs,

to follow the introduction of the national Value Added Tax (VAT) law by the Parliament. The much

debated VAT law is part of a government reform program which hopes to inspire IMF investment

confidence, and is aimed at eventually approving an agreement between the government (Egypt)

and the global lender (IMF) on a $12 billion fund facility, to be disbursed over three years. The


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new tax, which is scheduled to be implemented in September, was expected to be voted on in

Parliament before the end of this reporting period but was delayed due to ongoing debates in

connection with its rate. While the Parliament argued for a VAT rate of 12 percent, the Cabinet

insisted on a 14 percent rate. SEED is participating in this discussion in support of the MSME sector

by supporting the ENCC’s VAT forum with several Parliamentarians, as well as the in the drafting

and issuance of a position paper about the potential effects of VAT on MSMEs.

One hundred new factories are also planned to be constructed as part of the first phase

development of the new plastic industrial complex in Alexandria, named Plastic City. Older

factories will be upgraded as well. Plastic City is expected to attract investments worth EGP 100

million and generate production worth EGP 40 million per month, with 50% of the latter exported

to Arab and African markets.

MTI is also working on a new export subsidy program targeting a 10% annual growth rate of

exports by offering an additional subsidy of up to 15% for manufacturers who can grow their

exports by 25%, depending on their domestic component and targeted export market. The IDA is

also set to issue 350 feddans of infrastructure-ready land for SME projects in Port Said. The

projects are set to be in the food, engineering, textile, weaving, and chemical sectors. The

remaining land plots will be used for an integrated industrial complex for smaller investors. Only

25% of the land’s price will be paid up front, while the rest is slated for installments over five years,

with a two-year grace period.

Finally, the MTI, through the offices of Dr. Sherine El Sabagh, is taking proactive measures to better

manage, align, and coordinate the various types of donor assistance being provided. Several

synergy meetings have taken place, with all the counterparts slowly beginning to understand each

other’s role. SEED sees significant potential to contribute to this and to leverage its support with

other USAID projects, as well as those funded by the Government of Egypt (GOE), European Union

(EU), German Gesellschaft fur Internationale Zusammenarbeit (GIZ), and International Labour

Organization (ILO).

III. COMPONENT ACTIVITY IMPLEMENTATION

3.1 COMPONENT A: ENTREPRENEURSHIP SKILLS AND OPPORTUNITIES

3.1.1 KEY ACTIVITIES ACCOMPLISHED UNDER COMPONENT A

During this quarter, Component A hired three STTA consultants:


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One Mentorship STTA who is working to map all of the existing mentorship services and service

providers. The consultant is drafting and will submit a report with recommendations on the actions

needed to establish a broader, better, and more sustainable mentorship network for the

entrepreneurial community.

One International Incubator Expert and one Local Incubator Expert who works hand in hand

to assess and select pilot incubators/accelerators. They are also identifying existing skills, service

gaps, and capacity building needs. With set criteria for pilot incubators, they will also conduct

multiple trainings during the month of August.

Meanwhile, SEED is finalizing an agreement with the principal authors of the 2016 Egypt

Global Entrepreneurship Monitor or “GEM” report. GEM is the world's foremost study on

entrepreneurship, and provides high quality information, comprehensive reports, and impact

stories, which, in turn will greatly enhance the understanding of the entrepreneurial landscape in

Egypt. GEM reports are being conducted in over 100 countries, further adding to their value as a

basis of comparison. SEED will be the main partner in delivering and publishing this report in

Egypt.

RESULT A.1: STIMULATED ENTREPRENEURSHIP AMONG WOMEN AND YOUTH

The team continues to play an active role in the Entrepreneurship & Innovation Committee (EIC) of

the American Chamber of Commerce in Egypt (AmCham). SEED has been involved in a series of

meetings with the EIC, which has led to several introductions and potential partnerships with key

players within the ecosystem.

In this quarter, the team received and reviewed proposals and concept notes, as summarized

below, from the following potential partners:

Technisummit to partner on networking events in the Delta and Upper Egypt;

EYouth to support nationwide business plan competitions reaching over 1,000 Egyptian

youth in over 10 governorates;

Innovety to sponsor a business plan competition in Mansoura that will provide intensive

capacity building and high level training to participants, with an aim to empower youth and

women and prepare them to become future business owners;

Arab Academy for Science & Technology and Maritime Transport (AAST) to provide

implementation support to an entrepreneurship pilot program for the university;

Ahead of the Curve to promote an awareness campaign promoting entrepreneurship among

youth and women, and establish a sustainable network of trainers who will work to deliver

the program’s content in various universities;

Enpact to develop a national camp focused on creating a mentorship network;


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Heliopolis University to establish a sector-focused incubator, an entrepreneurship center, and

an entrepreneurship curriculum in the university; and

Flat6labs to provide technical assistance to increase institutional capacity, and provide boot

camps for early-stage entrepreneurs.

SUB-RESULT A.1.1: IMPROVED ACCESS TO MENTORING AND ENTREPRENEURSHIP

SERVICES FOR WOMEN AND YOUTH

With the assistance of the Mentorship Consultant, SEED was able to conduct a mapping exercise

of current mentoring services being offered across the country, including women and youth-

focused programs. The mapping exercise also identified where geographical and gender-based

gaps exist. To further assist Component A, the Consultant met with existing mentorship programs

such as Enpact, Sharek, and AWTAD. Subsequently, SEED conducted surveys to assess the best

tools and develop approaches that improve the capacity, quality, and coverage of mentorship

programs for entrepreneurs and startups. These approaches also emphasized broad accessibility

and efficacy for women and youth. The Consultant is currently drafting a report comprising all of

the results, findings, conclusions, and recommended next steps to bolster the effectiveness of

mentorship in Egypt. Finally, the Consultant will be highlighting potential partners for SEED in the

area of mentorship.

Moreover, SEED signed an MOU with Enpact, a non-profit organization, founded in August 2013

with the aim of strengthening economic relations between young entrepreneurs from the startup

arenas in the Middle East, North Africa, and Europe. Our intention is to collaborate to form a

“National Mentorship Camp” to empower entrepreneurs from marginalized regions, build a

mentoring network of young Egyptian startups exclusively focused outside of Cairo, and provide

policy recommendations in order to enhance the entrepreneurial ecosystem in Egypt. The value

added through mentoring will give the incentive for long-term involvement. The objective of this

effort is to create a new cadre of mentors, through the training of entrepreneurs, to become future

mentors.

In order to develop a high-quality and readily accessible online platform, the team worked closely

with SEED’s subcontractor, Souktel, to better understand the Egyptian entrepreneurial ecosystem,

and to develop relevant online intervention tools. With that purpose in mind, an RFP was issued

for a market research company to conduct a mapping and assessment exercise of existing and

planned platforms, similar to SEED’s envisioned platform. It is anticipated that the market research

will provide in-depth understanding of the Egyptian market, including information about other

organizations that provide or are planning to provide similar services in the future. An analysis of

usage trends and the level of engagement of various content types and channels will be

highlighted and incorporated into the feature and service recommendations. Additionally, the


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research is expected to provide a comprehensive analysis of the feasibility and efficacy of both

online and mobile platforms in urban and rural areas (while illustrating the distinction between

these).

As part of Component A’s deliverables of creating entrepreneurship networking workshops, a one-

day event entitled “A Networked Approach to Entrepreneurship and Enterprise Development” was

held on May 23, 2016. The event highlighted the importance of collaboration and networking among

mezzanine organizations which support the growth and expansion of entrepreneurship and enterprise

development in Egypt. The event also formally introduced the SEED Project to the Egyptian ecosystem.

The event format included:

Opening speeches by USAID and other stakeholders;

Three interactive and concurrent panel discussions, each led by well recognized champions

addressing a high-priority issue of relevance;

A closing session featuring wrap-up summaries of the panel sessions and “next steps” for the

entrepreneurship and MSME ecosystem; and

A closing keynote address by a dynamic ecosystem thought leader.

Actual attendance exceeded expectations, with 181 registered participants, composed of 98 males

and 83 females. Participants expressed high satisfaction with the event, both verbally and in the

post-event survey. Participants gave the event an overall satisfaction rating of 4.1 (out of 5) and

indicated their appreciation for the opportunity to network and share ideas stimulated by the

event. They also commented that the panel discussions were very fruitful; noting that bringing

together Egyptian government representatives, the private sector, and NGOs to discuss the

challenges to and path forward for the entrepreneurship and MSME ecosystem was highly

beneficial. The selection of the venue and format of the event produced an ideal environment for

networking. Based on the success of this event, SEED will build on the momentum, created by

holding additional events, with similar formats, for project beneficiaries in and outside of Cairo.

Participant recommendations for future events will be incorporated, as will the results of SEED’s

lessons-learned meetings, which took place after the event.

SUB-RESULT A1.2: INCREASED INTEREST AND SKILL AMONG WOMEN AND YOUTH TO

PURSUE ENTREPRENEURIAL CAREERS

In keeping with the project’s commitment to local partnerships, SEED signed an MOU with Injaz, to

implement a school program that introduces business and financial literacy to students, focusing on

schools in 5 different governorates. To account for the anticipated slow implementation of the Injaz

MOU, due to the requirement for GOE approvals, SEED has also worked on exploring additional

partners, with the goal of creating a pilot to introduce entrepreneurship into school programs. Given

that the approval process, managed by the Ministry of Social Solidarity (MOSS), can take from 3 to12

months before an approval decision is made. To overcome this hurdle, SEED has explored potential


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cooperation with the AAST. This partnership will establish entrepreneurship-based school programs

in Cairo and Alexandria. SEED also initiated discussions with Ahead of the Curve, to capitalize on that

organization’s agreement with the Ministry of Education to introduce entrepreneurship programs.

Additionally, SEED is currently exploring areas of potential cooperation with the USAID Science

technology Engineering and Math (STEM) school program.

Looking ahead, the Entrepreneurship University Program Consultant, is scheduled to begin a

consultancy during the next quarter, and will focus on designing and augmenting

entrepreneurship educational programs for universities. The program(s) will incorporate both an

overview of what entrepreneurship is and what being an entrepreneur means. The program will

also cover specific business-related aspects that are integral to entrepreneurship, including but

not limited to:

Market and competitive analysis,

Business planning,

Risk management,

Product innovation,

Service differentiation,

Marketing,

Fundraising,

Financial management, and

Human resources.

To further enhance university-based entrepreneurship education, an RFP was prepared for 3

different business plan competitions for university students, with a focus on business and financial

literacy. The business plan competition will take place in different governorates around Egypt. A

number of organizations and universities have been shortlisted and are pending final review and

approval from the COP and AECOM’s Home Office.

RESULT A2: IMPROVED AVAILABILITY AND ACCESSIBILITY OF ENTREPRENEURSHIP

SERVICES, WITH A FOCUS ON BUSINESS INCUBATORS AND ACCELERATORS

SUB-RESULT A2.1: INCREASED NUMBER OF INCUBATORS MANAGED ACCORDING TO

INTERNATIONAL BEST PRACTICE

During this quarter, SEED conducted a second round of field assessments of incubators and

accelerators in Egypt. Together with the International Incubator Consultant, SEED completed an

in-depth assessment. The team also developed comprehensive selection criteria, a mapping of

international best practices and laid the groundwork for twinning with local best practice

organizations. As a result of the assessment, the team was able to determine the organizations'

primary needs as well as their potentials. Such determination will be integral to designing a future

development plan, in accordance with international best practices.


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The International Incubator Consultant is also designing assessment tools, to guide SEED in

selecting better pilot incubators, mapping and assessing incubators in Egypt, and determining the

needs and replication potential of select international best practices across Egypt. These tools are

as follows:

Best Practice Framework Assessment,

Pilot Incubator Selection Criteria Matrix,

Incubator Fact Sheet and Baseline Data Form, and

Mapping the Egyptian Entrepreneurial Eco-System, including Incubators & Accelerators.

The team has narrowed down the selection of the pilots to 6 incubators/accelerators. This shortlist

is undergoing a thorough selection process. The potential pilot incubators are:

Heliopolis University for Sustainable Development as a sector-focused incubator;

Eitesal Business Nurturing Initiative (EBNI) as an Internet-of-Things pilot accelerator;

Startology as a Construction/Real Estate and Facilities Management incubator/accelerator;

INJAZ as a potential accelerator model;

Baladini as a Kitchen Incubator sector specific model; and

Egyptian Chefs Association as a sector specific incubator model.

SUB-RESULT A2.2: IMPROVED SERVICES OFFERED BY INCUBATORS AND

ACCELERATORS

It is noteworthy to point out that the assessment tools established will help SEED in selecting the

adequate pilots to implement international best practices for greater impact, assist in the design of

the 5 training modules, and contribute to determining capacity building and technical assistance

needs of pilot incubators. Thus, instead of designing traditional classroom training, we intend to

apply a mix of theoretical and practical training workshops to emphasize international and local best

practices, as well as couple the day-to-day needs with the local organizations. Subsequently, SEED

plans to develop 3-4 local best practice case studies that excel in their respective areas, and

consequently create on-the-job trainings and twinning programs for longer and more sustainable

relationships within the entrepreneurial ecosystem in Egypt.

Selected local best practice case studies are as follows:

American University in Cairo (AUC) Venture Lab Incubator;

Flat6 Labs Accelerator; and

Endeavor Cluster for High Impact Entrepreneurs.

Training modules that are being designed by the STTA incubators experts and are planned to be

conducted in August 2016 are as follows:


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Client Selection Criteria,

Outreach & Marketing Strategies,

Lean Startup,

Market Assessment, and

Financial Sustainability.

Our main targets when selecting the pilots relate to their operating structures, services offered,

and/or business model. Replication may include adding new incubators to the same organization

in different locations, or establishing new standalone incubators using one of the business models

of the pilots. The key ingredient in either of these approaches is sustainability. The pilot incubator

selection criteria have similarly gone through several stages of development and, as a result, have

evolved into the following:

Leadership,

Services delivery,

Potential for sustainability,

Complete and coherent business model,

Inclusion of women and youth,

Outreach to less advantaged communities,

Commitment to Monitoring and Evaluation (M&E),

Replication potential, and

Development Potential.

Part of the International Incubator expert's task is to develop a Scope of Work (SOW) for an

international expert to work on Technology Transfer Offices (TTOs) and Technology Innovation and

Commercialization Offices (TICOs) across Egypt. The SEED team has identified the Academy of

Scientific Research & Technology (ASRT) as an excellent partner and stakeholder in this effort. ASRT

has 34 TTO GOE-funded offices in its network, and within the next quarter, six will be selected to

receive SEED assistance for the improvement of their quality, outreach, and overall operational

efficiency.

SUB-RESULT A2.3: INCREASED ACCESS, ESPECIALLY IN DISADVANTAGED

COMMUNITIES, TO INCUBATORS AND ACCELERATORS

In partnership with our subcontractor, Souktel, SEED attended a design and planning forum for the

Information and Communications Technology (ICT) Platform and arranged 3 focus groups in several

areas (Entrepreneurs, VC’s, Private Sector, NGOs, etc.) for Souktel representatives to attend during

their visit to Cairo. Given the potential impact of such a platform and the complexity involved, not to

mention the need to coordinate with several other MSME platform-related initiatives in Egypt, SEED

has decided to (a) hire a Senior Advisor to manage this intervention, and (b) hire a company to

conduct preliminary research on how to increase awareness and access financial and non-financial


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services outside of Cairo. The RFP for the research has been drafted and will be issued at the

beginning of the next quarter.

