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STRENGTHENING ENTREPRENEURSHIP AND ENTERPRISE DEVELOPMENT (SEED)

QUARTERLY REPORT (YEAR III, QUARTER I)

MARCH 2018 This publication was produced for review by the United States Agency for International Development. It was prepared by AECOM.

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

STRENGTHENING ENTREPRENEURSHIP AND ENTERPRISE DEVELOPMENT (SEED) QUARTERLY REPORT (YEAR III, QUARTER I) (November 1, 2017 through January 31, 2018)

Submitted to: USAID

Prepared by: AECOM International Development

DISCLAIMER: March 2, 2018 The authors‘ views expressed in this document do not necessarily reflect the views of the United States AgencyThis publication for International was produced Development for review or theby the United United States States Government. Agency for International Development. It was prepared by AECOM.

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

List of Acronyms and Abbreviations ...... iii I. Executive Summary ...... 1 II. Introduction ...... 2 Contract Overview ...... 2 III. Component Activity Implementation ...... 4 3.1 Component A: Entrepreneurship Skills and Opportunities ...... 4 Result A.1: Stimulated Entrepreneurship Among Women and Youth ...... 4 Result A2: Improved Availability and Accessibility of Entrepreneurship Services, With a Focus on Business Incubators and Accelerators ...... 6 3.2 Component B: Financial and Non-Financial Services ...... 8 Result B.1: Improved Availability and Accessibility of Effective and Efficient Bds ...... 8 Result B.2: Improved Availability and Accessibility of Financial Products and Services ...... 9 B.1: Non-Financial Services ...... 10 B.2: Financial Services ...... 11 3.3. Component C: Integration of MSMEs in Value Chains ...... 13 Result C.1. Integrated MSMEs to Progressive Value Chains Selection of Value Chains for MSME Integration ...... 13 MIS Strengthened to Improve MSME Access to Selected Value Chains ...... 14 Improve MSME Understanding of Market and Opportunities for MSMEs in Value Chain ...... 15 Strengthen Sector/Industry Associations on Backward and Forward Linkages...... 17 CSR Initiatives Launched to Facilitate Training for MSMEs and Investment in Equipment and Software ...... 18 IV. Cross Cutting Activities Implemented ...... 21 4.1 Gender and Youth ...... 21 4.2 Business Enabling Environment ...... 26 4.3 Implementation of Grants Component ...... 31 4.4 Communication ...... 35 4.5 Marketing...... 38 4.6 Information and Communication Technology...... 39 V. Management and Administrative Issues ...... 44 5.1 Personnel ...... 44 5.2 Operations ...... 45 VI. Monitoring and Evaluation ...... 46 Annex I: Deliverable Tracker (Performance Standards) ...... 51 Annex II: Indicator Tracker ...... 54 Annex III: Success Stories ...... 56 Annex IV: Seed Activities Map ...... 62 Annex V: Seed Interventions Dashboard ...... 63

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) ii LIST OF ACRONYMS AND ABBREVIATIONS

AASTM Arab Academy for Science Technology and Maritime Transport ABA Businessmen Association ABWA Alexandria Businesswomen Association ASRT Academy of Scientific Research & Technology AUC American University of Cairo BACO Business Advisory Councils BD Business Development BDS Business Development Services BTL Below the Line (Direct Marketing Tools) BUC British University of Cairo BWE21 Business Women of Egypt CB Capacity Building CBE Central Bank of Egypt CBO Community-based Organization CCI Chamber of Chemical Industries CGC Credit Guarantee Company COC Chamber of Commerce COP Chief of Party CSO Civil Society Organization DCOP Deputy Chief of Party EBI Egyptian Banking Institute EBWA Egypt Business Women Association ECAHT Egyptian Chamber of Apparel and Home Textile ECASE Education Consortium for the Advancement of STEM in Egypt ECP Egypt Competitiveness Project ECTI Egyptian Chamber of Textile Industries EEIP Entrepreneurship, Enterprise, and Innovation Partnership Fund EJBA Egypt Junior Business Association ENCC Egyptian National Competitiveness Council EPEMA Egyptian Plastics Exporters and Manufacturers Association ERRADA Egyptian Regulatory Reform and Development Activity FEDCOC Federation of Egyptian Chambers of Commerce FEI Federation of Egyptian Industries FGD Focus Group Discussion FIB Faisal Islamic Bank FRA Financial Regulation Authority (formerly EFSA) FSI Financial Service Institute GAFI General Authority for Investment and Free Zones GAP Gender Action Plan GDP Gross Domestic Product GOE Government of Egypt

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) iii GUC German University of Cairo GWU George Washington University ICT Information and Communications Technology IDA Industrial Development Agency IDB Industrial Development Bank ILO International Labor Organization IMC Industrial Modernization Center INGIA-VC Integrating Gender in Agricultural Value Chains IR Intermediate Result LTTA Long Term Technical Assistance M&E Monitoring and Evaluation MENA Middle East and Northern Africa MIS Management Information Systems MOSS Ministry of Social Solidarity MOY Ministry of Youth MSME Micro, Small, and Medium-sized Enterprise MSMEDA MSME Development Agency MTI Ministry of Trade and Industry NCW National Council of Women NGO Non-governmental Organization OSS One-Stop Shops PTC Plastic Technology Center PWS Performance Work Statement RMG Ready-Made Garments RMGEC Ready-Made Garments Export Council ROI Return on Investment SBDC Small Business Development Center SEED Strengthening Entrepreneurship and Enterprise Development SFD Social Fund for Development STDF Science and Technology Development Fund STEM Science, Technology, Engineering, and Math STTA Short-term Technical Assistance TA Technical Assistance TICO Technology Innovation and Commercialization Offices TIEC Technology Innovation and Entrepreneurship Center TOT Training of Trainers TTL Through the Line (Events networking and direct engagements) TTO Technology Transfer Office VC Value Chain WEN Women Entrepreneurs Network WISE Workforce Improvement and Skills Enhancement

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) iv I. EXECUTIVE SUMMARY

The USAID/Egypt Strengthening Entrepreneurship and Enterprise Development (SEED) Project is funded by the U.S. Agency for International Development and implemented by AECOM. The goal of the USAID SEED Project is to strengthen the development of entrepreneurship and micro, small, and medium enterprises (MSMEs). USAID SEED focuses on increasing employment and income for entrepreneurs and MSMEs through five main objectives: 1) stimulating entrepreneurship and innovation, 2) enhancing formalization of private enterprises, 3) improving business development services to MSMEs, especially those owned by women and youth, 4) integrating entrepreneurs and MSMEs into progressive value chains, and 5) addressing enabling environment policy reform initiatives to facilitate MSME development that is aligned with the Government of Egypt‘s (GOE) socio-economic development strategy.

During Year III Quarter 1 (Y3 Q1), USAID‘s SEED Project built on the market analysis, networking, and strategic partnerships established in Years 1 and 2, to accelerate the pace of implementation. During this Quarter, SEED undertook activities to address 8 Performance Measurements planned for Year 3, as laid out in AECOM‘s contract with USAID. The Project has now met its Life of Project (LOP) goals for four performance measurements: - Networking events paving the road to project networks (women, youth and mentorship), - People with Additional Access to Information under OSS centers, - Buyer Conferences, and - Backward and Forward trainings for SMEs in different value chains.

Additionally, the Project was able to exceed a number of its M&E indicator targets across all three Components for the quarter, by exceeding its target by 43 percent for the number of start-up enterprises supported that are able to introduce new products to market.