SEED has also met with, and preliminarily agreed to support existing and new stakeholders who

seek to focus their entrepreneurial efforts outside of Cairo. For example, Technisummit in

Alexandria and Mansoura; the Arab Academy for Science, Technology, and Maritime Transport

(AAST) in Alexandria, Aswan and Port Said; ASRT who will soon join the national incubator initiative

“ENTLAQ” (meaning kickoff or set and go) in Assuit, Sohag, Port Said, Cairo and Suez; and the

Technology, Innovation, and Entrepreneurship Center (TIEC) in Assuit and Alexandria.

During this quarter, SEED received specific requests for assistance, which included:

The Social Fund for Development (SFD) support to:

Provide technical assistance to their malfunctioning incubators across Egypt, in continuation

to the work previously performed by the USAID-funded Egypt Competitiveness Project (ECP);

Support in equipping and converting some outbound (virtual) incubators to inbound

(physical) incubators;

Organize internal (Egypt-based) incubator study tours to help facilitate twinning programs

between local best practices and less sophisticated, or new incubators; and

Participate in an international study tour that SEED will conduct during Year 2 of the project,

for local incubators to visit counterpart organizations and stakeholders in the US.

Technology Innovation and Entrepreneurship Center (TIEC) support to:

Provide training and technical assistance to three technology parks scheduled to open

between 2016 - 2018;

Increase efficiency in running incubators programs in Upper Egypt;

Provide technical assistance to improve TIEC's competence and capability to conduct

entrepreneurial summer activities and curricula in high schools across Egypt; and

Enable further private sector involvement in providing access to finance for incubators.


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SUB-RESULT A2.4: INCREASED GOE CAPACITY TO UNDERSTAND AND RESPOND TO

ENABLING ENVIRONMENT CONSTRAINTS

SEED has been very careful in working with GOE entities in terms of determining the exact points

of potential cooperation as well as in identifying champions who can facilitate our interventions

to be best aligned with their mandate. Several meetings were conducted with institutions such as

the ENCC, SFD, TIEC, IMC, ITC, and the MTI. SEED is being very cautious in its approach to GOE

entities and once selected, will complete specific work plans with one or more of these

organizations in the coming quarter. SEED also plans on restructuring the GOE capacity and

advocacy aspects of the SEED project such that one Senior Advisor, reporting directly to the COP,

will coordinate all relevant policy reform and advocacy related activities across all project

components.

Relevant Activities:

During this quarter, SEED continued to build its network and deepen relationships with other key

players in the ecosystem. In that context, the team participated in the following events:

American University in Cairo’s Venture Lab Demo Day: The V-Lab incubator held its

Demo Day, featuring a round of incubation assessments, and invited investors and

entrepreneurship ecosystem players to learn more about the incubated projects.

The Future of the Sharing Economy in the Middle East - The Case of Careem: A forum

focused on the ride-hailing service Careem was held at AUC. The panel discussed the

sharing economy and how it affects entrepreneurship in the Middle East, capturing how

Careem became one of the fastest growing businesses in the region.

Launch of 1864 Accelerator - A Partnership between Flat6Labs & Barclays: This event

launched a new initiative to foster the FinTech space in Egypt by transforming innovative

ideas to practical projects, by providing the necessary financial and technical support to

develop the next wave of brilliant entrepreneurs in Egypt. Flat6 Labs has approached SEED

for technical assistance with their boot camp and for additional plans on future twinning

collaborations.

The Road to GES: The day-long summit, which took place at the AUC campus in

downtown Cairo, was packed with sessions featuring international and Egyptian speakers,

entrepreneurs, investors, and policy makers, making for an exceptional networking

opportunity. The forum discussed the state of entrepreneurship in Egypt and the region,


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celebrated several Egyptian success stories, and generated a great deal of energy and

excitement around the entrepreneurship ecosystem.

Information Technology Industry Development Agency (ITIDA), TIEC, and the

Innovation Cluster Initiative (iCi) Workshop: ITIDA and its innovation affiliate, TIEC,

introduced the recently launched iCi fund, supporting the creation of innovation clusters

in targeted cities in which new technology parks are currently under development by

Silicon Waha (Oasis). The iCi fund will disburse up to EGP 40 million per cluster.

EBNI Pitching Event: The EBNI Incubator is the first Internet-of-Things (IoT) incubator in

Egypt. It is sponsored by the Etiesal Foundation, an IT foundation comprised of around

150 IT companies and individual members, with the purpose of improving the IT

environment in Egypt. During the event, 4 teams from Cycle 1 completed 10 minute

pitches of ideas, business models, and team building strategies. SEED’s COP conducted a

couple of short sessions on “How to Pitch in 5 Minutes” and “Sales Strategies”, in addition

to providing feedback and recommendations after every pitch to the startups on how to

gear their business model towards the planned goal.

The team also went on a field visit to Alexandria to meet with potential partners including:

- AAST for cooperation in schools, universities, and a sector-focused Supply Chain and Logistics

Accelerator;

- Alexandria Business Women Association (ABWA) for cooperation on a gender sensitive

MSME network; and

- Technisummit for entrepreneurship ecosystem networking in different governorates around

Egypt with a model similar to Rise-Up.

3.1.2 KEY ACTIVITIES PLANNED FOR THE NEXT REPORTING PERIOD

- Complete hiring of all Component A LTTA staff;

- Conduct two workshops, one in Cairo and another in Upper Egypt, on Financial Sustainability

to Incubators and Accelerators;

- Design 2 training modules to increase the capacity of pilot incubators selected by SEED;

- Hire STTA consultants to work on designing and implementing strategies (and write up a

manual) to develop Entrepreneurship Centers in universities across Egypt;

- Hire STTA consultants to work on increasing the operational efficiency of TTOs in Egypt;


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- Sign MOU for planned activities with key stakeholders (e.g. ASRT, AAST, Nahdet El

Mahroussa, Rise-Up, Baladini, TIEC, AUC, Endeavor) and start working on developing and/or

enhancing entrepreneurship curricula for schools and universities;

- Conduct one TTO workshop on increasing operational efficiency and identifying means of

linking academia with industry needs;

- Conduct one Mentorship workshop;

- Conduct one women-focused Startup Weekend workshop & business plan competition; and

- Work closely with the different stakeholders and international donor projects on developing

SEED’s entrepreneurship and enterprise SMEConnect ICT Platform.

3.1.3 LESSONS LEARNED FOR FUTURE IMPLEMENTATION

SEED has discovered the importance of determining the legal framework of the entities that

the project may establish partnerships with. Based on discussions with the project’s lawyers, it

might take more time than expected to ensure that recipient entities, whether public, private,

local or international, can obtain the necessary authorization from the GOE to receive financial

and/or non-financial resource assistance from SEED. SEED will continue to work closely with

its lawyers in developing a check-list for the selection of recipients, as well as adequate

contractual language to better accommodate this very real legal hurdle with respect to foreign

entities (e.g. SEED) delivering donor-funded assistance to Egyptian entities.

Based on an extensive, in-depth assessment of the entrepreneurial ecosystem and the myriad

incubators and accelerators across Egypt, SEED has determined that there are very few true

incubators in Egypt that focus on start-up, early stage enterprise development, and which

provide tailored services to meet entrepreneur’s needs. Rather, most of the efforts are in the

‘acceleration’ arena, characterized by a specified start and end date and admittance of a cohort

of clients, which are at a similar stage of enterprise development (idea/pre-enterprise, formal

start-up, growth, etc.). Also well recognized is the fact that most of these provide a

standardized sequence of assistance for all of the participants rather than offer an

individualized or customized approach that would lead to better funding and long term

success upon graduation.

Identifying local best practice case studies for mezzanine entities to adopt is extremely

important. International best practices, while valuable, are not always applicable to the local

context. The SEED team has discovered that it is better to facilitate on-the-job training and

twinning agreements with industry champions that are well respected by sector stakeholders.

Mentorship and consultancy are often used interchangeably in the entrepreneurial ecosystem

in Egypt. It is extremely important to raise awareness, among our partners, of the importance

of developing their network of consultants (subject matter experts) to better serve their clients

in their respective fields. Based on this information, sector specific needs and concerns are

likely to represent the highest demand on SEED’s anticipated SMEConnect ICT portal.


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SEED will complete MAP (Monthly Action Plan) for Year 2, as it proved to be a very useful tool

in guiding programming throughout Year 1 of the project.

Penetration of the entrepreneurship environment in areas outside of Cairo continues to be a

substantial challenge. Significant lack of information, awareness, knowledge, maturity, and

resources are the biggest challenges that SEED has faced. In order to reach the maximum

number of target audiences, SEED hopes to develop a customized strategy of partnering with

existing champions in areas such as Sohag, Assuit, Alexandria, Aswan, and Mansoura.

SEED will continue to coordinate with existing international donors working on similar

projects in order to avoid duplication, leverage resources, and ultimately ensure the

greatest possible impact of USAID’s SEED Project.

3.2 COMPONENT B: FINANCIAL AND NON-FINANCIAL SERVICES

3.2.1 KEY ACTIVITIES ACCOMPLISHED UNDER COMPONENT B:

RESULT B.1: IMPROVED AVAILABILITY AND ACCESSIBILITY OF EFFECTIVE AND EFFICIENT

BDS

SUB-RESULT B.1.1: INCREASED NUMBER OF EFFECTIVE ONE-STOP SHOPS

SEED recruited a One Stop Shop (OSS) Consultant and is currently finalizing the onboarding

process, with an anticipated start date of August 21, 2016. Additionally, SEED met with the Head

of the SFD non-financial services sector, Dr. Rafaat Abbas, who informed the SEED team of SFD’s

collaboration with the European Bank for Reconstruction and Development (EBRD) on a study

conducted on OSS best practices. While the intent is for SEED to assist the SFD in implementing

the recommendations of the study, the project team is still awaiting copies of the report, despite

several reminders to SFD. Throughout this quarter, SEED has completed the following:

o SEED translated a summary brief of EBRDs study, provided by SFD, from Arabic to English.

o SFD is currently reviewing a draft SOW for a SEED consultant, whose main tasks will include

supporting the SFDs goal of concluding a more broad–based and demand-driven approach to

their OSS offerings. The OSS Consultant, scheduled to begin the consultancy this month, will

also contribute to this goal, although the SOW will not be limited to the SFD.

o SEED developed an MOU with FEI, to assist the latter in developing a plan for the formatting of

FEI’s OSS unit. The MOU states that the SEED OSS Consultant will conduct onsite visits to FEI

and subsequently author the plan to guide FEI’s implementation. SEED also agreed to meet with

GAFI to discuss the potential for collaboration to support GAFI’s OSS and BDS center.


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o SEED drafted an MOU with FEDCOC and met with FEDCOC’s Chairman, Mr. Ahmed El Wakil;

Secretary General, Dr. Alaa Ezz; and Tamayouz’s newly appointed Coordinator, Mr. Mohamed

Sallam, to discuss the following:

o Information relevant to the upcoming Consultant’s work;

o Clarification on FEDCOC’s plans to create a Tamayouz Academy;

o Strategic understanding of FEDCOC’s plans for establishing new Tamayouz centers and

satellite offices;

o Finalization of the MOU and Consultant’s SOW.

SUB-RESULT B.1.2: INCREASED EFFECTIVENESS OF BDS PROVIDERS

During this quarter, SEED received several concept notes for potential collaboration and initiative

support including:

o Alashanek ya Balady (AYB) sent a concept note to enhance the socio-economic inclusion of

young people and women through entrepreneurship and BDS support.

o The National Council of Women (NCW) signed a Letter of Intent to establish a women’s

business development center, which will serve as a hub for all the women BDS providers in

the country.

o Beit El Karma Consulting group (host of DARPE), sent a concept note seeking support to

improve their BDS quality and outreach.

Moreover, SEED contributed to the mentoring component of the Swedish Institute, upon delivery

of the Women SME’s Leadership Program. SEED also sponsored a BWE21 BDS capacity building

workshop for its members where SEED’s COP, Dr. Adam Saffer, presented.

SEED recruited and contracted a Consultant to conduct a cross-Egypt BDS market assessment.

The Consultant will start work towards the end of August. Using secondary source documents

from the ECP and other donor funded projects and studies, the Consultant will develop a database

of BDS providers, assess the current services, and recommend improvement and development of

new services based on market needs.

SEED developed a SOW to improve the performance of SFD’s BDS unit, using the BDS strategy

developed by the USAID-funded ECP, for SFD, in 2013. SFD has requested SEED support in

implementing the strategy, including capacity building for SFD staff. Currently, SFD is reviewing

the SOW. Recruitment of the Consultant will be initiated once feedback is received from SFD.

SUB-RESULT B.1.3: IMPROVED MSME ACCESS TO EFFECTIVE BDS TOOLS AND SERVICES

Component B discussed the options for using ICT tools to help MSMEs gain access to business

development services with Microsoft, ILO, DARPE, and others. Based on this discussion, SEED


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launched an RFP to develop an ICT Platform aimed at supporting the needs of entrepreneurs and

MSMEs through a wide range of BDS services. These services include access to finance, business

planning, program management, marketing, business information, and tendering. The main focus

of this RFP will be to identify and assess existing platforms, and collaborate with other platforms

where possible, in order to minimize market confusion and unnecessary repetition. SEED is also

working with existing BDS providers to help improve their management skills, services, and

outreach capacity, with a particular emphasis on women and youth in disadvantaged areas.

SUB-RESULT B.1.4: INCREASED CAPACITY AMONG BDS PROVIDERS AND ASSOCIATIONS

TO ADVOCATE FOR POLICY CHANGE AND GOE TO ENACT REFORMS

SEED reached an agreement with the ENCC to provide support in developing ENCC’s strategic

plan, guidelines for an advocacy campaign, website development, and general capacity building

for ENCC’s staff. More specifically:

The STTA SOW for ENCC’s Strategic Planning and Capacity Building was finalized and

announced.

SEED began recruiting a consultant who will work with ENCC during the 3rd week of

September.

SEED sponsored and provided the guest speaker and moderator for an ENCC conference on

VAT, with a specific emphasis on the potential implications of such a law on MSMEs. The

conference was hosted by the ENCC and included parliamentary members, businessmen,

consultants, and tax experts from the Ministry of Finance. The event was attended by 100

participants and included a speech by the Assistant Minister of Finance during the conference

plenary session. A position paper on the impact of VAT on SMEs was developed by the

moderator of the conference, which will be used in the ENCC’s advocacy campaign to relevant

committees within the Parliament.

Several meetings were conducted with Dr. Sherine El Sabagh, the Head of the Policy Unit and

Coordinator of all donor funded activities at the Ministry of Trade and Industry. Both parties

share a goal of improving the enabling environment for all MSMEs. As a result, conversations

naturally centered on the coordination of efforts between the Ministry and SEED to reforming

laws and regulations concerning entrepreneurship and MSMEs.

Meanwhile, SEED developed a SOW for a team of 3 consultants to support ERRADA in conducting

an inventory of the key laws and regulations affecting MSMEs. This will be followed with another

project for the Ministry, funded by the British Council, to analyze the impact of these laws and

regulations, deliver recommendations for changes to existing laws, and suggest new laws and

regulations to better support the enabling environment for MSMEs. SEED’s team of Consultants

will also support developing ERRADA’s existing website to make it more interactive and service


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oriented towards MSMEs.

Finally, SEED developed a SOW to hire a reputable firm dealing with survey techniques and

statistical analyses to review the methodology of the first publication of the SME Performance

Indicator Report authored by the Egyptian Center for Public Policy Studies (ECPPS). The main task

of the firm will be to review the statistical methodologies used, and make recommendations to

improve the quality of the forthcoming reports, planned as a comparative analysis in each

governorate. The selected firm will also be responsible for building the capacity and capability of

ECPPS to conduct research in accordance with international best practices.

B.2. IMPROVED AVAILABILITY AND ACCESSIBILITY OF FINANCIAL PRODUCTS AND

SERVICES

B.2.1: INCREASED CAPACITY OF PUBLIC AND PRIVATE INSTITUTIONS TO DEVELOP, USE,

AND MARKET FINANCIAL PRODUCTS AND FUNDING MECHANISMS FOR MSMES

B.2.1.1: FINANCIAL INSTITUTIONS AND MFI CAPACITY TO ADAPT/DEVELOP, USE, AND

MARKET FINANCIAL PRODUCTS FOR MSMES STRENGTHENED.

SEED conducted its first workshop for microfinance institutions, focusing on Social Performance

Management (SPM) with the Coptic Evangelical Organization for Social Services (CEOSS). The

overall objective of the workshop was to support CEOSS in increasing its outreach and accessibility

to its target markets. The workshop was conducted at the CEOSS premises from May 18-20, 2016.

Mr. Ahmed Abdel Wahab, SEED’s Financial Products Senior Advisor, delivered the training to 18

participants (14 males and 4 females). The workshop was designed to address the social aspects

of the work, and performance within the management and operational structures of financial and

non-financial service providers. After completing the workshop, participants were better able to:

Translate the MFI’s mission into social, business, or financial goals;

Develop social objectives, and various approaches to achieve them;

Collect social performance information from internal and external stakeholders;

Design tools to analyze diverse sources of information, to monitor and assess their social

performance; and

Align their operational systems with their social goals.

A pre and post assessment was conducted to measure the improvement in the participants’

knowledge and skills. The mean score for the pre-workshop assessment was 56.1 percent, with

individual scores ranging from 40 to 80 percent. The mean score for the post-workshop

assessment was 76.6 percent, with individual scores ranging from 40 to 100 percent. The average

improvement in the participants’ individual scores was over 20 percent as presented in the graph

below.


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Following the workshop, SEED’s Financial Products Senior Advisor further discussed CEOSS’ needs

and the forms of assistance SEED could provide. Subsequently, SEED and CEOSS reached an

agreement, in which SEED would support CEOSS in improving their risk management, customer

service management, financial product development, and establishment of a new BDS unit. The

MOU was developed and signed by CEOSS management and SEED’s COP, Dr. Adam Saffer.

In collaboration with the Egyptian Banking Institute (EBI), SEED conducted a workshop for financial

institutions focused on product development for SMEs. Representatives from three banks

attended and completed the workshop, including the Housing and Development Bank, Industrial

Development and Workers Bank, and Qatari National Bank. The workshop was conducted at the

EBI premises from June 2-5, 2016, with a total of 21 participants (17 males and 4 females). The

workshop was designed to address the first stage of the product development cycle for individuals

working in SME retail and credit departments. After completing the workshop, participants were

better able to:

Define project management;

Describe the market segmentation methods as an introduction to SME market segmentation;

Explain the product design and development process;

Describe a competitive product and service range for SME banking; and


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Apply the key success factors of the SME product development process.

The results of the pre and post assessment indicated that the mean score for the pre-workshop

assessment was 61 percent, with individual scores ranging from 40 to 70 percent. The mean score

for the post-workshop assessment was 92 percent, with individual scores ranging from 75 to 100

percent. The average improvement in the participants’ individual scores was over 31 percent, as

shown in the graph below.

To build the capacity of the Credit Guarantee Company (CGC), based on the World Bank needs

assessment report of March 2015, SEED developed a SOW and recruited a well-respected CGC

Consultant, to conduct this assignment. The CGC Consultant updated the findings and

recommendations of the World Bank report, developed a capacity building plan, and began

implementing top priority activities with a special focus on the needs of SMEs. A final presentation

of all of the deliverables will be completed by mid-August.

SEED also started the process of an institutional assessment for AYB, to improve the financial

performance of their microcredit program. The assessment process will cover portfolio analysis,

risk analysis, financial analysis, governance, and management needs.

B.2.1.2: USE OF AVAILABLE NON-TRADITIONAL FINANCIAL PRODUCTS INCREASED


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SEED supported the Egyptian Factoring Association (EFA) to increase MSME awareness of

factoring as a non-traditional financial product, by sponsoring the 2nd Factoring Summit. The

Summit, held in May, was focused around the theme of “Factoring’s Role in Financing SME’s,

Locally and Globally.” Over 50 representatives of MSMEs, banks, factoring companies and EFSA

attended. Most notably, SEED’s Value Chain Consultant was a featured speaker at the Summit.

SEED Financial Products Senior Advisor, Ahmed Abdel Wahab, also conducted a workshop on

effective collection techniques for six field staff members of TAMWEEL’s collection company in

June 2016. TAMWEEL is a holding company that owns factoring, leasing, mortgage, and insurance

companies.

B2.2: INCREASED FINANCIAL LITERACY, INCLUDING CAPACITY TO USE FINANCIAL

PRODUCTS, AMONG MSMES AND FINANCIAL INSTITUTIONS

B.2.2.2: FINANCIAL LITERACY CAMPAIGN TARGETING MSMES UNDERTAKEN

In collaboration with EBI, SEED conducted a workshop for microfinance institutions focusing on

Financial Literacy. Representatives from three NGOs attended and completed the workshop:

Dakahlia Businessmen's Association for Community Development (DBACD), Sharkia Businessmen

Association for Community Development (SBACD), and the First Microfinance Foundation-Egypt

(FMF-E). The workshop was conducted at EBI’s premises in Nasr City from June 4-5, 2016, with a

total of 15 participants (12 males and 3 females). The workshop was designed to address the

importance of financial literacy and deliver basic training skills to NGOs that provide microfinance

services. After completing the workshop, participants were better able to:

Facilitate a financial awareness session;

Define savings as a concept;

Understand several different saving methods;

Define the concept of entrepreneurship; and

Understand the entrepreneurial process.

The graph below represents the results of the pre and post assessments for all fifteen participants. The

mean score for the pre-workshop assessment was 71 percent, with individual scores ranging from 50

to 80 percent. The mean score for the post-workshop assessment was 95 percent, with individual

scores ranging from 90 to 100 percent. The average improvement in the participants’ individual scores

was over 24 percent.


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The Capacity Building Senior Advisor, Dr. Mohamed Zakaria, developed a SOW for a consultant to

design and deliver 3 modules on financial literacy, targeting both banking and non-banking financial

institutions. SEED began the hiring process for the potential consultant. The Egyptian Banking Institute

(EBI) and Financial Services Institute (FSI) are the main partners in the delivery of this financial literacy

training.

B.2.3: INCREASED GOE CAPACITY TO UNDERSTAND AND RESPOND TO

CONSTRAINTS IN THE ENABLING ENVIRONMENT FOR MSME ACCESS TO

FINANCE

B.2.3.1: CAPACITY OF EFSA AND THE CBE TO REGULATE FINANCIAL INSTITUTIONS

STRENGTHENED

SEED developed a capacity building plan for FSI which was accepted by them and they

subsequently signed an MOU with SEED. This plan includes the following activities:

o Conduct a comprehensive assessment for FSI’s organizational and functional structure,

objectives, and activities;


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o Design a promising strategy for FSI (2017/2019);

o Set a capacity building plan to enable the targeted strategy;

o Organize awareness events around non-banking financial instruments, including but not

limited to leasing and factoring, to the targeted stakeholders;

o Assist in conducting a series of workshops and trainings for judges of economic courts;

and

o Design a Nationwide Financial Inclusion Awareness campaign.

3.2.2 KEY ACTIVITIES PLANNED FOR NEXT REPORTING PERIOD

B.1: NON-FINANCIAL SERVICES

The OSS Consultant will assess the existing models of OSSs at SFD, FEDCOC, MSAD/CSC and GAFI.

The consultant will then make recommendations on a standard best practice model to be applied

in these institutions. The Consultant will also supervise the change process of these OSSs and

provide advice, guidance, and assistance when needed. The Consultant will also meet with FEI to

assist them in establishing their own OSS offering, as applicable.

SEED will sign an MOU with FEDCOC to improve the performance of Tamayouz Centers and

help replicate the best practice model for application in various governorates. SEED will

support FEDCOC by providing training and technical assistance to the Tamayouz team, and

indirect support to Tamayouz clients.

The project team will solicit concept notes from the following organizations, describing the support

requested from SEED regarding BDS services:

Maan Association (Minya), to establish a BDS unit; and

The Egyptian Junior Businessmen Association (EJB), to develop demand driven business

development services.

SEED will sign an MOU with AYB to assist them in developing their financial and non-financial

programs.

SEED will sign an MOU with the Alexandria Businesswomen’ Association (ABWA) to establish a BDS

unit.

SEED will sign an MOU with the National Council of Women (NCW) to build the capacity of women

in the business unit, to work as a BDS hub for all the services provided for women in order to

support them in starting or developing their businesses.

SEED will conduct a mentoring skills workshop for AYB to improve their capacity to provide

services for MSMEs.

SEED will conduct a Business Development Management workshop for AYB to ensure quality and

sustainability of their business development services.

SEED will assess the needs of the Maan Association, EJB, and the Egyptian Businessmen’s

Association (EBA) to identify the role of SEED in supporting these organizations to provide effective

and efficient business development services for MSMEs.


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SEED will develop a SOW for a gender focused BDS Consultant, to review the existing services from

a gender perspective and recommend methods to ensure the integration of gender concepts in all

the BDS activities with these organizations. The SOW is being finalized and the consultant will be

hired and begin the assignment in the next quarter.

SEED will investigate the best way of developing a scorecard tool to measure the performance

of BDS providers.

SEED will analyze alternative certifications for BDS providers, courses, or individual

trainers/consultants to improve their skills and establish their credibility with potential MSME

clients.

The project team will continue discussions with the FEI, and develop a SOW as applicable, to

help them establish a BDS unit.

SEED will meet with Vodafone, Orange, and Etisalat to explore potential collaboration in the

formation of mobile applications and tools, as part of the SEED SME Connect ICT platform.

SEED Consultants will assist staff in developing a database of BDS providers.

The project will investigate potential of entities such as the Accrediting Council for Continuing

Education and Training (ACCET), International Organization for Standardization (ISO), and the AUC

Institute of Management to act as certifying bodies to BDS providers.

The ICT team, Souktel, and consultants will continue developing tools and gathering data for

the SME Connect ICT Platform.

SEED will publish the SOW for developing a 3-year strategic business plan for ENCC, with a special

focus on MSME related activities. One such activity will focus on enhancing the ENCC website, which

will be used as an advocacy tool for business issues in general, and SMEs in particular. The

consultant(s) for these missions will be recruited and hired in the next quarter. Another SOW

will be developed to design a training manual on evidence based policy analysis whereby

ENCC and other targeted institutions will be offered this training.

Three consultants will be hired to assist ERRADA to conduct an inventory of the laws related to

MSMEs. They will also help identify the laws and regulations that need reform to improve the

enabling environment for MSMEs.

A SOW will be published to support ECPPS develop the 2016 SME Competitiveness Index for

the governorates.

SEED will set up subsequent meetings with GAFI to finalize areas of SEED cooperation and

assistance.

B.2: FINANCIAL SERVICES

SEED will develop and implement SOWs to support banks and NGOs/MFIs in various sectors

including product developments, risk management, and internal audit.

The project will finalize the assessment of the AYB and develop an action plan to assist them in

better serving the MSME community.


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The Component B team will conduct 2 investment linkage forums for matchmaking between

investors and MSMEs.

The Component B team will conduct 2 TOT sessions using financial literacy modules designed

for specific audiences.

The Component B team will conduct a workshop for FSI, on setting strategies and developing a

business plan. This workshop will help FSI determine strategic directions of the institute as well

as the services they should provide, and how to reach financial sustainability.

The SEED team will identify the needs of other MFIs and take the proper action to support them

in improving their performance and increasing their outreach. These efforts should lead to

improved access to finance for MSMEs owned and managed by women and youth in

marginalized areas of Egypt.

SEED is considering to organize a forum with the Union of Banks, CBE, and other relevant

organizations in which Egypt’s leading banks share their experience and success stories on SME

lending with other banking institutions. An international speaker might also participate to share

lessons learned from around the world.

SEED will coordinate a meeting with the CIB to discuss their interest in mobile money, and

establish an E-wallet functionality with ABA and other microfinance institutions.


There is no shortage of demand from ecosystem stakeholders to obtain SEED assistance to

enhance the capability of their businesses. It is critical that SEED carefully selects its partners,

based on interest, capacity to absorb programming, and sustainable utilization of SEED

assistance.

Coordinating with other projects that work with the same partners is essential to avoid

duplication of efforts and the inefficient use of scarce resources.

3.3 COMPONENT C: INTERGRATION OF MSMES IN VALUE CHAINS

During this quarter, two new team members joined the Component C team: Mr. Ahmed Hussein,

the Component Team Leader, and Ms. Amira Shoukry, the Enabling Environment Senior Advisor.

DCode, one of AECOM’s resource firms, continues to work on the Value Chain Assessment and

analysis document, with an expected delivery date near the end of August.

3.3.1 KEY ACTIVITIES ACCOMPLISHED UNDER COMPONENT C

RESULT C.1. INTEGRATED MSMES TO PROGRESSIVE VALUE-CHAINS

The Component C team was able to initiate contact with several potential partners and assess

their needs and expectations for training and technical assistance. A MOU was signed with FEI,

and an action plan was developed to implement support activities in a wide range of areas. Overall,


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SEED believes that FEI will ultimately be one of, if not the most important and productive partner

for SEED over the coming months and years.

SUB-RESULT C.1.1: IMPROVED UNDERSTANDING OF MARKET AND OPPORTUNITIES FOR

MSMES IN VALUE CHAINS

Based on the analysis and weighted criteria-based assessment of economic subsectors conducted

by SEED subcontractor DCode in Phase 3 of the value chain assessment process, the following list

of 7 subsectors were identified and agreed-upon with USAID: dairy production, fisheries,

automotive parts and accessories, contract furniture, solid waste management, plastics, and

ready-made garments.

DCode continued working on Phase 4 of the value chain assessment process and delivered a draft

report on July 25th, 2016 addressing constraints perceived by stakeholders within the selected

subsectors. The report also touched upon potential interventions that SEED could support to

overcome those constraints. The report will be presented and discussed with USAID in the following

quarter.