Among numerous highlights, this quarter was noteworthy for a confluence of accomplishment notably the launch of the High School Entrepreneurship Program, signing of several MOUs with stakeholders such as the Academy of Scientific Research & Technology (ASRT) - the Egyptian Association for Community Initiatives and the Aswan Businessmen Association - to partner with SEED on continuing capacity building activities and further develop financial products focusing on women.

USAID SEED Project staff have met all work plan goals for the first Quarter of Year 3, in addition to initiating activities to meet the remaining goals detailed in the Year 3 work plan. In the upcoming quarters of Year 3, the Project will tackle some of the some of the larger pieces of infrastructure in the business ecosystem. The Project will focus on continuing to replicate business incubators, establishing additional One-Stop Shops (OSS), establishing new Business Development Service (BDS) centers, and designing and building the ICT platform that can serve as a legacy for the SEED Project and link entrepreneurs and MSMEs to important services needed to assist the private sector to become more competitive.

The Project‘s current Quarter 1 results, combined with the additional activities planned for Year 3, will allow the Project to achieve the higher level impact of job and business incomes creation and growth that is the overall goal of USAID‘s SEED Project. We believe that by the end of Year 3, the Project will have demonstrated significant increases in employment and revenue growth, as well as assisted additional entrepreneurial startups to take root.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 1 II. INTRODUCTION

While MSMEs is often deemed a buzz word concept, it does seem to be a priority within the business economic enabling environment, as the realities of entrepreneurship today are not only on the road to reshaping Egypt‘s economy but also contributing to the country‘s sociological practices. As business approaches to problem-solving gain traction amongst Egyptians, including women and youth (in a landscape that traditionally overlooks their participation) it provides the opportunity to develop a common vision by inspiring the actions of the various institutions. Developing better synergies among programs and entrepreneurs creates an opportunity to review the current business landscape and institutional framework, and build upon coordination mechanisms, including establishing a common MSME definition.

Since the SEED Project launched in October 2015, the project has continued to increase the number of its achievements and has generated noteworthy initiatives and taken advantage of existing engagement opportunities with potential stakeholders. This quarterly report provides an overview of activities for the first quarter of Year 3 of the USAID Strengthening Entrepreneurship and Enterprise Development (SEED) project, covering the period of November 1, 2017 through January 31, 2018.

The Y3 Q1 report begins by outlining the objectives and approach of the project as per the contract and presents the project‘s high-level budget summary. It then provides a detailed account of the accomplishments of each of the SEED Components (A, B, and C) and Cross Cutting initiatives, including an outline of the activities completed and the deliverables achieved in Y3 QI, as well as status reports on Performance Measurements, Indicators, and Success Stories in the Annexes.

CONTRACT OVERVIEW

USAID‘s SEED Project is part of the USA and Government of Egypt Trade and Investment Promotion in Egypt (TIPE) bilateral agreement. SEED provides technical assistance, capacity building, and training to relevant stakeholders and counterparts in order to support the growth of MSMEs and promote entrepreneurship in Egypt. Stakeholders and counterparts include public sector reform champions, universities, Business Development Service (BDS) providers, mentors, business associations, investors, financial institutions, public organizations, MSMEs, and entrepreneurs. SEED will collaborate with relevant development partners (donors) and other USAID contractors to take full advantage of synergistic opportunities in achieving results. Special focus will be given to disadvantaged areas and population groups such as women and youth. Youth is defined, for the purpose of this Project, as individuals who are between the ages of 15 and 29 years old.

The SEED Project is a USAID contract awarded to AECOM International Development under Contract No. AID-263-C-16-00003. The Project covers a three-year base period that runs from November 1, 2015 to October 31, 2018, with a fourth year option period from November 1, 2018 through October 31, 2019.

SEED‘s strategic and operational approach provides a sustainable response that fulfills each of the five results as articulated in the Contractual Scope of Work (SOW). SEED will achieve these goals using best practice approaches to ensure that local counterparts benefit from assistance and sustain results. We envision the following leading impacts:

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 2  A.1 Stimulated entrepreneurship among women and youth. Entrepreneurship will be stimulated among women and youth because local counterparts—women and youth organizations, schools, and universities—have the capacity to provide services, support, and education that is engaging and inspires confidence in women and youth to pursuing an entrepreneurial career.

 A.2 Improved availability and accessibility of entrepreneurship services, with a focus on business incubators and accelerators. Egyptian entrepreneurs will have access to improved services because incubators will have strengthened management and technical capacity to respond effectively and cost-efficiently to entrepreneurs‘ demands as they emerge over time. These incubators will understand and respond to the service needs of disadvantaged populations and mature entrepreneurs in disadvantaged areas.

 B.1 Improved availability and accessibility of effective and efficient BDS. Egypt‘s entrepreneurs and MSMEs will have improved availability and accessibility to effective and efficient support services; BDS providers, including incubators, accelerators, and One Stop Shops (OSS) will understand how to better help MSMEs develop market-driven business models; and BDS providers will gain specific knowledge and tools focused on the needs of women and youth MSMEs.

 B.2 Improved availability and accessibility of financial products and services. Egyptian entrepreneurs and MSMEs will have improved access to new and existing financial products and services because Micro-Finance Institutions (MFIs) will better understand and respond to the needs of MSME borrowers; investors will be able to more easily, quickly, and effectively identify and fund promising MSMEs; and MSMEs will be more financially literate due to increased availability of training and tools provided to evaluate financing options.

 C.1 MSMEs integrated into select progressive value chains. MSMEs will be better integrated into value chains because sector/industry associations will have the capacity to build MSME skills; will provide reliable and timely market information, facilitate relationships with large-scale buyers; and will support MSMEs as part of a continuous learning effort. Providing information to both sides on the benefits of working with each other, as well as addressing the perceptions each have of the other, will foster a closer relationship between large company supply chains and MSME providers of goods and services.

SEED will continue to identify suitable tools and implementing partners to ensure the sustainability of all its interventions throughout the project.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 3 III. COMPONENT ACTIVITY IMPLEMENTATION

3.1 COMPONENT A: ENTREPRENEURSHIP SKILLS AND OPPORTUNITIES

3.1.1 KEY ACTIVITIES ACCOMPLISHED UNDER COMPONENT A

SEED‘s Component A office was replete with activity during this reporting period. Over the course of Y3Q1, SEED‘s Component A launched a High School Entrepreneurship Program to 17 schools; delivered additional mentorship trainings; held a Start-Up weekend for the food supply chain industry; hosted a Youth Networking event to promote entrepreneurship; and facilitated a roundtable on enhancing the mentorship process and prospects of growth for existing networks.

After a full year of collaboration in Y2 with the Academy of Science, Research, and Technology (ASRT), SEED signed a MOU for a technical assistance program comprising of capacity building and collaboration on incubation activities under the Intlaq initiative and the technology transfer offices. A needs- assessment was also performed for four incubators on the design of customized tools to help them measure their incubation progress.

The Component A Team continued to build on the momentum gained from the US Incubator Study Tour in September 2017, where incubator staff visited over 25 US entrepreneurship entities across three states. As part of these efforts, SEED is closely following up with the incubators through regular visits to ensure they are on track with their operational and management plans. A significant outcome of the Study Tour is a plan to launch the first incubation association in Egypt, to be founded by the eleven SEED-supported incubators. The announcement was made in December 2017 during the Rise-Up Summit (the biggest entrepreneurship event in Egypt). The aim of this association is to mainstream the incubation business, create more awareness among start-ups and entrepreneurs in Egypt about the different services these incubators provide, and include more incubators while creating an interactive knowledge-sharing network.