In parallel with the DCode value chain assessment, Component C identified strong potential to

work in the horticulture value chain through partnering with the Knowledge Economy Foundation

(KEF), which is developing and operating an active information portal called “Bashaier”. This ICT

portal disseminates market information and provides market place opportunities for horticultural

buyers and sellers. In addition to serving the horticulture subsector, KEF is currently formulating

plans to expand into the dairy and fisheries subsectors, which are also two sectors of interest and

consideration for SEED.

SEED shared this information with and received consent from USAID to pursue this partnership.

SEED has now concluded a non-binding MOU with KEF outlining areas of potential collaboration

and technical assistance to be provided by SEED in the above-mentioned three value chains. The

MOU was signed by the KEF Chair Person and SEED COP on July 31.

AECOM’s Environmental Science Consultant, traveled to Egypt to conduct an assessment of

potential environmental risks and proposed mitigation measures for each of the subsectors

identified above (7 subsectors covered in the DCode assessment, plus horticulture). The

assessment was based on a review of relevant reports and presentations, stakeholder interviews

(including the Egypt National Cleaner Production Center, ENCPC), and site visits to manufacturing

and waste management facilities. The Consultant also provided a training session to SEED staff,

attended by representatives of DCode, and presented relevant findings and recommendations to

USAID. The Consultant’s final report will be finalized in the next quarter.


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C.1.2 SUB-RESULT: IMPROVED SKILLS AND TOOLS TO TAKE ADVANTAGE OF

OPPORTUNITIES IN VALUE CHAINS

Component C team organized the SEED Ecosystem event on May 23, 2016 at the Marriott Hotel

in Zamalek. As part of the event, Component C led a panel discussion on “Creating Commercially

Viable Business Linkages between Buyers and MSME Suppliers”. The panel included:

Moderator: Mr. Mostafa El Halwagy, Director, Corporate Projects, Americana;

Panelist 1: Ms. Dorra Fiani, President, Knowledge Economy Foundation (KEF),

Bashaier.com;

Panelist 2: Dr. Alaa Fahmy, National Program Officer, UNIDO;

Panelist 3: Mr. Wael Refaat, Ecosystem Manager, Danone; and

Panelist 4: Mr. Samir Sedky, ANR Program Director, CARE-Egypt.

The panel tackled live linkage scenarios between buyers and suppliers and discussed how big

buyers can contribute to the creation of a healthy linkages ecosystem, while improving quality

and helping integrate new suppliers into their value chains. The success stories presented included

Bashaier and value chain projects from CARE, Danone, and UNIDO.

The Bashaier Agriculture Marketing Network uses its ICT Platform to provide farmers with

information via the web and mobile messaging. They also offer value chain training to small

farmers, in topics such as crop cycle management. It is well known that smaller scale farmers

find it more difficult to enter a value chain than wholesale buyers, due to obstacles such as

not having current marketing information, inability to secure financing for inputs, and difficulty

in obtaining pre-season supply contracts with larger factories. Bashaier has helped farmers

bridge this gap in the value chain, and sell directly to processors. One example is the renowned

linkage project for tomato paste where farmers sell their produce directly to Heinz.

Dr. Fahmy, UNIDO Country Manager, briefed the audience on UNIDO’s efforts in Egypt, especially

in Upper Egypt, and the importance of linking MSMEs to value chains, a practice which benefits

both society and big businesses. Dr. Fahmy described how small suppliers and large companies

can obtain more competitive prices for their products, and how large companies can benefit further

by selling inputs directly to the suppliers, partaking in better trainings, and standardizing quality

throughout the value chain.

Mr. Refaat from Danone and Mr. Samir Sedky from CARE-Egypt screened a short movie

showing the benefit of their partnership in assisting small enterprises in rural areas to produce

and supply milk to the Danone factory. Danone provides technical expertise, while CARE works

with the communities and the small enterprises. This model showed the importance of

partnerships between private-sector business and communities, where activities are

sustainably created for the benefit of both parties. As a result of their hard work, the Danone-


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CARE project is now supplying approximately 15 percent of Danone’s dairy needs. During the

event, Danone-CARE proposed a partnership with SEED to share logistics and collaborate to

improve the value chain. This potential partnership will continue to be reviewed in the next

quarter.

C.1.3 SUB-RESULT: INCREASED ACCESS TO FINANCE TO TAKE ADVANTAGE OF MARKET

OPPORTUNITIES

Once the value chains have been selected, Component C will work closely with Component B in

assessing the current availability and future needs for traditional and non-traditional financial

products and services. One of the key areas that Component C is interested in developing is

subsector specific supplier financing, as this is often a constraint for MSMEs when bidding on and

performing supply contracts. Component C plans to leverage Component B’s network of public

and private bank and non-bank financial institutions and to building capacity in these

organizations, as well as develop demand-driven alternative financial products.

C.1.4 SUB-RESULT: STRENGTHENED LINKAGES BETWEEN MSMES AND BUYERS

Component C has assessed and identified good potential for all SEED Components for working

with the Federation of Egyptian Industries (FEI). FEI is actively engaged in several relevant activities

and initiatives including but not limited to:

SMEs cluster development;

CSR awareness and development;

Supporting “Women in Business”;

Advocacy for policy reform;

BDS and OSS services; and

Developing an ITC platform serving FEI chambers and members (90% SMEs).

SEED concluded an MOU with FEI outlining the main areas of collaboration. The MOU was signed

on July 27th by FEI’s Deputy Chairman and the SEED COP. The MOU signing meeting was also

attended by USAID’s SEED COR.

In addition to the MOU with FEI, SEED drafted two SOWs for an expatriate and an Egyptian CSR

advisor to support and coach FEI in developing its CSR strategy for the coming three years, and

action plan for the coming 12 months. As a next step, SEED and FEI will jointly organize a CSR

forum on business-focused CSR initiatives.

During the quarter, SEED assessed two linkages programs implemented by IMC:

The National Supplier Development Program (NSDP), which closed in 2015; and


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The Value Chains Development Program (VCDP), which is currently operating as a successor to

NSDP.

NSDP’s assessment was very informative, and while a few of the stakeholders had negative views

as to its standard of performance, most estimated that it filled a critical gap in establishing

commercially viable linkages with MSME suppliers. This led to discussions with the Industrial

Training Council (ITC) about developing a similar program. One of the early results of these

discussions is the need for SEED to address the following lessons learned from NSDP:

To survey, assess, and carefully select committed mother companies which are interested in

developing and upgrading their suppliers;

To survey, assess, and select committed suppliers who are willing to invest in their operations

and systems so as to upgrade their technical and managerial capacities to meet the relevant

international standards; and

To support ITC through building the capacity of an operational unit to manage the program,

including the need for training in project management and value chain development.

SEED further explored opportunities for cooperation with the leading automotive manufacturer,

GM Egypt, in developing an automotive value chain effort based on GM Egypt’s significant

contribution and engagement in the NSDP. The manufacturer showed initial interest, and

suggested a partnership, contingent upon selection of the automotive parts and accessories value

chain. Simultaneously, SEED is working on concluding an MOU with the ITC as they appear to be

competent, dynamic, and committed to collaborating with SEED.

The assessment of IMC’s VCDP concluded that the VCDP staff and service providers need further

capacity building to effectively manage and implement programs across different subsectors (e.g.

fisheries, dairy, textiles, plastics, automotive parts and accessories, etc.). SEED will continue to work

with the VCDP staff to define their specific needs and discuss potential areas of support with

USAID.

SEED also concluded an assessment and mapping exercise of CSR activities in Egypt with a

particular focus on those that support entrepreneurship and MSME development. The assessment,

conducted by the Value Chain Consultant, identified and compiled information on eight CSR

initiatives and activities. The assessment identified three key lesson learned:

1) Management support is a key for successful CSR programs;

2) There is a lack of awareness of business-related CSR activities; and

3) There is limited expertise and professionals available to advise and manage business-related


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CSR activities.

We also learned that there is significant potential for SEED to align and work with FEI’s newly

established CSR Unit. The assessment’s main recommendations were for SEED to support the

following:

1) Strategic planning for FEI CSR Unit;

2) Developing a CSR Manager Certification Program; and

3) Organizing, jointly with FEI, a CSR forum to present the findings of a survey conducted by

Ahead of the Curve and the American University in Beirut (AUB) and AUC Gerhart Center of

Philanthropy and Civil Engagement on the “Trends in Responsible Business Practice and Social

Entrepreneurship in the Arab Region”. This will showcase CSR interventions that advance

MSME suppliers, and in turn lead to the development of next steps to encourage and enhance

CSR activities in Egypt.

SEED is also exploring areas of potential cooperation with the AUC CSR Committee.

C.1.5: SUB-RESULT: INCREASED GOVERNMENT CAPACITY TO UNDERSTAND AND

RESPOND TO POLICY CONSTRAINTS TO MARKET MSMES INTO VALUE CHAINS

SEED is reviewing constraints, further analysis required, and ongoing activities related to increasing

the GOE capacity to understand and respond to constrains in the enabling environment for MSMEs.

The Project also determined that our approach to evidence-based policy analysis and reform (e.g.

advocacy training) should be a shared activity serving targeted groups for both Components B and

C, as it presents the same methodology to different audiences who could tailor the methodology to

their needs afterwards.

The Enabling Environment Senior Advisor immediately started compiling and contacting an initial

list of entities that are actively engaged in policy reform advocacy, research, and analysis:

SEED met with Mr. Abdel Aziz Abdel Nabi, a member of AmCham’s Subcommittee on Policy

Reform, who is a director of investment banking at “Catalyst Partners”. The AmCham

subcommittee is advocating for changing Nilex Rules to facilitate SMEs access to equity

financing. The subcommittee will conduct an awareness campaign for SMEs listing and trading

on Nilex. The subcommittee will later work on advocating for the revision of the Capital Market

Law, in order that it may provide adequate legal and regulatory framework for using Sukuk, an

internationally well-established Islamic Finance methodology, as a financing tool.

Additional communications started with various research centers, think tanks, and NGO’s

including the Economic Research Forum (ERF), Egyptian Center for Economic Studies (ECES), and

Egyptian Junior Businessmen Association (EJB).


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SEED is preparing to develop a database of private and public entities involved in policy reform

focusing on MSMEs. These could be organizations that research and identify the key legal and

regulatory constraints faced by MSMEs. They could also be firms that conduct socioeconomic

analyses, including but not limited to cost-benefit analyses, and that develop sets of

recommendations and policy papers for consideration; and/or entities that use the previous two

sets of data to advocate to GOE and Parliamentary decision makers to implement needed reforms

on behalf of the MSMEs, and possibly to other relevant communities.

SEED also met with the FEI Executive Director and the Policy Unit team to discuss FEI’s capacity

building needs in the areas of policy advocacy. FEI needs to develop a methodology for its policy

reform functions that can be developed into a manual for the Policy Unit and for FEI’s thematic

committees, which are engaged in advocacy for policy, legal, and regulatory issues affecting FEI

members (90% SMEs). Moreover, FEI needs SEED support in the provision of training based on

this manual; such training would include FEI staff as well as members of its Industrial Chambers.

Accordingly, SEED has begun drafting a SOW for the delivery of evidence-based policy advocacy

training and a manual to FEI. There will also be a separate SOW drafted to develop an advocacy

manual that will be used more generally by all organizations active in this arena.

3.3.2 KEY ACTIVITIES PLANNED FOR NEXT REPORTING PERIOD

Complete the value chain sub-sector selection process.

Hire the three remaining LTTA positions for Component C (Sector Advisors) based on the above

mentioned value chain sub-sector selection.

Work closely with the chosen subcontractor on the market survey and analysis for the ICT

“SMEConnect” platform.

Finalize the assessment of the IMC’s VCDP capacity building needs, sign an MOU, and begin

providing assistance to the IMC.

Develop and implement an actions plan(s) to support the FEI.

Develop and implement an action plan(s) to support the KEF.

Explore the role of SEED supporting KEF in organizing a market linkages forum within the activities

of the Sahara Expo in October 2016.

Develop and conclude an MOU with ITC for designing and implementing an NSDP-like program.

Develop and deliver training to industry associations as well as MSMEs in fostering and managing

commercially viable business linkages with large scale buyers in selected value chains.

Work with the FEI’s CSR Unit on developing a strategic plan for the coming three years and action

plan for the coming 12 months.

Work with the FEI’s CSR Unit and leading Egyptian and multinational firms (e.g. Humana,

Americana, Danone, and Microsoft) with robust CSR programs to hold a CSR Forum to present

the findings of a survey on the “Trends in Responsible Business Practice and Social


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Entrepreneurship in the Arab Region”, showcasing CSR interventions that develop MSME

suppliers, and collaboratively develop next steps to accelerate such CSR activity in Egypt.

Engage an STTA advisor to develop a database of enabling environment private and public entities

involved in policy reform focusing on MSMEs.

Identify key private and public entities involved in policy reform focusing on MSMEs which are in

need for and can participate in SEED policy advocacy trainings.

Design, draft, and implement a training program and manual for entities involved in MSME policy

reform.

Engage an expatriate STTA advisor to develop and deliver a customized evidence-based policy

advocacy manual for FEI.

Explore opportunities for interventions related to waste management and energy saving with

ENCPC.

Explore opportunities for working with the Engineering Industries Export Council and the Egyptian

Network of Automotive Feeding Industries on interventions related to automotive value chains.


Potential value chain partner organizations to receive technical assistance from SEED are

mainly focusing on SMEs rather than on micro businesses. Hence, SEED will have better

chances to integrate micro businesses into value chains through SEED grant recipients who

have better accessibility to micro businesses.

Supporting and upgrading existing market information platforms such as Bashaier and DARPE

could be more effective than creating a new one from scratch.

Finding the right champion remains a key success factor for SEED. An important factor during

the course of the search is to ensure that potential partner organizations, not only have the

desire and determination, but also the capacity to absorb the training and/or technical

assistance provided by SEED. This applies to all organizations we plan to work with such as

the ITC (in developing a similar program to the NSDP), KEF, ENCC, etc.

IV. IMPLEMENTATION OF GRANTS COMPONENT

4.1 DESCRIPTION OF GRANTS

The USAID-funded SEED project includes a US$1M grants program entitled the Entrepreneurship

and Innovation Fund or “EIF.”

The role of the grants program is to assist business associations, private companies, and non-

governmental organizations to systematically, strategically, and effectively advance the objectives


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of increasing their services, accessibility, and responsiveness to MSMEs such that they can better

capitalize on market opportunities and promote entrepreneurship among youth and women.

The EIF will support grants that will be used for a variety of investments including the provision of

equipment and commodities through in-kind grants to local community development

organizations; grants to establish women and youth business association networks; and grants to

businesses or industry associations for activities that clearly support SEED objectives. Funding

from SEED can also be used to assist service providers meet international quality standards and

promote collaboration on product marketing and promotion. In all cases, SEED will attempt to

maximize the impact of the EIF to as large an audience as possible.

EIF Objectives

Promote innovated ideas to expand organizational capacity of institutions to provide financial

and non-financial services to MSMEs;

Support precedent-setting, sustainable, commercially viable business linkages within high

potential value chains;

Improve the ability of business associations and other groups to conduct evidence-based

policy analysis, research, and advocate for reform;

Maximize opportunities to engage youth and women’s entrepreneurship associations and

expand access to services in disadvantaged communities; and

Foster the inclusion of women and youth entrepreneurs throughout the SEED project.

4.2 KEY ACTIVITIES ACCOMPLISHED UNDER THE GRANTS COMPONENT

Following USAID’s approval of the EIF Grants Manual and its Annexes on June 2nd, 2016, SEED

shared with USAID a draft RFA and Annexes and obtained USAID’s approval on July 8th, 2016.

EIF issued its first Request for Application (RFA) on July 22nd through multiple

platforms/websites and shared the RFA with all SEED partners to ensure wide dissemination

to potential applicants.

The RFA’s covered the following topics which are key to SEED’s objectives:

a. Organizational development for institutions that provide services to entrepreneurs and

MSMEs such as Federations, Businessmen and Businesswomen’s Associations, Women and

Youth Associations, Financial Institutions, Business Development Services providers (BDS),

Industry Chambers, etc.

b. Research, surveys and studies that provide accurate data and information with significant

insights on the status of MSMEs at the governorate and national levels, to assist planners


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and policy makers in designing policies and programs to support entrepreneurship and

MSMEs.

c. Increasing the capacity of high schools and public and private universities to promote

greater interest, awareness, and understanding of entrepreneurship among women and

youth.

d. Providing overall management, product/service development, and/or market outreach

capacity building services for various intermediary organizations providing services to

entrepreneurs and MSMEs such as innovative incubators and best practice.

e. Capacity building in evidence based policy analysis and/or in developing actionable

recommendations for policy reforms related to improving the enabling environment for

entrepreneurship and enterprise development, with an emphasis on women and youth in

disadvantaged areas.

f. Creating commercially viable business linkages between MSME suppliers across a variety

of industrial sectors and larger scale buyers.

The RFA’s Annexes are comprehensive and consist of instructions and templates for a detailed

concept paper; activity timeline plan; budget; and for the full proposal.

The RFA documents and all its annexes were translated into Arabic to be accessible to all

potential applicants, and to facilitate the process of application.

A special email address was dedicated for requests from applicants interested in receiving a

copy the RFA documents ([email protected]). SEED has received 148 requests, to date.

All the necessary arrangements were made to hold a Bidders’ Conference planned for August

2nd, 2016. This forum is planned to provide an orientation on the grants cycle, topics,

development of concept papers and submission procedures.

4.3 Key Activities Planned for the Next Reporting Period

Hold the Bidders’ Conference on August 2nd for potential applicants to better understand the

grants themes, cycle and procedures.

Maintain a list of institutions which requested to obtain the RFA documents and will attend

the Bidders’ Conference, to build a SEED database and ensure good outreach to potential

partners for eventual future RFAs.

Receive and register all the concept papers submitted by applicants that meet the RFA

deadline for submission of August 14th, 2016.

Conduct screening of concept papers to determine eligible concept papers which meet the

RFA requirements, include all attachments and address the topics which relate to the grants’

themes.

Form the Internal Review Committee (IRC) to conduct concept paper review and evaluation

according to the selection criteria included in the Grants Manual. The IRC will include relevant


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representatives from the SEED Technical Team including M&E, Gender, Communication,

Finance, and Grants.

Prepare a short list of the highest scoring concept papers and present them to the Grants

Evaluation Committee (GEC) for review and approval. The GEC will include the USAID COR,

SEED COP, and SEED Grants Manager.

Notify those potential grantees whose concept papers are approved by the GEC for them to

start developing their full proposal in accordance with the Grants Manual, and send regrets to

applicants who were not selected.

Conduct capacity assessments (technical and financial) of all the applicants whose concept

papers were accepted to determine their capability of managing the grant funds and proposed

activities. Organizations that do not pass the assessment will be notified of the results and

those which passed pass the assessment will continue with the preparation and submission of

their full proposals.

The GEC will review, evaluate and approve the best proposals and will begin to draft Grant

Agreements for those selected.

V. CROSS CUTTING ACTIVITIES IMPLEMENTED

5.1 GENDER AND YOUTH

5.1.1 KEY ACTIVITIES ACCOMPLISHED

Gender and Youth Specific Activities:

During the past quarter, the SEED team provided technical and financial support to the Business

Women of Egypt 21 (BWE21) organization to conduct an E-Commerce, digital marketing

workshop for women MSMEs business owners. The workshop aimed to develop an elaborative

market understanding of what business development services on Digital Marketing and E-

commerce offers.

SEED’s COP, Dr. Adam Saffer, also made a presentation about SEED’s approach for supporting

women- owned and/or managed businesses in Egypt. This led to an interactive session with the

participants about the types of BDS services most in demand. The purpose was to obtain first-

hand the views of women- owned and/or managed businesses as to the major challenges that

they face, and critical areas of need for financial and/or non-financial assistance.

The key needs expressed by the participants included; improvement of women’s working conditions

in the private sector; elimination of the gender-gap in entrepreneurship; support in branding,

marketing and quality control; improvement in access to legal information/advisory services; greater


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networking opportunities within the ecosystem; financial training and support; training and assistance

in how to work with banks; and help with implementing digital marketing and E-commerce

applications. Participants also expressed the need to obtain advice, tools and information on how to

promote women in management.

During this quarter, the SEED G&Y Manger participated in Leadership training provided by

Swedish Institute in Alexandria for empowering 30 young female leaders, from 10 different

countries, to ‘start breaking the glass ceiling’. The training was for two days focused on business

leadership, the importance of networking, and Inner Leadership Challenges to Entrepreneurship

(running a sustainable business). The workshop offered the opportunity for SEED team to better

understand the business development services required for women leaders. The workshop also

provided clearer understanding of the need for sustainability of business women’s networks, and

on the methods of designing preliminary criteria for selecting and screening for a Leadership

Program. During the interactive group session, participants have gained better understand of

what key building blocks they seek to address in this program, and how each type of support can

assist in the advancement and improvement of their work. Also addressed was how to assess

market readiness and identify potential key partners and players who can collaborate on

delivering the Leadership Program.

Summary findings about the needs of Women Entrepreneurs in light of the challenges stated

by participants:

Utilizing connections; building and maintaining strong networks.

Being decisive; mastering the decision-making process with determination.

Identifying and obtaining access to funding from various sources.

Being inspired by female role models to gain more confidence.

More platforms and training in the areas of leadership, decision-making, and time

management.

SEED conducted three working sessions with BWE21 and with the Alexandria Business Women’s

Association (ABWA) to assess their capacities and understanding of women entrepreneurs’ issues

as well as of the challenges unique to women operating in the MSME sector. Both organizations

developed Concept Notes that address the need to support MSME business women through

establishing BDS centers that will assist business women in developing the management and

operating skills required, as well as facilitate networking skills and opportunities for women

entrepreneurs.

SEED also conducted two working sessions with the National Council of Women (NCW) and with

the Women in Business Development Center (WBDC), with the purpose of supporting WBDC to


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become a national hub. The hub is designed to develop a network of Women Business

Development Centers to serve the needs of women entrepreneurs throughout Egypt and equip

them with the capabilities to enhance their contribution to the national economy. SEED received

a letter of interest signed by the NCW president, Dr. Maya Morsy, along with a Concept Note.

Additionally, an MOU between SEED and the NCW was drafted and is expected to be signed

shortly.

Gender and Youth Mainstreaming Activities:

The Gender and Youth (G&Y) Manager worked with the SEED component teams by providing

guidance to ensure that Gender and Youth are integrated in as many STTA SOWs as is appropriate.

As always, the Project’s goal is to improve understanding of women and youth socioeconomic

issues and best practices. The G&Y Manager also met with all SEED STTAs to sensitize them with

SEED methodology and approach to gender issues and how these can be integrated in their

assignments.

The G&Y Manager held a Gender and Youth training session for the SEED project team to instill a

better understanding of youth and women’s issues, and the need to maximize their economic

empowerment. The G&Y Manager also shared best practices for gender mainstreaming in the

design phase of program activities.

Component A:

The G&Y Manager worked with the SEED Mentorship STTA on mapping and assessing the

gender and youth aspects of mentorship programs in Egypt. Together with the STTA, the G&Y

Manager met with AWTAD to discuss the mentorship model which they use to support female

entrepreneurs. SEED is in the process of evaluating the mentorship model, and is preparing

recommendations for its modification and scaling up. This will be provided to AWTAD once in

final form.

SEED provided the AUC technical team, working on the development of Egypt's 2016 Global

Entrepreneurship Monitor (GEM) Report, with a list of gender-sensitive questions, in order that

the team may incorporate them in their report. The purpose of the questions is to get a better

understanding of gender differences in entrepreneurship in Egypt. The AUC team is going to

use 10 gender-related questions out of the key questions provided to them by SEED.

Questions focus on key characteristics and motivations of women entrepreneurs, societal

attitudes about entrepreneurship, and their influence on women’s entrepreneurship behavior.

The G&Y Manager worked with the International Incubator’s STTA to ensure that the criteria

for selecting incubators includes sensitivity to the needs of female and youth entrepreneurs,

and to provided her with material and case studies of best practices of incubators models for

supporting women and youth. The assessment questionnaire includes specific questions


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addressing gender and youth needs, in order to come up with gender and youth gap analyses.

The G&Y Manager also worked with the STTA on identifying players and activities focused on

women's entrepreneurship, as part of the eco-system mapping that she is conducting.

Component B:

The G&Y Manager drafted an orientation session on mainstream gender in BDS providers. The

session will be delivered in September to key BDS providers, namely Alashanek ya Balady, ABWA

and WBDC.

The team developed an initial plan to support and empower the capacity of gender-focused

BDS providers, across key strategic, specialized, and selected SEED BDS providers and

stakeholders. This includes the NCW, BWE21, ABWA, and Assuit Business Women Association.

SEED studied the model of ITC’s business coaching model for MSMEs women entrepreneurs,

delivered by World Business Fitness, and studying the possibility of replication of the coaching

model with business women organizations to be part of the BDS provided to women.

Partnerships:

SEED, in partnership with UN Women will be supporting the first Startup Weekend Women's

Edition, in Alexandria, with the purpose of encouraging and inspiring more female leaders in

StartUp teams, and to connect more women to the vast number of resources and mentors

available within the StartUp community. The event will be conducted during the last week of

September 2016.

SEED signed MOU with BWE21 and ABWA and agreed to support BWE21 and ABWA with training

and technical assistance in organization development, increasing outreach capacity for young

women entrepreneurs and business women, capacity building and in building and/or expanding

an effective network for women entrepreneurs.

SEED is also planning to collaborate with the Microsoft CSR team in key ideas for interventions

targeting women and youth.


Conduct the first ever StartUp Weekend’s Women’s Edition, which will focus on engaging

women and youth entrepreneurs. The event is scheduled for the last week of September 2016.

In coordination with ABWA, conduct a Business Women Networking conference on November

19th, 2016, in Alexandria.

Conduct the first round of Business Plan Competitions (Business Innovation Hub), targeting

female students or graduates form Computer Science and Technology faculties, to start Cloud


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Business or web- based businesses. The Concept Note for this Competition is currently in the

design phase.

During the Global Entrepreneurship Week of November 14-20, 2016, organize entrepreneurial

awareness and outreach activities for women and youth, in high schools and universities, as

well as youth centers in 4 governorates.

Work with women and youth organizations (e.g. BWE21, ABWA and Etijah), to build their

capacity to identify the best channels to reach their target audiences.

Develop guidelines for OSSs to conduct outreach with Women’s Skills Development Centers

established by the NCW in 2001 and currently existing in 16 of the 27 governorates.

Conduct gender sensitive BDS training sessions to be delivered to providers, to tailor services

that attract larger numbers of women.

Continue to develop comprehensive material for component teams to better mainstream

gender and youth into components activities.


While working on gender mainstreaming, it may be best to take the approach of sharing

previous national or international similar models and/or established best practices, e.g. of

gender sensitive incubators, mentorship programs tailored to youth and women, etc.

5.2 COMMUNICATION AND MARKETING


USAID’s SEED Networking Event:

On May 23, USAID’s Strengthening

Entrepreneurship and Enterprise Development

(SEED) project held a one-day event “A

Networked Approach to Entrepreneurship and

Enterprise Development” at the Marriott Hotel

in Zamalek. The event, which proved

remarkably successful, highlighted the

importance of collaboration and networking

among mezzanine organizations to support

the growth and expansion of entrepreneurship and enterprise development in Egypt. It also served

to formally introduce the SEED Project to the Egyptian entrepreneurship and MSME support

ecosystem.

MTI’s Shereen el Sabagh, USAID/Egypt Agricultural Office Team Lead

Annie Steed, USAID’S SEED COR Ingi Lotfi, SEED’S COP Dr. Adam Saffer

and SEED Component B Team Lead Hamed Ali


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The event format included opening speeches by key stakeholders; three concurrent interactive

panel discussions - each addressing a high-priority issue of relevance to USAID’s SEED Project and

the ecosystem - and a closing session featuring a summary of each panel discussion and a “next

steps” perspective for the entrepreneurship and MSME ecosystem, as well as final addresses by a

dynamic ecosystem champion and the SEED COP. Actual attendance exceeded expectations, with

181 registered participants – 98 males and 83 females.

Visibility Products:

SEED further developed the project’s visibility kit with six roll-up

banners (three in Arabic and three in English). A SEED info-pack

was also produced to include a folder to hold SEED, USAID, and

other factsheets as applicable. The info-pack will be customized by

event (e.g. the May 23rd SEED Networking Event info-pack

included the day’s ‘Agenda’ as well as speakers’ bios). All visibility

materials developed by SEED are prepared in strict conformance

with the USAID-approved Branding Implementation and Marking

Plan (BIM).

USAID’s SEED Project’s Website:

The prospective USAID SEED website template was developed in

mid May 2016, in coordination between SEED’s Communications

and Outreach and ICT Manager. A request for approval of the

website was submitted to USAID/Egypt DOC Office on May 17th,

but was rejected. Following USAID’s initial rejection of the request,

SEED submitted an additional justification indicating the extent to which the sought-after

interactively of the SEED website would provide enrichment to the program. As of this writing, the

USAID Website Governance Board has provided its approval for SEED to move ahead with its own

website, and the Project is in the process of developing website content.

Preparations for the SEED Grant RFA Bidders’ Conference:

THE SAME BASIC DESIGN THAT WAS USED

FOR THE FOLDERS AND NOTEBOOKS WAS

ALSO USED FOR THE ENGLISH AND ARABIC.

LANGUAGE ROLL-UPS.


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SEED’s Grant RFA Bidders Conference is planned to take place on August 2nd 2016 in Cairo. The

conference targets all the profit and non-profit entities who registered and requested the Request

for Applications (RFA) documents to apply for an EIF grant from SEED. The grants advertisements,

in both Arabic and English, were posted on a number of well-known online platforms, among which

are DARPE, Devex and the NGO’s Forum FB page. The entire SEED Team also cooperated to make

sure that the grants advertisements were widely circulated within the ecosystem.

Other Deliverables:

All photography taken during the SEED Networking Event was added to SEED’s Photo

Database.

SEED established an effective tracking system for the documentation of events attended by

SEED team members.

SEED’s Infographic video was approved by USAID’s SEED COR on July 24th, 2016 and is

currently being used in presentations to stakeholders. This Infograph has been very well

received and helps differentiate SEED from other donor projects.