RESULT A.1: STIMULATED ENTREPRENEURSHIP AMONG WOMEN AND YOUTH

1. Mentorship Activities a. In QI, SEED continued working to improve access to mentoring and entrepreneurship services for women and youth. This builds on the work of the Mentorship and Women Network consultant, who developed a strategy for launching a mentorship program. In line with these efforts, this quarter SEED, along with Cairo Angels, organized two capacity-building workshops during the Rise-Up Summit in Cairo in December 2017. The objective of the workshops was to introduce and educate the attendees on the skills required to be good mentors and have a successful and effective mentor-mentee Mentorship Roundtable Discussion, Jan 22nd, 2018: relationship, while fostering a healthy mentorship ecosystem and generating more interest in mentorship. The event was attended by 34 attendees; 18 males and 16 females.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 4 b. As part of the effort to make mentorship offerings relevant and useful, SEED also held a roundtable in partnership with AmCham Entrepreneurship Committee, led by Flat 6 Labs and Endeavor. The roundtable gathered approximately 20 participants from various entrepreneurship organizations and academia as well as incubators and individual mentors to discuss the challenges, opportunities, and needs for enhancing the mentorship process. The recommendations focused on three main pillars: 1) growing the network of existing mentors; 2) enhancing the mentoring exercise; and 3) identifying joint efforts and resources to organize a yearly mentors‘ celebration event.

c. Component A Team also worked on finalizing the RFP to establish an online mentorship network.

2. High Schools‟ Entrepreneurship Program Launched In partnership with iSpark, SEED successfully launched an Entrepreneurship Program that includes financial and business education to 157 students in a total of 17 high schools in Cairo. The Project is currently working with iSpark to expand the program within those schools to ensure it is both successful and sustainable. Upon the receipt of commitment letters/contracts from schools under program (initially10 schools; Summits, Bashaer, Green Heights, Bedaya, CMIS, MSE, Cambridge, MES, ELS, Nefertari) USAID‘s SEED will guarantee sustained entrepreneurship programs within the committed schools. The entrepreneurship curriculum was developed by the High School Entrepreneurship Program Development consultant. This consultant delivered a TOT to the iSpark trainers, who in turn delivered the program over to the students.

Additionally, to raise awareness on the importance of entrepreneurship education in schools and to ensure their buy-in and commitment, iSpark organized an event for the principals of the participating schools as well as other potential schools where the objectives of the program were presented.

To stimulate entrepreneurship among women and youth, SEED held several entrepreneurship events in this reporting period, as detailed below.

3. Startup Weekend Food Supply Chain

SEED held a Start-Up Weekend focused on the food supply chain industry from December 14-16, which brought together 100 participants. The event was held in cooperation with the Arab Academy for Science, Technology, and Maritime Transport (AAST), Ma3mal co-working space, Ice-Alex, the MTI, and the MSME Development Agency (MSMEDA). During the event, the participants learned how to create start-ups focusing on the food supply chain. After three days of extensive trainings and mentorship, 14 ideas were pitched to a panel of experts.

Traqual Cheap, 1st Place winners of the Start Up Week Ideation Boot Camp on the Egyptian Food Supply Chain sector

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 5

4. Networking Event USAID SEED organized a networking event for all beneficiaries from the EYouth activities that drew around 400 participants from all over Egypt. These participants had had the opportunity to present their project ideas after participating in different EYouth business plan competitions that were held nationwide. The event aimed to promote entrepreneurship to youth through different motivational speakers, successful entrepreneurs, coaches, and mentors.

In Year II QIV, SEED‘s Entrepreneurship Business Development & Capacity Building consultant, provided EYouth with customized capacity building and technical assistance that aimed to help the organization adjust their business and operational model. As a result, EYouth was selected by the Ministry of Investments to participate in its program ―Fekretik Sherkatik,‖ which will allow EYouth to receive funding from the UNDP. Also, as part of the program, EYouth was given an estimated market rate of EGP 2.5 million.

RESULT A2: IMPROVED AVAILABILITY AND ACCESSIBILITY OF ENTREPRENEURSHIP SERVICES, WITH A FOCUS ON BUSINESS INCUBATORS AND ACCELERATORS

1. MOU with ASRT to Improve Capacity Building and TTOs In January 2018, ASRT signed an exciting MOU that outlines SEED‘s cooperation for providing capacity building and technical assistance to the Technology Transfer Offices (TTOs) and Incubators. ASRT is the GOE body for the 34 TTOs across Egypt‘s universities and is the owner of the largest incubator initiative in Egypt, Intlaq, which sponsors five of the eleven SEED-supported incubators. ASRT works with the TTOs on specialized services with the aim of bridging the gap between industry and academia, by improving the commercialization of technology. SEED‘s support includes a comprehensive capacity building model that has been proven to help technology institutes improve operational efficiency. In return, ASRT is expected to facilitate SEED‘s efforts to achieve the mutually agreed-upon goals and objectives, as well as providing accurate and timely monitoring and evaluation information regarding the program‘s outputs and outcomes.

2. Incubators Needs Assessment This quarter, SEED interviewed over 25 international and Egyptian consultants to work with the 11 incubators during the upcoming period to provide capacity building in various areas of incubator operations. The consultants are from various disciplines such as business modeling; outreach and marketing; strategy design; financial sustainability and modeling; and investments and venture capital valuations, which will better enable the incubators and the start-ups to succeed within the Egyptian economy, as well as contribute to increased employment and revenues.

3. Incubators Branding In view of SEED‘s continuous effort to further support the 11 supported incubators in their operations, a needs assessments survey was conducted on different branding, outreach and promotional materials that will aid them in the future—whether with the incubator‘s physical space, external and internal events, and promotional efforts. USAID signage/placards were purchased for all incubators and the other branding materials are being reviewed for procurement in Y3Q2 after obtaining USAID approval on certain specialized items required by those incubators.

4. Commodities

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 6 As part of the Y3 deliverable of replicating 11 incubators, SEED continued working with the AECOM Home Office, as well as the procurement and ICT departments to facilitate the purchase of the necessary commodities (ICT equipment, furniture, and Fabrication Labs) to support their incubation cycles and furnishing their incubation spaces to best suit their sector/environment. An RFQ will be issued in Y3Q2 to start the procurement process.

5. M&E With the support of SEED‘s M&E Department, Component A conducted M&E trainings on the tools and frameworks used to collect the data needed for quarterly reporting. Also, needs assessments were given to four incubators on designing customized tools to help them better measure their incubation progress monitoring skills, as well as assisting them in seeking higher success rates in graduating their start-ups. The incubators which received this support in Y3Q1 were: - ASRT Regional Center - Heliopolis University ―Estedama‖ Incubator - Nahdet Misr ―Edventure‖ Incubator - FEPS Cairo University Business Incubator

6. Legal Skills Workshop To strengthen the legal skills of the incubator‘ managers and executives, the Component A Team signed an agreement with Sharkawy & Sarhan, one of the largest law firms in Egypt. This firm will deliver workshops in Y3Q2, to disburse legal knowledge and support the staff and the start-ups in various key areas such as corporate, labor, and investment laws. One legal session was conducted at SEED‘s office for all incubators to explore the different options of officially launching the first incubator association in Egypt with the support of SEED.

3.1.2 KEY ACTIVITIES PLANNED FOR THE NEXT REPORTING PERIOD

In Q2, Component A will focus on finalizing the intervention plan for Year 3. The implementation of the Babson program is scheduled to take place at a few universities; the high-school program will conclude with a final event in mid-March; and a Business Plan Competition is planned for April. In February, the legal firm Sharkawy & Sarhan will conduct a two-day legal workshop in February with the goal of enhancing the capability of SEED-supported incubators. SEED is considering opening the invitation to more incubators and start-ups that could benefit from the workshop. Finally, SEED is preparing RFPs for running various activities (Infomatch tool and two mobile applications).