We are currently is discussions about the next SEED event, tentatively scheduled for early

Oct 2016 in Mansoura (Delta region).


Support the SEED Project’s Grant RFA Bidders Conference.

Develop the SEED gender outreach plan in coordination with the SEED Gender and Youth

Manager.

Submit and obtain approval for the SEED Outreach and Communications Plan, which includes

the SEED social media strategy.


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Provide necessary support regarding branding for all SEED component activities.


Early planning of events with a generous timeline is a pre-requisite to success.

Hiring a local STTA, knowledgeable of the local market place, to assist with the preparation

and implementation of events.

5.3 INTERNET COMMUNICATION TECHNOLOGY

SEED’s approach emphasizes innovation and sustainability at every step, and its initiatives

endeavor to allow Egyptians to fully develop, execute, and monetize novel products and business

models – especially through new ICT/mobile applications. Under Component B (Financial and

Non-Financial Services), SEED’s approach is to use mobile ICT tools to increase access to BDS for

women and youth, in an effort to overcome cultural and spatial constraints to services and to work

through existing provider networks. This will additionally expand access to OSS centers and other

services in disadvantaged communities. The SEED ICT Integration Team will have a significant role

in the design and development of the ICT architecture for these necessary communications tools

(SMS, WhatsApp, etc.).

The project also works with partner organizations to develop and publish a BDS directory by

means of improving data collection, procuring ICT services to develop and manage the portal,

and training staff responsible for uploading and managing data. The ICT Team will help develop

a mobile version of the database as well, and will provide technical support in marketing the portal

among BDS providers, associations, and women’s and youth networks.

Under Component C (Integration of MSMEs into Value Chains), ICT expertise will also be vital in the

improvement of MSMEs’ access to market information. One of SEED’s objectives is the strengthening

or establishment of market information systems (MIS) working through and improving existing

infrastructure, whenever possible. This too will necessitate substantial ICT support in the development

of MIS by facilitating data collection, assistance in the procurement of ICT services, and training staff

on managing data. Such support will help MSMEs take advantage of value chain opportunities and

will play an essential role in connecting large-scale buyers with credible MSME suppliers. In each case,

the ICT Team will endeavor to develop a complementary mobile SMS system that is simple and easy

to maintain after SEED ends.

Internally, the main focus of the ICT Team was to continue settling in and setting up the SEED

office. This included installing Wi-Fi communication devices to the new renovated SEED office

expansion and procuring the SEED office main heavy-duty multifunction printer/copier. The ICT

Team also procured, installed, and configured an automated access control system for the SEED


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office. Other work included the creation of the SEED Pilot YouTube Channel, hiring a new ICT

Network administrator, and enhancing the SEED internet connection.

Externally, the ICT Team drafted a SOW for a STTA Web Developer to provide support to the ENCC

to improve their online portal functionality and introducing new capabilities to the Portal. This

intervention is still pending USAID approval.


Installed and configured Wi-Fi communication devices to cover the SEED office expansion.

Created a Pilot YouTube Channel for SEED.

Procurement, installation and configuration of the SEED Office main Heavy-Duty Printer/Copier.

Procurement, installation and configuration of the SEED Access Control Security System.

Initiated the procurement process of the SEED office leased line internet connection.

Enhanced the SEED office internet connection by configuring the main connection and the

backup connection to work simultaneously.

Provided ongoing ICT technical support for the SEED staff.

Maintained and enhanced the SEED office ICT infrastructure.

Continued working closely with the SEED component and cross cutting teams in discussing how

best to incorporate ICT solutions into their efforts


Complete the installation and configuration of the SEED office leased line internet connection.

Procurement of the SEED office main server and all requisite accessories.

Procurement of the SEED office network communication devices.

Procurement, installation and configuration of the SEED office network cabling, switches, ICT

Rack cabinet, and patch panels.

Procurement, installation and configuration of the SEED office Firewall security device.

Procurement of the Uninterruptible Power Supply (UPS) for the SEED Server and

communication devices.

Procurement of four new laptops, replacing the four that were stolen.

Lead the ICT technical implementation of Souktel activities.

Potential ICT support for ERRADA to establish a MSME unit.

Potential ICT support for ENCC to enhance their existing website.

Potential ITC support to FEDCOC to connect and allow information sharing between Tamayouz

Centers.

Obtain approval from USAID and launch the SEED Website.

Obtain approval from USAID and launch the SEED YouTube Channel.


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Assist the HO in installing and configuring the OneSource platform for both SEED and USAID

users.

5.3.3 LESSON LEARNED FOR FUTURE IMPLEMENTATION

Due to an incident of theft of project property, a restricted security system has to be implemented

to better secure staff, information, and assets. The ICT team worked in implementing, installing

and configuring an automated Access Control System that better controls the access to the SEED

office.

VI. MANAGEMENT AND ADMINISTRATIVE ISSUES

6.1 PERSONNEL

During this quarter, SEED hired three additional staff members. On June 1st, Ahmed Hussein

joined the project in the capacity of Team Lead for Component C. Having worked with, among

other notable entities in Egypt, the General Authority for Investment and Free Zones (GAFI), the

Egyptian Financial Supervisory Authority (EFSA), and the former USAID-funded Egypt’s

Competitiveness Program (ECP), Ahmed comes with twenty-five years of wide-ranging experience

in the fields of MSMEs development, financing, and value-chain development, in addition to his

hand-on experience in corporate finance and investment training. Component C Enabling

Environment Senior Advisor position was filled on July 3rd by Amira Shoukry. In addition to her

prior experience on USAID-funded projects, Amira comes with 15 years of solid experience in

technical assistance, development of frameworks, grant-making and hands-on experience in

securing a number of partnerships with Egyptian private and public sector stakeholders. Following

the screening of 26 CVs received in response to vacancy announcement postings, shortlisting and

interviewing of 6 potential candidates, on July 24th, SEED hired Mostafa Abdel Fattah, in the

capacity of ICT Network Administrator. This was a replacement recruitment for Kareem Ezz-El-

Din, who left SEED in mid-May for a substantially higher-paid job opportunity with the UN.

Additionally, first-class candidates for the LTTA positions of Marketing Manager, ICT Platform

Project Manager, and Incubator Advisor were identified and SEED expects to bring all on board

by the end of August.

SEED also utilized a significant number of national and international STTAs during this reporting

period. The Mentorship Consultant position was filled on July 10th by May Badawy. Her assignment

includes conducting an assessment of existing mentorship programs in Egypt, and assisting SEED

in the development of tools and approaches to improve the capacity, quality, and coverage of

mentorship programs for entrepreneurs and startups, with an emphasis on accessibility and efficacy

for women and youth.


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June Lavelle, an international expert on business incubation started her assignment with SEED on

July 17th. The main objective of her task is to support the project in the development of efficient,

effective, and sustainable interventions to improve the quality, capacity, outreach, and accessibility

of incubator services across Egypt, with an emphasis on women and youth. June’s rich experience

in the field of business incubation in more than a dozen developing country settings, including

Egypt, as well as prior work with disadvantaged women and youth, is an extremely valuable asset

for SEED. She will also be developing training programs and conducting training session in Cairo

and Upper Egypt in August.

Requests for USAID approval are currently pending with SEED to on-board consultants for additional

STTA assignments including a Local Incubator expert to work with June Lavelle and another for a

mapping and set of recommendations exercise focused on university Entrepreneurship programs.

Additional STTA positions currently at the stages of public posting of SOWs, screening and

shortlisting of CVs, interviews, selection and reference checking are for One Stop Shops (OSSs), BDS

access and availability, Government procurement and Value Chain Database Development. SEED is

also presently working on developing STTA SOWs for fulfilling the following requirements: Building

the ECPPS capacity to develop the SMEs Governorate Index; Updating SFD’s Microfinance

Department Business Plan; Assessing the needs of selected NGO/MFIs partners of the Social Fund

for Development (SFD) and developing a capacity building plan “4 NGOs/MFIs”; Assessing the old

version of the Microfinance Map and recommending the outline of the new one; Conducting an

organizational needs assessment and the development of a capacity building plan for FSI;

Developing 3 curricula for Financial Literacy; Developing a Financial Literacy campaign and leading

the implementation process; Developing and implementing a BDS program for Alashanek Ya Balady

Association; Market Research and baseline data for BDS providers “Demand and Supply Study”;

Assessing the needs of Egypt Business Women Associations, ABWA and NCW and develop capacity

building plan; Developing ENCC’s strategy and improving their website; Training ERRADA IT team

on system development; and developing the FEI’s CSR Unit Strategic Planner; and MSME Linkages.

AECOM provided SEED with STTA support by sending John Willsea in June 2016, to work with

SEED on developing visual charts of designed OneSource workflows in conformance with the SEED

manuals. See more below.

Given the importance that AECOM gives for the operation of OneSource, their proprietary web-

based platform, Head Office also provided SEED with additional support by sending Drako Reyes

to the Field Office, in June 2016, to offer technical assistance for the necessary set-up and training

of staff on OneSource. See more below.

In July 2016, AECOM Environmental Scientist, Pavel Terselich, started his approximately one month

STTA assignment at SEED, with the objective to enable the prioritization of environmentally


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sustainable value chain activities through environmental analysis and activity review. See more

below.

In furtherance to a Request for Proposals (RFP) and subsequent evaluation of proposals and

award, a contract was signed on June 1st with DMS for the medical insurance coverage of SEED

staff members.

6.2 OPERATIONS

In May 2016, SEED successfully finalized opening a file with the Tax Department as well as with

Social Insurance. All necessary documentation was submitted to the Ministry of Finance, through

the Ministry of Trade and Industry, to obtain the tax exemption authorization letter, which has yet

to be received. SEED COP also obtained a work permit visa for 6 months from the Egyptian

Authorities, and is anticipating the receipt of security clearance.

With the growing number of SEED LTTAs and STTAs, the project sought additional office space,

and managed to lease an additional 200 square meters of space next to the current office.

Removal of the wall between the current and new office, and painting of the new space was taken

care of by the landlord. SEED, in the meantime initiated and completed the procurement of the

necessary carpeting, window blinds and additional office furniture, in preparation for moving a

portion of the staff to the new extension on August 1st.

Three project vehicles are being procured in the US by AECOM Head Office. As of the latest

estimate, they are all expected to reach the Port of Alexandria by December 2016. As soon as the

necessary authorizations, customs exemptions and clearances as well as registration requirements

are completed, the vehicles will need to be driven to Cairo. SEED has therefore started the process

of hiring three project drivers.

The SEED Finance Manager, Accountant and Operations Manager attended the USAID FAST

Training from May 22nd - 26th, 2016, and most of the SEED staff attended the USAID Fraud

Awareness Training, on June 9th at the SEED office. Those who were unable to attend the latter

training, caught up by attending the same session which was also delivered by the

USAID/RIG/I/Cairo at the USAID-funded Effective Planning and Services Project (EPSP) office in

Maadi, on June 13th.

6.3 SME CONNECT

During this reporting period, our ICT design subcontractor Souktel, responsible for designing and

developing SEED’s ICT solutions platform submitted a scoping document which outlines the

proposed organizational and functional structure for what we are calling SMEConnect. This name is


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a place holder only. The primary focus of the platform is to connect entrepreneurs and MSMEs with

a variety of data, information, linkages, and services that will aid them in growing their businesses.

As a result of two visits by the Souktel team, it became evident that the depth and breadth, scale and

scope of this initiative needed a full time Cairo-based manager. As such, SEED developed a job

description for a long-term ICT Platform Manager. The field-based ICT Platform Project Manager will

be responsible for liaison between SEED and Souktel as well as between SEED and any subcontractors

and service providers hired to support the design, development, launch, operation, and/or

maintenance of the ICT Platform, core and node managers, and the variety of end users, including

but not limited to entrepreneurs, MSMEs, service providers, and buyers. Following meetings with

numerous ecosystem stakeholders, it appears that several platforms similar to the SEED planned

platform either already exist or are in the development phase. To avoid duplication, inadvertent

competition, and to maximize any leverage, where applicable, SEED issued a Request for Proposals

(RFP) for Market Research on the current state of affairs with respect to ICT platforms and portals in

Egypt. Bids are due on August 28th. More specifically, the focus of the research is to develop a map

and assessment of the online platform market serving entrepreneurs and MSMEs in Egypt. The

second objective of the research is to assess to as great a degree as possible, the demand for such a

portal. The assignment’s final report will include a comprehensive list of findings, conclusions and

recommendations in developing a high impact, demand-driven, and sustainable ICT platform linking

Egyptian entrepreneurs and MSMEs with mezzanine/intermediary financial and non-financial service

providers, as well as with potential buyers and information sources, with an emphasis on women and

youth in disadvantaged areas.

6.4 ONESOURCE

The OneSource System is a web-based project management tool, the function of which is to

facilitate better, faster, and easier coordination between AECOM’s Head Office, the SEED Field

Office, and USAID/Egypt. OneSource has many features but initially will focus on three areas:

procurement, short and long term staff recruitment, and as a repository of project documents. In

the future, we may expand our use of OneSource to include financial matters, inventory and asset

registers, etc.

In June 2016, STTA John Willsea worked with the SEED operational staff (Finance, Operations and

Human Resources) on gathering information on current workflow processes in the Field Office.

John checked these against both USAID and AECOM policies and procedures as well as with our

field-based Procurement and Recruitment Manuals. He then worked with the team to design and

draw up visual charts of designed OneSource workflows in conformance with those manuals, in

preparation for uploading onto the OneSource web-based platform.


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Given the priority that AECOM has for the operation of the web-based platform, Head Office

provided SEED with additional support by sending Reyes Drako, the AECOM OneSource Director

of Operations and Performance Management to the Field Office, to provide further technical

assistance needed for the set-up and training of staff. Drako also established accounts and

conducted training for SEED personnel. He also made a presentation, including a demo of the

system, to USAID on June 22nd. The presentation was attended by Ingi Lotfi, COR and Zeb

Simpson, CO.

6.5 ENVIRONMENTAL COMPLIANCE

An AECOM STTA Environmental Scientist, Pavel Terselich, spent close to a month in the Field

Office, reviewing the EMMP as well as project activities to identify potential environmental risks

and develop proposed mitigation measures. He also delivered guidelines and training to SEED

project staff and several stakeholders, to facilitate compliance with local and USAID environmental

regulations. His goal, which he accomplished, was to build the capacity of SEED staff to monitor

and report on EMMP implementation throughout the life of the project, with a specific focus on

Component C’s work in yet to be identified sub-sector value chains. Pavel worked closely with

relevant stakeholders in order to develop a training plan to help stakeholders engaged in value

chain and other project activities to meet both USAID and local environmental requirements.

Additionally, he developed guidelines on environmental best practices for selected project

activities, such as proper waste disposal methods for specific value chains. He concluded his

assignment by giving a presentation at USAID on July 23th, which was attended by Ingi Lotfi, COR;

Soad Saada, Development Program Specialist, Gender Advisor, and Mission Environmental Officer;

Jacinto Fabiosa, Team Leader of Trade and Investment Team; and Brinton Bohling, Economic

Growth Office Director.

6.6 SAFETY AND SECURITY

The dynamic environment within Egypt presents events and situations that require innovations

and contingency actions. As such, SEED staff, supported by AECOM’s Regional Security Manager

and SEED’s Arlington, Virginia-based Program Management Unit (PMU), conducted a review and

update of the SEED Security Plan and annexes, to ensure applicability to the current Egyptian

context. This will be reviewed periodically and updated to fit the evolving Egyptian context.

AECOM Home Office, in coordination with the Field Office, have recently finalized the Operation

Security Plan (OSP) which goes provides detailed instructions of actions to be completed during

various security situations (e.g. in case of fire, meeting points, phone trees, etc.). The OSP compiles

and harmonizes the various elements currently contained in two separate documents: the Security

Plan and the Emergency Preparedness Plan (EPP). Following the document’s completion and

review by the AECOM Regional Security Manager, the OSP was distributed to all SEED staff and

Field Office Consultants.


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Unfortunately, during this reporting period, the SEED Office had a theft. At around 5:00pm on the

evening of Thursday, July 14th, a to-date unidentified person, unknown to staff, entered the SEED

office and walked out with 4 laptop computers and 1 laptop bag. His entrance and exit was

captured by SEED’s security camera. His entrance and exit from the building was also captured on

several of the landlord’s security cameras positioned by the front door and in the lobby. SEED, in

addition to filing a police report, has taken vigilant risk mitigation measures, including planning

to have a full time receptionist placed by the door, drafting a policy about locking up laptops, and

procuring and installing a magnetic lock and security access control system for the office entrance

door. The SEED COP and DCOP held a meeting with the landlord, who also owns the building, and

asked him to augment the building security. The landlord immediately complied by adding an

extra security guard to the building reception area, began requiring all visitors to register before

entering the elevators, and installing two additional cameras to the building entrance. SEED feels

that it has adequately responded to the threat, and set up systems to prevent similar incidents

from occurring again.

VII. MONITORING AND EVALUATION

7.1 DEVELOPMENT AND SUBMISSION OF THE SEED M&E PLAN

Following the resubmission of the M&E plan on May 5, which incorporated replies to USAID’s

comments as well as justification and a rational for the set targets as requested, USAID approved

the plan on July 11, 2016.

Following the approval of the M&E plan, the M&E Senior Advisor conducted a training session for

SEED staff to introduce them to the main pillars of the SEED M&E plan. This included a presentation

and discussion about project deliverables, indicators, results, tasks, and activities. The M&E Senior

Advisor also briefed the staff on how SEED is planning to monitor the organizations receiving SEED

support (e.g. training, technical assistance, grants) in order to track their performance and

improvements in capacity, quality, outreach, etc.

Below, see Table 1 which highlights the current status of all of the Start-Up deliverables as per the

contract. To date, only the EMMP’s final approval remains outstanding, given that an updated

Initial Environmental Examination (IEE) was issued during this quarter, with new guidance which

affected the Project’s EMMP. The updated EMMP was resubmitted to USAID on August 19.


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Table 1: Startup Deliverables and Reports Submitted to USAID

Deliverables Status

1 First Year Work Plan Submitted and approved

2 Monitoring and Evaluation Plan Submitted and approved

3 Bi-Weekly updates On-going

4 Gender Assessment Submitted and approved

5 Training plan Submitted and approved

6 Security Plan Submitted and approved

7 Staffing Plan Submitted and approved

8 Grants Manual Submitted and approved

9 Sustainability Plan Submitted and approved

10 Environmental Mitigation and Monitoring

Plan Submitted and waiting for approval

11 Branding and marking Plan Submitted and approved

Table 2, presents the status of SEED’s Year 1 deliverables. In the third quarter SEED was not able to

conclude as many of the deliverables as planned. There are many reasons for this including, but not

limited to, Ramadan, Eid el-Fitr, summer vacations for staff as well as counterparts, and a very slow

response from public and private organizations to implement activities. SEED was able to sign nine

MOUs with governmental and private institutions with envisioned cooperation activities to

commence during the fourth quarter of the year. Also, SEED was able to finalize selection, approval

and contracting processes with a number of international and local consultants who have either

completed their work, are currently working on their assignments, or are about to begin.

Furthermore, there are some deliverables that are projected not to be completed as planned

before the end of the year. These include mobile applications, the online BDS directory and the

entrepreneur’s network. All of these are directly related to the ICT platform, currently called “SME

Connect”, which is delayed due to our determination that a full market study of current practices

and similarly planned interventions is necessary before hard coding and programming begins.


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Table (2): Achievement of Deliverables

Performance

Standard

Delivery

Measurement

Achieved Quarter

4

Planned

Year I

Deliverables3

Comments Q1

and

Q2

Q3 Annual

Plan Forecast

Result A1: Stimulated entrepreneurship among women and youth

Women and

youth

entrepreneurship

networks

established and

strengthened to

coordinate the

efforts of existing

women and youth

organizations in

Egypt

Workshops

Networks

2

0

1

0

2

1

5

1

4

0

Many of our

workshops have dual

purposes but they

only count for one

deliverable.

The Network is part of

the ICT platform

described above.

New

entrepreneurship

and financial

literacy program

delivered in high

schools across

Egypt

High Schools

0

0

5

5

0

Given that SEED does

not deal directly with

schools, two channels

were identified to

conduct this

intervention: Injaz and

STEM schools. The

STEM schools initiative

will not be

implemented until the

second semester of

the coming school

year, according to the

STEM unit at the MOE.

Meanwhile, Injaz

needs to obtain MOSS

approval to work with

SEED, which has

delayed our planned

interventions.

3 The “Annual Plan” refers to the deliverables originally envisioned in the workplan. The “Forecast” presents SEED’s best current

expectation for what will be achieved by the end of Project Year 1.


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Performance

Standard

Delivery

Measurement

Achieved Quarter

4

Planned

Year I

Deliverables3

Comments Q1

and

Q2

Q3 Annual

Plan Forecast

University

entrepreneurship

program

designed and

implemented

Certificate

program

piloted

Universities

certificate

developed

0

0

0

0

1

2

1

2

0

0

This activity was

delayed due to the

difficulty of identifying

a consultant with the

required skills, and

due to the lengthy

hiring/ contracting

process. We expect

program design to

commence in mid-

September and to be

finalized by the end of

the year.

Outreach

campaign to raise

awareness of

available services

and programs for

female and youth

entrepreneurs

Business plans 1 0 2 3 3

SEED is organizing two

business plan

competitions outside

Cairo to take place in

Q4.

Startup

weekends 1 0

1 2 2

The next startup

weekend will be

implemented in Upper

Egypt on September

21.

Career Fairs 0 0

0

1 0

A meeting is

scheduled with WISE

on August 25 to

discuss collaboration

on a WISE-SEED career

fair. This also needs to

be discussed with the

COR as this does not

quite fit the SEED

SOW.

Result A2: Improved availability and accessibility of entrepreneurship services, with focus on business

incubators and accelerators


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Performance

Standard

Delivery

Measurement

Achieved Quarter

4

Planned

Year I

Deliverables3

Comments Q1

and

Q2

Q3 Annual

Plan Forecast

Incubators

strengthened and

managed

according to

international best

practices

Workshops

Pilot

incubators

designed

Training

modules

designed

0

0

0

0

0

0

2

3

1

2

3

1

2

3

1

SEED hired 2 STTA

consultants who

started work in July.

Workshops, training

modules, and pilot

incubator selection is

all underway with

events planned in

August and

September. SEED

expects to complete

all Year 1 deliverables

before the end of the

year.

Support

incubators and

accelerators with

technology

commercialization

Capacity

building

workshops

delivered to

TTOs

0

0

2

2

2

SEED held meetings

with TTO

organizations and we

are currently

developing a SOW to

assist them. SEED

anticipates this work

to commence in Q4.

Build the capacity

of MTISME to

fulfill its

expanded

mandate

Workshops

0

0

2

2

2

Several staff members

from the MTI, SFD,

and GAFI are

confirmed to attend

the SEED incubator

workshops in August.

Work is also underway

with the new Head of

the Donor

Coordination Unit at

the MTI (Sherine El

Sabagh). STTA for

ERRADA is also

planned to commence

in August.


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Performance

Standard

Delivery

Measurement

Achieved Quarter

4

Planned

Year I

Deliverables3

Comments Q1

and

Q2

Q3 Annual

Plan Forecast

Result B1: Improved availability and accessibility of effective and efficient BDS

Increase and

replicate

Tamayouz

centers/OSS

through twining

Tamayouz

Centers/OSS 0 0

4

4 4

After months of

attempts, SEED

expects to sign an

MOU with FEDCOC in

August. This will pave

the way to commence

supporting and/or

replicating Tamayouz

Centers.

Assist BDS in

improving their

services

Training

Delivered to

BDS providers

Online BDS

directory

0

0

1

0

1

1

2

1

2

0

The second BDS

workshop will be

delivered on Sept. 21-

23 in Minya

governorate.

All the required data

for the BDS directory

will be collected by

end of the year but

will not be available

online until the launch

of the SEED ICT

platform.

New tools

introduced for

expanded BDS

services to

disadvantages

areas

Mobile

technology

tools

0

0

1

1

0

As per the above, this

is directly tied to the

development of the

ICT Platform,

“SMEConnect”.


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Performance

Standard

Delivery

Measurement

Achieved Quarter

4

Planned

Year I

Deliverables3

Comments Q1

and

Q2

Q3 Annual

Plan Forecast

Increase capacity

among BDS

providers and

associations to

advocate for

policy change

Evidence-

based policy

module

designed

0

0

1

1

2

SEED has drafted the

SOW and identified

high caliber

consultants to

commence this work in

Q4. We expect to

complete 2-3 training

modules by the end of

other year.

Result B2: Improved availability and accessibility of financial products and services

Broker

relationships

between MSMEs

and

crowdfunding

organizations,

angel investment,

and venture

capital

Investment

linkage forums 0 0

2 2 2

Two linkages forums

are scheduled for Sep

28 and Oct 11-12.

Increase financial

literacy including

capacity building

to use financial

products among

MSMEs

ToT sessions

delivered

Financial

literacy

modules

0

0

1

0

0

2

0

2

1

2

SEED conducted one

financial literacy ToT

course and is in the

process of hiring a

consultant to develop

additional modules

targeted to specific

stakeholder audiences.

This work will begin in

September.

Build capacity of

Egyptian

regulators to

respond to policy

constraints

EFSA

workshops

delivered

0 0

1 1 0

The first workshop will

be conducted by the

end of October.

Result C1: MSMEs integrated to larger value chain


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Performance

Standard

Delivery

Measurement

Achieved Quarter

4

Planned

Year I

Deliverables3

Comments Q1

and

Q2

Q3 Annual

Plan Forecast

Selection of value

chains for MSME

integration

Analysis of at

least 3 value

chains

conducted

0 0

1 1 1

The final report will be

delivered and

submitted by the end

of August.

Market

information

system(s)

strengthened to

improve MSME

access to

information in

selected value

chains

Information

technology

system

developed or

strengthened

0 0

1

1 0

As above, this

deliverable is tied to

the development of

the ICT Platform which

is underway. We

expect to launch

“SMEConnect” in Q2 of

Year 2.

Improved MSME

understanding of

market and

opportunities for

MSMEs in value

chains

MSME buyer

conferences

delivered

sector/industry

member

directory

0

0

0

0

1

1

1

1

0

1

A Buyers Conference

in collaboration with

KEF is planned for

August and is pending

approval from USAID’s

Agriculture Office.

Sector/Industry

membership

directories will be

developed in Q4 upon

final selection of sub-

sector value chains.


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Performance

Standard

Delivery

Measurement

Achieved Quarter

4

Planned

Year I

Deliverables3

Comments Q1

and

Q2

Q3 Annual

Plan Forecast

Strengthen

sector/industry

associations on

backward and

forward linkages

Training

sessions

delivered

0 0 2 2 2

Once the value chains

are selected, work will

begin in building the

capacity of their

representative

associations. In

addition, SEED is

planning to deliver

training to ITC staff

working in the

“National Productivity

Enhancement

Program” (NPEP) in

October.

Increased GOE

and industry

capacity to

respond to policy

constraints

Modules

developed 0 0 1 1 2

SEED drafted SOWs

and identified

qualified consultants

to start developing

and implementing

training manuals by

the end of the year.

7.2 INDICATORS

To maintain the flow of data that feeds SEED indicators, SEED continues to collect data on

training/events attendees and attendees’ details including age, gender and occupation, as

required, for reporting on SEED indicators. Other indicators are broken out by geographic location

or economic subsector, as appropriate. Table 3 provides updates of SEED performance indicators

accomplished in the third quarter of year one.

Table (3): Accomplishment of the Relevant Indicators in the two Quarters

No. Indicators Q1and 2 Q3 Year 1 Total Target

Planned Achieved Planned Achieved Planned Achieved

R1: ENTREPRENEURSHIP SKILLS AND OPPORTUNITIES EXPANDED


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1.1

Number of USG supported

entrepreneurs who launch

and grew their business

models

0 0 0 0 400 0

1.2

Number of start-up

enterprises supported that

are able to introduce new

products to market

0 0 0 0 10 0

1.3

Number of

entrepreneurship events

provided by USG

assistance

3 2 2 1 6 3

1.4

Number of entrepreneurs

attending events and

programs provided

through USG assistance

500 466 300 181 1000 647

IR1.1: Stimulated Entrepreneurship among Women and Youth

1.1.1

Number of people

accessing mentorship

programs

150 110 150 0 500 110

1.1.2

Proportion of female

participants in USG

assisted programs

designed to increase

access to productive

economic resources

35% 33% 35% 34% 35% 33%

IR1.2: Improved Availability and Accessibility of Entrepreneurship Services

1.2.1

Number of incubators

established as a result of

USG assistance

0 0 0 0 2 0

1.2.2

Number of entrepreneurs

who benefitted from

incubators established or

assisted through USG

activities

0 0 0 0 50 0

R2: FINANCIAL AND NON-FINANCIAL SERVICES EXPANDED

2.1

Number of private sector

firms that have improved

management practices as

a result of USG assistance

0 0 0 6 0 6


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IR2.1: Improved availability and accessibility of effective and efficient Business Development Services

(BDS)

IR2.2 Improved availability and accessibility of financial products and services

2.2.1

Total number of clients

benefiting from financial

services provided through

USG-assisted financial

intermediaries, including

non-financial institutions

or actors.

200 0 200 0 400 0

2.2.3

Number of days of USG

funded technical

assistance in financial

sector capacity provided

to counterparts or

stakeholders

0 0 20 20 50 20

2.2.4

Number of MSMEs

managers and

entrepreneurs benefitting

from the financial literacy

programs

0 0 0 0 40 0

R3: INTEGRATED MSMEs TO PROGRESSIVE VALUE CHAINS

IR3.1: Integrated MSMEs to Progressive Value Chain

Number of USG supported

enterprises integrated with

larger supply chains

0 0 0 0 20 0

3.1.2

Number of days of USG

funded technical

assistance provided to

MSMEs to integrate in

selected value chains

20 24.5 30 49.5 100 74

7.3 DEVELOPMENT OF MONITORING AND EVALUATION TOOLS

SEED continued to administer the evaluation form to assess the participants’ satisfaction and

obtain their feedback on the organizational and functional structure of the event,

trainers/speakers, content, etc. The results of the participant satisfaction surveys are presented in

Figures 1, 2, 3 and 4.