3.1.3 LESSONS LEARNED FOR FUTURE IMPLEMENTATION

The SEED Project is currently going through a few revisions, namely in the prioritization of interventions, which have impacted the implementation of a few activities, such as procurement of commodities for incubators and the mentorship platform development. As part of the priorities revision exercise, a budget review was performed that might affect Component A‘s plans and commitments, hence back-up plans are needed so the team can be adaptable to change in the most efficient way. After the recruitment of a highly experienced and specialized individual to manage the overall procurement process, the project felt procurement procedures were easier to follow and has proven to yield efficient results which is an area that made the whole process of aligning the needs of each component with the standards and procedures more efficient.

Externally, SEED has endured negative setbacks in implementing interventions after MTI began enforcing new regulations that required security clearance requests for international consultants to be submitted 45 days in advance of the consultant‘s assignment. As a result of such procedures, the assignment of the

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 7 Incubator Technical Assistance Expert, the international consultant who worked on the restructuring of MSMEDA‘s incubators, was put on hold.

3.2 COMPONENT B: FINANCIAL AND NON-FINANCIAL SERVICES

3.2.1 KEY ACTIVITIES ACCOMPLISHED UNDER COMPONENT B:

During this reporting period, SEED continued to support public and private organizations in establishing centers that offer an all-inclusive range of non-financial services to MSMEs, in a manner that boosts their operational and financial viability. SEED delivered a comprehensive business model for establishing BDS hubs, in affiliation with the Central Bank of Egypt (CBE), University, and the MSMEDA, under the Nilepreneur Initiative. Follow-up activities for this intervention are underway, including practical application of the business model, to establish BDS hubs in selected banks and MSMEDA branches. In November 2017, an international short-term consultant started working with the Coptic Evangelical Organization for Social Services (CEOSS) to establish BDS centers in to offer non-financial services to MSMEs operating in the agricultural sector.

Building on its recent work with Tamayouz OSSs, SEED continued to offer technical assistance and support to those Tamayouz OSSs, which were established during the previous quarter, as required by MSMEs. In addition to providing equipment, this assistance involved integrating additional services within the centers, as well as offering the necessary training for providing a wider range of services to the chambers of commerce that house the OSSs. SEED also engaged with additional chambers of commerce (Behera and Mansoura), as well as with the FEI and Industrial Development Agency (IDA), to efficiently plan for the establishment of OSSs to serve MSMEs operating in the industrial sector.

Throughout this quarter, SEED conducted market research and readiness tests for microfinance institutions in Aswan to develop innovative financial products to serve the MSME cohorts and address their financing needs. In addition, MOUs was signed with the Aswan Businessmen Association (ABA) to develop a new financing scheme for unbanked SMEs.

Finally, SEED began implementing the task of developing an organizational structure and a staffing plan for the MSMEDA.

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

A significant aspect of SEED‘s activities is improving existing OSSs and establishing new OSS facilities. These efforts aim to facilitate registration processes for newly established MSMEs and create a channel for informal MSMEs to enter the formal sector. During Y3Q1, SEED worked actively toward planning the establishment of new Tamayouz OSSs in Behera, Mansoura, Aswan, and Assiut. SEED offered advice regarding the layout design of the Mansoura and Assiut OSSs and, as a result, the chambers of commerce housing the OSSs started preparing their physical locations.

To overcome the shortage in tax employees necessary for the efficient and timely issuance of Tax Cards at the Tamayouz Sohag and Shobra El-Khema OSSs, SEED successfully negotiated with the Egyptian Tax Authority, which agreed to issue an official decree for increasing the number of tax employees in both Tamayouz centers.

Encouraging arrangements were made to establish a new OSS within the FEI premises that will offer core Tamayouz services. FEI officials have agreed to make SEED‘s requested revisions to the interiors of

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 8 the prospective OSS location. After this first phase, additional satellite offices will be established nationwide. Another positive development this quarter included SEED‘s efforts to issue the Componentry Percentage Certificate for industrial products. This certificate will allow a larger base of MSMEs to benefit from the provisions of Law No. 5, which prioritizes government purchases and contracts for industrial products made with more than 40 percent of local components.

Moreover, SEED continued improving the existing Tamayouz OSS Center in Port Said. This was coupled with agreements with the IDA to establish a presence within the center and offer licensing services for industrial MSMEs in the Port Said and Sohag OSSs. Relevant MOUs between the IDA and the Chambers of Commerce in Port Said and Sohag are currently, with SEED‘s facilitation, in the approval phase. The IDA services that will be added to the Port Said and Sohag OSSs are the Industrial Licensing and the Componentry Percentage Certificate.

ASSIST BDS PROVIDERS IN IMPROVING THEIR SERVICES

In December 2017, one of SEED‘s BDS consultants delivered a comprehensive business model for the Nilepreneur Initiative officials to review. This model is for establishing BDS hubs nationwide, in affiliation with locally operating banks and MSMEDA branches. The model also includes the BDS hubs‘ organizational structure, recommended staff positions, suggested skillsets, a recommended suite of services to be offered through the hubs, and workflow mechanisms, as well as suggestions for ongoing monitoring and evaluation of performance. Meanwhile, follow-up efforts are ongoing to design a logo for the initiative as well as an interior design for the BDS center. An Egyptian consultant will work with each bank and MSMEDA branch to adopt the developed model for each BDS center, based on the MSMEs‘ needs in each location.

SEED recruited another BDS consultant, to support the CEOSS in establishing BDS centers (two main centers and three satellite units) to offer non-financial services to SMEs operating in the agricultural sector in Minya and Beni Suef. During Y3Q1, this consultant began the development of the suite of services to be offered through the CEOSS BDS centers, as well as their organizational structure, staff job descriptions, standard operating procedures for BDS services to be offered, and the budgets required for BDS centers‘ establishment. The launch of the BDS centers is expected to take place in early May 2018.

RESULT B.2: IMPROVED AVAILABILITY AND ACCESSIBILITY OF FINANCIAL PRODUCTS AND SERVICES

Financial Product Development Throughout Y3Q1, SEED succeeded in recruiting qualified consultants to develop MSMEs‘ financial products targeting fishermen on Lake Nasser, in Aswan. This was achieved through direct intervention with the Aswan Fishermen Association, which is about to finalize the concept development phase and pilot test the products. Technical assistance support was also extended to the ABA to develop an innovative start-up finance instrument targeting youth and women, with feasible business ideas/plans to support the governorate‘s economy.

Investment Linkages This quarter, SEED conducted a successful Islamic Finance Conference, where top Egyptian Islamic financiers offered and presented their products to over 99 SME practitioners from across the country. The event preparation included a documentation system for SMEs needing financing. Going forward, SEED‘s M&E Team will follow up with the participants on the effectiveness of banks‘ lending processes.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 9 The information gathered here will be used to improve future investment linkage events and to design additional interventions, with the goal of increasing access to finance for SMEs.

Institutional Capacity Building SEED issued an RFP to obtain proposals for developing a Strategic Business Plan for the Credit Guarantee Company (CGC) during its transitional growth phase. This business plan is crucial for facilitating access to finance for SMEs that are unable to provide collateral to financial institutions and the SEED Project is seeking to provide support for the CGC if it fits within the scope of the project. Islamic Finance Matchmaking Event, Dec 11th, 2017 Also, SEED recruited four consultants to develop an organizational structure and staffing plan for the MSMEDA. After researching the MSMEDA and the MTI‘s latest MSME strategies, the consultants met with the agency‘s executive director as well as central sector heads. The team then developed three scenarios for the MSMEDA‘s organizational structure and the functions of each department, which were presented to SEED‘s COP and USAID. The revised scenarios will be submitted to MTI and MSMEDA next quarter, after which the final version will be submitted and next steps will be identified.