(SEED)

61

4.2 4.2 4.2 4.1

0

1

2

3

4

5

Figure (1): Evaluation Results of

"A Networked Approach to

Entrepreneurship and Enterprise

Development" May 23, 2016

Rating of Satisfaction

4.3

4.6

4.3

4.5

4.1

4.2

4.3

4.4

4.5

4.6

4.7

Objectives

and Content

Instructors Logistics

and Material

Overall

Figure (4): Product Development for

SME Banking Egyptian Banking

Institute June 2- 5, 2016

4.6

4.4

4.5 4.5

4

4.1

4.2

4.3

4.4

4.5

4.6

4.7

Objectives and

Content

Instructors Logistics and

Materials

Overall

Figure (3): Financial Literacy

ToT Training Egyptian

Banking Institute June 4-5, 2016

SEED will collect quarterly performance from all organizations receiving SEED assistance. During

the next quarter, the first round of quarterly data collection will be conducted.

4.54.7 4.6

4.4

1

2

3

4

5

Objectivesand

Relevance

Trainer andContent

Organizationand Facilities

OverallSatisfaction

Figure (2): Social Performance

Management Workshop

May 19-21, 2016

Participants' Rating


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7.4 DEVELOPMENT OF THE SEED ICT PLATFORM

During the past quarter, SEED issued a questionnaire on Internet and Mobile Technology Usage

and as a result, collected and analyzed data from six governorates (three in Upper Egypt and three

in the Delta). The survey was completed by 307 MSMEs who are clients of the following four

financial organizations:

1. Alexandria Businessmen Association (ABA)

2. Dakahlia Businessmen Association (DBA)

3. Coptic Evangelical Organization for Social Services (CEOSS)

4. Assuit Businessmen Association (ASBA)

Gender was almost equally represented in Lower Egypt (91 males and 92 female), while only 31

females completed the questionnaire in Upper Egypt against 93 males.4 Approximately 50% of

those completing the survey were youth under 30 years old. Below are some of the results that

indicated their access to and usage of the internet to obtain information, which in turn would

assist them in better managing or improving their businesses.

4 The difference in responses between males and females in Upper and Lower Egypt represents the substantial differences in female

participation in the economy in those regions.

66% 66%

59%62%

36%

50%

0%

10%

20%

30%

40%

50%

60%

70%

15-20 21-25 26-30 31-50 51-70 Total

Figure (6): Percentage of those ever

used internet to find information for

business

70%

82%

70%

57%

35%

64%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

15-20 21-25 26-30 31-50 51-70 Total

Figure (5): Percentage of

those have internet service

on their mobiles


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7.5 BASELINE SURVEY

Based on the approved M&E Plan, SEED started to collect baseline data. Baseline data collection

is customized in accordance with the type of indicators. An assessment tool was developed to

assess organizations that have potential to develop BDS centers, while an incubator assessment

tool was developed in collaboration with the SEED Incubator International Consultant, to measure

those organizations’ KPIs.

The M&E Senior Advisor also developed and implemented a tool to measure pre- and post-

training session knowledge to assess the impact and efficacy of the training course and delivery.

7.6 M&E ACTIVITIES NEXT QUARTER

During the next quarter, the M&E Team will conduct an assessment of entrepreneurship

incubators in order to determine which have the commitment and capacity to be SEED

recipients. The Team will conduct a baseline assessment for indicators related to BDS providers,

based on the BDS mapping and capacity exercise that will commence in August. Finally, the

M&E Department will begin collecting data on KPIs for organizations receiving SEED assistance.


(SEED)

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USAID’S SEED PROJECT’S WORKSHOP ON “SOCIAL PERFORMANCE MANAGEMENT” IN COOPERATION WITH CEOSS, MAY 18TH - 20TH 2016

DR. ADAM SAFFER, COP OF USAID'S SEED PROJECT DELIVERING A

SPEECH, EBNI INCUBATOR, MAY 18TH 2016.

USAID’S SEED PARTICIPATES IN E.COMMERCE WORKSHOP FOR BUSINESS WOMEN LEADERS, MAY 2016

USAID’S SEED PARTICIPATES IN BREAKING THE GLASS CEILING

WORKSHOP FOR BUSINESS WOMEN LEADERS, ALEXANDRIA, MAY 2016.

ANNEX I: SEED IN ACTION MAY-JULY 2016

May 2016


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USAID’S SEED PROJECT’S TRAINING ON FINANCIAL LITERACY, IN COOPERATION WITH EGYPTIAN BANK INSTITUTE EBI; JUNE 2016.

USAID’S SEED PROJECT’S TRAINING ON “PRODUCT DEVELOPMENT FOR SME BANKING”. JUNE 2ND- 5TH 2016

USAID’S SEED WORKSHOP ON “EFFECTIVE COLLECTION TECHNIQUES” IN COOPERATION WITH TAMWEEL HOLDING CO. JUNE 20TH 2016

June 2016


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66

USAID’S SEED SIGNS MOU WITH FEI, JULY 2016

July 2016

USAID’S SEED PROJECT SIGNS AN MOU WITH HELIOPOLIS

UNIVERSITY, JULY 30TH 2016


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ANNEX II: LIST OF MEMORANDA OF UNDERSTANDING

(MOU) SIGNED

Alexandria Business Women’s Association (ABWA)

Business Women of Egypt (BWE21)

Coptic Evangelical Organization for Social Services (CEOSS)

ENPACT

EYOUTH

Federation of Egyptian Industries (FEI)

Financial Services Institute (FSI)

Heliopolis University (HU)

Markade (Technisummit)


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ANNEX III: SUMMARY REPORTS OF SEED EVENTS MAY-JULY 2016

E COMMERCE WORKSHOP

17 MAY 2016 – ZAMALEK MARRIOTT HOTEL. BWE21

Event Type Workshop

Event

Gender

Focus

Women MSMEs (Entrepreneurs) and Women leaders in business

(55 of BWE21 members)

Attached list of attendees

Event

Content

Major focus:

1) Introducing SEEDS and how it can support Women Entrepreneurs and

Businesswomen MSME’s. -Mr. Adam P. Saffer, PH.D, Chief of Party (SEED).

2) E Commerce, Digital Marketing for Export Growth

Prof. Dr. Hesham Dinana, Organizing Development Consultant

Event

Organizer BWE21.

Event

Financial

Support

BWE21 and SEED

Event

Objectives

- Develop an understanding of

SEED project and how can

support Women MSMEs

(Entrepreneurs)

- Develop an elaborative market

understanding of what business

development services on Digital

Marketing and E-commerce?

What worked for them and

what did not? What can help more?

- Gain a clear understanding of women in business needs

- Presentation attached

Event

Outcomes

for SEED

- Gaining information on types of BDS services required with a women focus

from a demand driven approach, which enrich our experience when talking to

providers

- Building entry relationship with the BWE21, re-enforcing the spirit of

collaboration with BWE21


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- Working with women

participants to conclude major

challenges and areas in need for

empowerment with their

businesses from a BDS

perspective

- Key challenges/needs of MSMEs

women participants:

1. Improving the working conditions of women in the private sector,

eliminate the gender-gap in entrepreneurship.

2. Support in branding and marketing.

3. More access to legal information /advisory services.

4. Networking, Training and Financial support.

5. Support on Branding and Quality Control.

6. Digital Marketing and E-commerce advisory services.

7. On job training for employees.

8. Provide advice, tools and good practices on why and how to promote

women in management.

9. Support in dealing with banks.

10. Support in operations and financial management.

Follow-up

Action for

SEED

Gender +

Component

B (non-

financial

services)

- Support BWE21 to

develop questionnaire

for BWE21 members

- Arrange meeting with

BWE21 to assess

further collaboration

within SEED context

and support conclude

an aspired

collaboration between

BWE21 and SEED.


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CLOSING PITCHING CEREMONY

18 MAY 2016 – EBNY INCUBATOR

Event type Workshop

Event Closing Pitching Ceremony for EBNY Incubator- Cycle 1

Event

content

SEED COP provided his feedback after every pitch, and highlighted some key

notes for every team to take into consideration moving forward with their

businesses.

Event

organizer Ebny Incubators Etisal NGO Foundation

Event

activities

- EBNY Incubator is the first Internet-of-things incubator in Egypt- Sponsored

by Etisal foundation (an IT foundation comprised of around 150 IT

companies and members with the purpose of bettering the IT environment

in Egypt).

- During the event 4 teams from cycle 1 did a 10 minutes pitch of their idea,

business model and teams.

- 3 teams from the new cycle (cycle 2) did a 5 minutes pitch of their idea.

- Dr. Adam Saffer, COP of USAID's SEED project gave his feedback after every

pitch, and highlighted some key notes for every team to take into

consideration moving forward with their businesses.

- Based on Ebny Incubator manager request, Dr. Adam spoke for 20 minutes

of his own experience as an entrepreneur during the past 25 years. Going

through the reasons for his successes and failures and how it links to each

and every idea presented that day.

Event

Outcomes

for SEED

- Include EBNY Incubator as one of the 3 pilot incubators which SEED will

implement the international best practice on.

- Work with EBNY on increasing the capacity of their staff in order to present

better service to startups.

- Work with EBNY on providing them with technical assistance to the above

mentioned subjects. Working with women participants to conclude major

challenges and areas in need for empowerment with their businesses from a

BDS perspective


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A NETWORKED APPROACH TO ENTREPRENEURSHIP AND

ENTERPRISE DEVELOPMENT

MAY 23, 2016

On May 23, 2016, USAID’s Strengthening Entrepreneurship and Enterprise Development (SEED)

project held the one-day event “A Networked Approach to Entrepreneurship and Enterprise

Development” in Marriott Hotel, Zamalek. The successful event highlighted the importance of

collaboration and networking among mezzanine organizations supporting the growth and

expansion of entrepreneurship and enterprise development in Egypt, as well formally introducing

the SEED Project.

The event format included opening speeches from key stakeholders, three interactive panel

discussions, each addressing a high-priority issue of relevance to USAID’s SEED Project and the

ecosystem, and a closing session featuring the “next steps” for the entrepreneurship and MSME

ecosystem and an address by a dynamic ecosystem thought leader. Actual attendance exceeded

expectations, with 181 registered participants – 98 males and 83 females.

Participants expressed high satisfaction with the event, both verbally and as reflected in event

surveys completed by the attendees. Participants gave the event an overall satisfaction rating of

4.1. They indicated their appreciation for the opportunity to network and share their ideas created

by the event, and that the panel discussions were very fruitful, noting that collecting government

representatives, the private sector, and NGOs together to discuss the challenges to and path

forward for the entrepreneurship and MSME ecosystem was extremely useful. The selection of

venue and format of the event produced an ideal environment for networking.

Based on the success of “A Networked Approach to Entrepreneurship and Enterprise

Development,” SEED is determined to build upon the momentum created and hold further similar

events for project beneficiaries inside and outside of Cairo. Participant recommendations for

future events will be incorporated into SEED’s design process.


(SEED)

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(SEED)

73

SOCIAL PERFORMANCE MANAGEMENT WORKSHOP

COPTIC EVANGELICAL ORGANIZATION FOR SOCIAL SERVICES, CAIRO

MAY 18 - 20, 2016

Apart of Component B’s activities and in response to the needs of the Coptic Evangelical

Organization for Social Services (CEOSS) - BDS provider, SEED conducted its first workshop for

microfinance institutions focusing on Social Performance Management (SPM). The overall

objective of the workshop was to support CEOSS in increasing its outreach and accessibility to its

target markets.

The workshop was conducted at the CEOSS premises from 18th to 20th May 2016. The total

number of participants was 18 including 14 males and 4 females. All of them were credit field

workers within the Greater Cairo Governorate.

The workshop was designed to address the social aspects of the work and performance within the

management and operation structures of financial and non-financial services providers.

After completing the workshop, participants were better able to:

Translate their MFI’s mission into social as well as business or financial goals.

Develop social objectives and approaches needed to achieve them.

Collect social performance information from internal and external stakeholders.

Design tools to analyze diverse sources of information to monitor and assess their social

performance.

Align their operational systems with their social goals.


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SEED utilized a participatory approach during the workshop, which provided participants the

opportunity to interact with each other and complete practical exercises applying the skills and

knowledge they learned. The trainer provided key information to all participants through

presentations, group discussions, and working group sessions. Key skills and knowledge obtained

through the training workshop includes but is not limited to differentiating between the social

and financial performance of their organization and how to deal with clients from a social

perspective. Also addressed was the importance of the organization’s mission statement and how

social performance contributes to and aligns with it. The trainer also stressed the quality of

collected data and how it should be used efficiently in decision making and planning.


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FINANCIAL LITERACY TOT WORKSHOP

EGYPTIAN BANKING INSTITUTE, CAIRO

JUNE 4-5, 2016

Apart of Component B’s activities and in collaboration with Egyptian Banking Institute (EBI), SEED

conducted a workshop for microfinance institutions focusing on Financial Literacy.

Representatives from three NGOs attended and completed the workshop; Dakahlia Businessmen's

Association for Community Development (DBACD), Sharkia Businessmen Association for

Community Development (SBACD) and First Microfinance Foundation-Egypt (FMF-E).

The workshop was conducted at EBI premises in Nasr City from 4th to 5th June 2016, to a total

number of 15 participants including 12 males and 3 females.

The workshop was designed to address the basics of financial literacy as well as training skills to

the NGOs that provide microfinance services.

After completing the workshop, participants are better able to:

Facilitate a financial awareness session

Define saving concept

Understand the different ways for saving

Define Entrepreneurship concept

understand Entrepreneurial process

EBI utilized a participatory approach during the workshop, which provided participants the

opportunity to interact with each other and complete practical exercises applying the skills and

knowledge they learned. The trainers provided key information to all participants through

presentations, group discussions, and working group sessions. Key skills and knowledge

obtained through the training workshop includes but is not limited to training delivery

techniques, differentiate between saving and investment concepts, and intruding the

entrepreneurship process.


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PRODUCT DEVELOPMENT FOR SME BANKING WORKSHOP

EGYPTIAN BANKING INSTITUTE, CAIRO

JUNE 2-5, 2016

Apart of Component B’s activities and in collaboration with Egyptian Banking Institute (EBI), SEED

conducted a workshop for financial institutions - banks focusing on product development for SME

banking. Representatives from three banks attended and completed the workshop; Housing and

Development bank, Industrial Development and Workers Bank and Qatari National.

The workshop was conducted at EBI premises 2th to 5th June 2016, to a total number of 21

participants including 17 males and 4 females.

The workshop was designed to address the product development process cycle to those who

are working in SME retail and credit departments at banks.

After completing the workshop, participants are better able to:

Define project management

Describe the market segmentation methods as an introduction to SME market segmentation.

Explain the product design and development process

Describe a competitive product and service range for SME banking

Apply the key success factors of SME product development process

EBI utilized a participatory approach during the workshop, applying several training techniques

such as working groups, open discussions and brainstorming using training aids such as data

show, hand-outs and flipchart. Key skills and knowledge obtained through the training workshop

includes but is not limited to introduction to project management, product segmentation and

targeting, new product development and design for SME banking, building a competitive product

for SME banking; and success factors for SME product development.


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U.S. Agency for International Development | Egypt

www.usaid.gov

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