This quarter, SEED continued developing a logo for the Financial Literacy Initiative, which is being prepared for the Financial Regulation Authority (FRA), formerly EFSA. Using the logo, SEED will support the FRA in producing promotional material for its initiative.

3.2.2 KEY ACTIVITIES PLANNED FOR NEXT REPORTING PERIOD

B.1: NON-FINANCIAL SERVICES

An MOU between the IDA and Port Said Tamayouz Center has yet to be signed. The center was to be staffed with four IDA employees who would provide IDA services, however, 11 employees are needed but this will require more space in the Port Said COC. SEED is currently facilitating negotiations between the IDA and the Port Said COC to resolve the issue and finalize the establishment of the center.

The FEI would also like to open its own OSS to provide needed services for the industrial sector, especially IDA services and the industrial products‘ Componentry Percentage Certificate. These services are currently provided centrally and separately in a relatively remote location in the New Cairo vicinity. Collecting these services in one location close to the city center would significantly reduce commuting time, costs, and general efforts for the FEI‘s OSS customers.

In January 2017, the Nilepreneur Initiative task force asked SEED for a follow-up intervention to practically apply the business model developed by SEED‘s consultant, Gordon Studebaker, for the support of two banks, NBE and Banque Misr, as well as three MSMEDA branches. The purpose of applying the model is for the actual establishment of BDS hubs. The intervention will involve developing an operational business plan for the actual BDS hubs‘ roll-out, as well as support with BDS staff screening and baseline coaching on service delivery parameters. Final delivery of this TA is expected to take place sometime between April and May 2018.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 10 Another consultant was recruited last quarter to support the ABA in developing a business model to establish a BDS center to offer non-financial services to MSMEs operating in organic and geographical clusters. However, this intervention was delayed due to the ABA needing prior approval from the Ministry of Social Solidarity (MoSS) to work with a foreign consultant. The approval should be finalized soon, with final delivery of this TA in Q2.

The recruitment process is currently underway to solicit a local consultant to support the Merghem Plastics Cluster in establishing a BDS center to serve SMEs operating in the cluster and surrounding areas. Final delivery of this TA is also expected to begin in April 2018.

Non-Financial Services Activities Planned Activities in Y3

Activities Description Location Date Improving Port Said Tamayouz Adding IDA services to Tamayouz Port Port Said April 2018 OSS Said Establishing new Tamayouz OSS Establishing new Tamayouz OSS with all required core services, work-flow design, IT systems, equipment, and capacity Behera April/May 2018 building

Establishing new Tamayouz OSS Establishing new Tamayouz OSS with all required services, work-flow design, IT Aswan May 2018 systems, equipment, and capacity building Establishing new Tamayouz OSS Establishing new Tamayouz OSS with all required services, work-flow design, IT FEI May/June 2018 systems, equipment, and capacity building Presenting the organizational Presenting the organizational structure of MTI and structure of the MSMEDA the MSMEDA to the MTI and the February 2018 MSMEDA MSMEDA Continue process of finalizing Based on feedback (three scenarios of the organizational structure and each organization), the team will finish February/March MSMEDA staffing plan for the MSMEDA developing a complete structure and 2018 staffing plan for the MSMEDA Development of the operational business Establishment of BDS Hubs Cairo and plan for the establishment of BDS hubs in April/May 2018 under the Nilepreneur Initiative Upper Egypt two banks and three MSMEDA branches Development of a business plan for the Establishment of a BDS center establishment of a BDS center to offer Alexandria April 2018 at the ABA non-financial services to the members of organic and geographical clusters Development of a business plan for the Establishment of BDS center at establishment of a BDS center to offer Alexandria April 2018 the Merghem Plastics Cluster non-financial services to the plastics sector SMEs

B.2: FINANCIAL SERVICES

Financial product development is progressing and, by the end of the next quarter, a prototype of two products will be ready for testing. The staff of the two MFIs, the ABA, and the Fishermen‘s Association

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 11 will be trained on the new products. In the follow-up stages, the products will be adopted based on the testing results and subsequently disseminated to all the branches of the two MFIs.

SEED is currently working on obtaining security clearances for two international consultants to support four Egyptian commercial banks in developing MSME-focused financial products, to better serve this segment.

Financial Services Activities Planned Activities in Y3 The next quarter includes capacity building sessions with Egyptian regulators to better serve MSMEs. To this end, two ToT sessions will be delivered to judges of economic courts to better prepare them in delivering verdicts that affect MSMEs. Relationships will also be brokered between MSMEs and investors through at least two workshops/conferences where investors will present their financing schemes/non- bank financial products. Finally, financial literacy training sessions are scheduled to be held with top-tier Egyptian universities.

Name Description Location Date Development of new micro- Development of new SME loan product Aswan June 2018 lending product for the Fishermen Association Development of new micro- Development of new SME/start-up loan lending product product for the Aswan Businessmen Aswan June 2018 Association Assessment and development Assessment of operational framework of three-year business plan for the credit guarantee schemes and October CGC Egypt - Cairo and strategy development of a three-year business 2018 plan Development of new MSME Development of new MSME loan QNB head office - October loan product products for QNB Al-Ahli Cairo 2018 Development of new MSME Development of new MSME loan ABE head office - October loan product products for the Agricultural Bank of Cairo 2018 Egypt Development of new MSME Development of new MSME loan IDB head office - October loan product product for the Industrial Development Cairo 2018 Bank (IDB) Development of new MSME Development of new MSME loan October FIB head office - Cairo loan product product for Faisal Islamic Bank (FIB) 2018 Development of new MSME Development of new MSME loan BDC head office - October loan product product for Banque Du Caire Cairo 2018 Match-making Event to link A match-making event to connect the MSMEs with financial service MSMEs cohorts in Egypt with banks and Different governorates October providers (banks and other other financial institutions serving this across Egypt 2018 FIs) segment

3.2.3 LESSONS LEARNED FOR FUTURE IMPLEMENTATION

Component B continues to face significant challenges with targets in establishing BDS centers with partner organizations. A major challenge here is continuing to engage partners in general and also ones who are willing to establish cost centers within their organizations to offer financial services to MSMEs. This is especially striking that experts in this field have agreed that – based on international experience – BDS centers break even within five to seven years of commencing operations. Another challenge is the

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 12 difficulty of sourcing consultants who are experienced in establishing comprehensive BDS centers to offer non-financial services to SMEs. These bottlenecks are currently being tackled through posting SOWs on multiple channels and interviewing multiple applicants to ensure the selection of optimal talents.

Another obstacle that has slowed down Component B‘s activities is MTI requesting security clearances for expat consultants. Alternatives are needed to overcome this issue. A list of qualified local consultants will be developed, while ensuring that passport copies of selected expat consultants are submitted to the ministry in advance to reduce waiting time.

3.3. COMPONENT C: INTEGRATION OF MSMES IN VALUE CHAINS

3.3.1 KEY ACTIVITIES ACCOMPLISHED UNDER COMPONENT C

SEED‘s Component C continued to build on the interventions delivered in Y2, including those for market-needs identification, as well as on the progress achieved through the implementation of high- impact capacity-building programs and business linkages initiatives. As part of these efforts, this quarter SEED developed technical assistance interventions aimed at maximizing the capacity of MSMEs and industrial associations for better integration into progressive value chains (VCs).

SEED supported 23 plastics VC MSMEs, located in six different governorates across Egypt, to integrate in supply chains of new large business buyers through the EGYPLAST Expo. SEED also organized a matchmaking event to support seven MSMEs in becoming integrated within the Clorox VC. Clorox is considered one of the largest consumers of plastics bottles in Egypt. SEED also enabled eight MSMEs in the RMG VC to become integrated in new large buyers‘ VCs and to consequently generate around 150 sales orders, valued Plastic Packaging Matchmaking Event, Dec 20th, 2017 at approximately EGP 1.5 million, with potential for recurring sales orders. Additionally, SEED delivered two forward-linkage integration training sessions with the purpose of enhancing MSMEs‘ marketing and selling management skills. The sessions were delivered to 41 participants (10 women) from 35 MSMEs in dairy, fisheries, plastics, RMG, and automotive-feeding industries, in addition to four participants from the MSMEDA and sectors‘ associations.

Other interventions which SEED implemented, with the goal of supporting MSMEs‘ integration into VCs, included the following activities:

 Developing MISs for the RMG, dairy, and plastics VCs.  Developing a Digital Directory for the RMG.  Preparing for three SME B2B Buyers‘ Conferences and customizing matchmaking events in the plastics and RMG VCs.  Developing CSR business-inclusive initiatives in cooperation with large buyers and banks to support the integration of suppliers into VCs.

RESULT C.1. INTEGRATED MSMES TO PROGRESSIVE VALUE CHAINS SELECTION OF VALUE CHAINS FOR MSME INTEGRATION

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 13 During this quarter, SEED shared the ―Plastics Value Chain Mapping and Assessment‖ study it had developed with different partners, including the IDA, MTI, Central Bank of Egypt (CBE), and the FEI‘s Chamber of Chemical Industries (CCI). The study maps the plastics VC, analyzes and assesses the sector's bottlenecks, and identifies required technical-assistance interventions in support of MSMEs‘ integration.

SEED started implementing the following technical-assistance interventions targeted for completion in Year 3:

 Analysis of Egyptian Imports of Semi-Finished and Finished Plastics Products

 SEED is recruiting a consultant to provide a detailed analysis, mapping, and categorization of semi- finished and finished plastic imported products. The consultant will also identify new local manufacturing opportunities, in addition to leading the implementation of B2B matchmaking programs between large buyers/consumers of imported semi-finished and finished plastic products in the most effective and promising plastics sub-sector and MSMEs. The consultant will share his/her results with Plastic Technology Center of the Ministry of Trade and Industry (MTI-PTC) to identify required capacity building and technology transfer interventions.  Support of the MTI‘s Plastic Technology Center (PTC)

 SEED is in the process of recruiting a consultant to design and conduct a one-week TOT workshop on new applications and technologies for the PTC and selected MSMEs. The consultant will also conduct field visits to selected MSMEs, with the purpose of pinpointing bottlenecks and constraints within the field, and recommending solutions for them.

For the fishery VC, Component C‘s Sector Advisor issued a report at the beginning of the quarter that identified various interventions for the development of the MSME aquaculture VC. The goal is to integrate fisheries MSMEs into the VCs of large buyers and create value-added benefits for processed fish rather than whole fish trading. These interventions will contribute toward developing new market segments, creating business linkages, and enabling the supply of the value-added products year-round rather than only on a seasonal basis. These efforts will be implemented in cooperation with the US Soybean Exporting Council (USSEC), with the purpose of introducing a comprehensive study to include market needs, innovative fish products, and new marketing channels. This will support MSME aquacultures in being integrated into the VC.

For the dairy VC, SEED is currently cooperating with Tetrapack Company in developing an intervention to support a milk collection center in Gharbia governorate. The purpose of the intervention, which will be implemented in YIII QII, is to boost revenue and employment while creating better business linkages.

SEED is in the process of hiring a short-term advisor to map and assess the dairy VC. The advisor‘s scope of work focuses on the following points:

 Analyzing key constraints that MSMEs face in integrating into the dairy VC.  Identifying technical assistance interventions that SEED could perform.  Validation of these proposed interventions with relevant VC stakeholders.  Proposing potential key stakeholders for SEED to collaborate with on the proposed interventions.

MIS STRENGTHENED TO IMPROVE MSME ACCESS TO SELECTED VALUE CHAINS

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 14 In Y2, SEED initiated work on developing a MIS in the RMG VC, which aimed to enable MSMEs to access relevant market information and to provide a digital market place for matchmaking with large business buyers. However, SEED discontinued its cooperation with the selected partner, El Shahbandar, due to a lack of cooperation and has since selected another partner, Yallansadar.com, a group of entrepreneurs who established a platform to support Egyptian product exports. SEED drafted The B2B matchmaking event was held between Clorox and a MoU with YallaNsadar to support developing seven plastic converter MSMEs the website modules, promote the website, train its staff in managing and operating the platform, and, to ensure its sustainability, help market it among RMG value chain entities. The platform is scheduled for launch in Y3Q3.

For the dairy MIS, an action plan was put in place with the awarded company, INJAZ and Knowledge Economy Foundation (KEF), starting January and continuing through May 2018. Meanwhile, proposals received in July 2017 for the Dairy Data Survey RFP are currently being evaluated to award the company that will be responsible for the required data collection and entry, in order to build the database content for relevant dairy VC stakeholders. The dairy VC MIS is expected to be launched by end of Y3Q4.

USAID SEED coordinated with the CCI to initiate the development of a new plastics MIS. The MIS will be integrated with a mobile application and linked to the CCI‘s portal. In addition to enabling MSMEs to access relevant market information, the MIS and CCI portal will provide them with a digital market place for matchmaking with large business buyers and accessing other VC stakeholders (raw material producers, machine suppliers, mold makers, testing and research institutions, job seekers, etc.). The portal will also offer accessibility to updated members‘ profiles and facilitate communication between the Chamber and its members. SEED developed and posted a SoW for an Egyptian consultant to study and develop the CCI portal and plastics MIS business model, a business plan and a marketing plan for sustainable solution, and to design the MIS layout and map content. SEED also developed and posted an RFP for the development of a Plastics Market Information Digital Network with mobile application and upgrade of the CCI portal. This new MIS is expected to be launched in Y3Q4.

IMPROVE MSME UNDERSTANDING OF MARKET AND OPPORTUNITIES FOR MSMES IN VALUE CHAIN

During this quarter, SEED continued to support MSMEs for their participation in B2B Buyers‘ Conferences (exhibitions) that are the most relevant to their targeted VCs. At these conferences, the selected MSMEs will present their products and services to potential large business buyers, gaining better opportunities in entering new markets while improving their sales and raising their incomes and employment levels.

USAID SEED, in cooperation with ECAHT, ECTI, and RMGEC, supported eight MSMEs in the RMG VC by covering 50 percent of their exhibition fees to exhibit their products at the ―Cairo Kids and Mother International Exhibition,‖ held on January 26–28 at the Cairo International Convention Center. SEED developed eligibility criteria to select participating MSMEs and conducted field visits in Cairo, Alexandria, Qalyubia, Sharkia, and Minya governorates to assess those selected. During the exhibition, the MSMEs

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 15 made 149 B2B deals, worth around EGP 1.5 million in total or EGP 10,000 each, with prospective recurring deals from the new clients.

SEED is also planning to support an additional 20 MSMEs for the ―Cairo Fashion and Tex Exhibition‖ to be held in September 2018.

SEED developed another two Plastics B2B Matchmaking Events. The first was implemented in cooperation with the plastics sector within the CCI and with Clorox. SEED worked on the selection of plastics MSMEs matching the Clorox product range, and followed up with a pre-assessment through field visits. Out of 20 potential companies, nine were evaluated and seven MSMEs were selected to participate. Clorox shared with these MSMES its range of products, annual volume, testing protocols, and sourcing process. Following the event, held at the FEI on December 20, 2017, the MSMEs also had the opportunity to schedule one-on-one meetings with the Clorox Plant Manager, Supply Chain Manager, Quality Manager, and procurement specialists. SEED will be following up with Clorox within a four-month time frame (in accordance with Clorox sourcing process) to measure actual deals with high potential MSMEs.

The second Plastics B2B Matchmaking Event was also implemented in cooperation with the CCI. SEED supported MSMEs in the plastics VC to exhibit their products at the ―EGYPLAST Exhibition,‖ on January 18–21 at the Egypt International Exhibition Center. SEED developed eligibility criteria to select participating MSMEs and conducted field visits to assess MSMEs in Alexandria, Mansoura, , Beni Suef, 10th of Ramadan, , , and Salam cities. Visits covered different plastics sub-sectors (flexible film packaging, rigid packaging, bottles, molds, master batch, etc.). The participating

MSMEs were nominated by the Egyptian Plastics EGYPLAST Exhibition, Jan 18th – 21st, 2018 Exporters and Manufacturers Association (EPEMA) and by the CCI.

For the 23 selected MSMEs, SEED covered 50 percent contribution of their exhibition fees for up to 24 square meters of display space. Also, SEED supported two business associations (the MTI‘s PTC and the CCI‘s plastic division) with 100 percent of participation fees to present their services to industry exhibitors and visitors. Prior to the exhibition, SEED worked on building the capacity of participants through the distribution of training material on effective management of exhibitions. SEED will follow-up with participants of the events to measure the number of linkages, deals, and impact on revenue and employment.

SEED worked on the selection and evaluation of MSMEs to participate in ―Pipe Africa International Exhibition,‖ which will feature pipes, tubes, pipe fitting, and fluid handling systems, for MSMEs from the plastics VC. The exhibition will take place at the New Cairo Exhibition Center on February 5–7, 2018. SEED will support selected MSMEs of plastic pipe manufactures to participate in the exhibition. Selection criteria and application forms were circulated to the FEI and EPEMA to nominate their MSME members. SEED conducted field visits to assess the eligibility of 20 nominated MSMEs, and will provide support to eligible MSME participants by covering 50 percent of the exhibition fees for an exhibition area up to 30

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 16 square meters each. Prior to the exhibition, SEED is building the capacity of selected MSMEs through training in ―Selling and Marketing Management.‖

SEED designed a concept note for an Automotive Feeding Matchmaking Event, which aims to link MSMEs within the sector with large Automotive Large Companies (OEMs). The event will be followed by capacity-building sessions for high potential MSMEs to ensure their integration within the OEMs‘ supply chain.

As for the fisheries sector, SEED planned several matchmaking events to support better integration of MSMEs into VCs.

SEED will also organize an event to match farms with retail chains to explore potential opportunities and develop new market segments for aquacultures MSMEs. The selected farms were certified based on Best Management Practice (BMP) criteria, developed by World Fish and certified by INTERTEK, a worldwide third-party certification company, to match suppliers with the customers‘ requirements. Meanwhile, according to the Chamber of Food Industries members, a similar event will be organized to match the fisheries‘ manufacturers with fish farms to develop new Egyptian farmed fish products.

Understanding the significance for MSMEs to access outside markets, SEED started working on providing support to dairy MSMEs for exhibiting their products to African and Arabian Gulf importers in the ―B2B – Deal with Africa Forum,‖ in cooperation with the Egyptian Chamber of Food Industries. SEED will cover 50 percent of the exhibition fees for MSMEs that meet eligibility criteria, as assessed during SEED field visits. Prior to the exhibition, which will be held in Y3Q2 or Q3, SEED in cooperation with the organizing company is building the capacity of selected SMEs through providing training sessions in ―Negotiation and Exporting Logistics Skills.‖

STRENGTHEN SECTOR/INDUSTRY ASSOCIATIONS ON BACKWARD AND FORWARD LINKAGES

In Y2Q4, SEED conducted a training workshop for MSMEs in ―Selling and Marketing Management‖ at the 10th of Ramadan Investors Association (TRIA). The event built the capacity of MSMEs in developing and established forward linkages with large business buyers (B2B) to support growth and development, and increase income and employment. In Y3Q1, SEED continued this effort with two training sessions, at the Hilton Green Plaza Hotel in Alexandria on November 5–7, for targeted businesses operating in Alexandria, Borg El-Arab, and Merghem industrial clusters. Another session was held at the FEI in Cairo on December Selling and Marketing Management Skills Training, 5–7 for MSMEs in Cairo, , and Qalyubia Alexandria, Nov 5th – 7th, 2017 governorates. The training was attended by 38 participants (10 women) from 16 SMEs in dairy, fisheries, plastics, RMG, and automotive-feeding industries. Topics covered included annual sales planning, planning and executing sales calls, market review, SOWT analysis, marketing strategy, marketing program, and measurement. The participants were given a ―Maturity Monitoring Tool‖ to measure their progress in building or improving their organizations‘ marketing and selling capacities, to be shared with SEED to measure the impact, on planned intervals.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 17

SEED plans to deliver a training package to the fisheries VC to build their capacities, starting from forward integration, exporting requirements, and fulfillment training. The program will be delivered to marine fish farms to build their capacities to match with importing companies. Additionally, farm management techniques will be delivered to enhance the farms‘ productivity.

A training portfolio will be organized for the five VCs‘ MSMEs, with topics including Quality Management Systems, Lean System, Food Safety, and IATF, and covering operational gaps, increasing productivity, minimizing production waste, and matching with customer‘s requirements. This will take place in Y3 Q2–Q4.

Sector/Industry Member Directory In Y2Q3, SEED chose the Egyptian Textile Center‘s (ETC) hard-copy directory to be developed into a digital form. Subsequently, an MOU was signed with the ETC. The online directory serves to address the constraints of MSMEs in accessing the market and will be in both English and . It will offer services to potential business buyers from local and foreign markets, as well as opportunities for MSMEs to create sustainable forward and backward commercial linkages with large businesses. In Y2Q4, SEED selected ARK DEV as the web-development company to develop the ETC website, including an online digital directory of textile and RMG VC stakeholders. This quarter, the development process started with a kick-off meeting for establishing the time frame. Furthermore, SEED started a recruitment process to hire a consultant to support ETC in marketing the new online directory and ensure business sustainability. The new directory is expected to be launched in Q2 of this year.

CSR INITIATIVES LAUNCHED TO FACILITATE TRAINING FOR MSMES AND INVESTMENT IN EQUIPMENT AND SOFTWARE

CSR Initiatives Several initiatives to support MSMEs‘ integration into corporate VCs developed further this quarter, thanks to meetings and discussions held with CSR and supply-chain managers of large businesses in different sectors, including banking, cement, agri-business, and plastics industries.

One such company is Daltex Corporation, a leading agribusiness company with remarkable CSR activities, including women‘s empowerment, environment protection, and waste management activities. SEED agreed to support Daltex‘s CSR initiatives, which aim for integrating Agri-waste management SMEs into the company‘s VC. SEED will conduct an Agri-Waste Assessment and consequently provide Daltex with a selected list of MSMEs. Daltex will then be able to improve its MSME management system and supply chain. This will be followed by Daltex supplying MSMEs, through contractual agreements, with their organic waste. As a result, these MSMEs will become economically empowered, which will enhance their business sustainability.

The banking sector, represented by Alex Bank and Commercial International Bank (CIB), is planning to provide financial services that serve SMEs. Alex Bank has created a full-fledged toolkit to help grow and empower Egyptian MSMEs and entrepreneurs. Accordingly, SEED agreed to promote the toolkit by conducting training programs for MSMEs from the five identified VCs. Meanwhile, CIB expressed its interest in providing a Mentorship Program to a selected number of MSMEs from the five SEED- identified VCs. SEED agreed to work with CIB to develop financial products to match MSMEs‘ needs, which will help them find financial services suitable to their market size.

MoharamPlast is a leading company, based in Alexandria which produces plastic compounds. The company is willing to support 70 MSMEs through CSR activities and provide them accessibility to its

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 18 high-tech laboratory, as well as the possibility of performing free chemical tests. SEED will provide further support to 20 of these MSMEs by conducting a Technical, Theoretical, and Practical Lab Test Training, with the purpose of enhancing their knowledge of the newest chemical tests required in the plastics industry, using MoharamPlast‘s factory lab.

Following a quick survey of participating companies in the last CSR training organized by SEED in September 2017, some of the companies noted strong interest in the CSR training and thus started integrating MSMEs into their VCs. As a result of this success, SEED is currently planning for an additional industry-focused training program to tackle various VC challenges faced by each industry. By the end of the training, participating companies will be able to create business-inclusive CSR initiatives.

Related Activities: Outreach and Networking with MSME Supporting Organizations Component C participated in the technical monitoring of the implementation of two SEED grants (Yadawee and Yomken) within the selected VCs:

 The Yadawee grant provides capacity building for handcraft industries in Upper Egypt.

 The Yomken grant supports MSMEs to overcome industrial technical challenges. SEED started to support MSMEs in five VCs through industrial challenges‘ facilitation and solution submissions by Yomken grantee workshops and ideation meetings. The first workshop was held in Kafr El-Sheikh governorate with the participation of fisheries VC stakeholders, who discussed the major challenges to be posted on the platform for entrepreneurships and innovator solution submissions.

3.3.2 KEY ACTIVITIES PLANNED FOR NEXT REPORTING PERIOD

Building on the work performed in Y2, and to continue building the capacity of market institutions for supporting MSMEs‘ integration into VCs, the following consultancies and capacity-building activities will take place in Y3Q2:

Activities Description Location Date Develop textile and RMG Work with ETC on transferring its textile and RMG Cairo Y3Q2 digital directory directory to digital format Cairo, Port Forward linkage training in Forward linkage capacity building of RMG Said, and Y3Q2 RMG industry/sector institutions and their SME members Alexandria Matchmaking event for technical uniform Matchmaking for RMG VC Cairo Y3Q2 manufacturers Fashion design Building capacity of Fashion & Design Center to Cairo Y3Q2 marketplace enable them to support MSMEs in the RMG VC Training on lean Select and engage two STTAs to deliver three rounds manufacturing and selling Cairo / Y3Q2 or of lean manufacturing and two rounds of selling and and marketing Alexandria Q3 marketing management training management Participation of MSMEs in February international exhibitions Pipe Africa Cairo 2018

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 19 Activities Description Location Date Automotive feeding Design and conduct automotive feeding matchmaking matchmaking Cairo Y3Q2 event

Plastic import substitution Select and engage a local consultant for the plastics Cairo Y3Q2 study import substitution study Matchmaking for plastics VC SMEs matchmaking with Telecom Egypt Cairo Y3Q2

Develop CCI portal and plastics MIS business model MIS for plastics VC and marketing plan; selection of MIS and portal Cairo Y3Q2 developer Cairo and Dairy VC mapping and Analyzing key constraints and identifying TA other Y3Q2 assessment interventions governorates Dairy VC interventions Validate proposed TA intervention with VC Cairo Y3Q2 validation stakeholders Forward linkage training in Forward linkage capacity building of marine fish farms Port Said Y3Q2– Q3 fishery Matchmaking for Matchmaking event for aquaculture farms with fishery Cairo Y3Q3 aquaculture SMEs manufacturers Matchmaking for Matchmaking event for aquaculture farms with large Cairo Y3Q2 aquaculture SMEs business buyers Matchmaking event for dairy MSMEs with African and Matchmaking for dairy VC Cairo Y3Q2 Arabian importers Access to innovation for Use Youmken.com to proposed crowd thinking Two Y3Q2– Q3 dairy MSMEs solutions for technical challenges of dairy VC governorates Cairo and Dairy MIS development and conduct a survey of MIS for dairy VC other Y3Q2 stakeholders to develop the content of the databases governorates Prepare for CSR training Recruit STTA to prepare training material Cairo Y3Q2 Finalize MOU with Alex Design training program for five identified VCs Cairo Y3Q2 Bank Cairo, Port Finalize MOU with Daltex Integrate MSMEs into the corporate VC Said, and Y3Q2 corporation Alexandria Finalize MOU with CIB Design the mentorship program based on MSMEs‘ Cairo Y3Q2 Bank needs

3.3.3. LESSONS LEARNED FOR FUTURE IMPLEMENTATION

Participating in the Yomken grantee workshop for the fisheries VC showed that it will be more efficient to receive participants with industrial experience, rather than academic researchers, for ideation or crowd-solving workshops, to gain more related challenges with higher-impact solutions.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 20 IV. CROSS CUTTING ACTIVITIES IMPLEMENTED

4.1 GENDER AND YOUTH

4.1.1 KEY ACTIVITIES ACCOMPLISHED

Establishment of a Women and Youth Entrepreneurs Physical Network

As part of SEED‘s continuing effort to support MSMEs‘ growth and promote entrepreneurship for Gender and Youth (G&Y), the Project‘s ongoing focus is on establishing and formulating a Women Entrepreneurs Network (WEN) in Egypt. This goal is being met by providing dedicated resources and applying best practices in establishing, developing, and building the capacity of the network in order to coordinate efforts of existing women‘s and youth‘s entrepreneurship associations and organizations in accessing and serving a larger number of women entrepreneurs in Egypt.

The network is made up of a group of interconnected entrepreneurs, business service providers, financial service providers, business mentors, and various other relevant actors and leaders, who are expected to contribute to achieving the network‘s objectives. To introduce these initiatives to women entrepreneurs in Egypt, SEED started by recognizing the importance of addressing hesitation on the part of women and youth entrepreneurship organizations, which may be less inclined to coordinate their efforts. SEED has so far succeeded in establish a Steering Committee from existing networks, after conducting number of working sessions with potential partners, and by mobilizing the four following core gender-focused organizations as the initial establishment organizations of the network:

 National Council of Women (NCW)  Business Women of Egypt 21 (BWE21)  Alexandria Businesswomen Association (ABWA)  FEI‘s Women in Business Unit

SEED started the capacity-building process for four selected women‘s business organizations in Year 2, to develop the WEN. The process was implemented through the five following stages:

Organizations' Engagement & Capacity Assessment:

Capacity 5-Year Strategy Development Building Process to Rolling Out Organizations' Activiites Formulate the WEN Women Entrepreneurs’ Network Formulation (WEN)

Rolling Out WEN Initiatives

1. Organizations Engagement & Capacity Assessment SEED has identified four core organizations to be part of the long-term capacity-building process that will form the base of qualified organizations to establish the WEN. Several institutional and technical assessments have been conducted with the four organizations, ahead of designing the following steps of strategic planning and capacity building and equipping them with the tools needed to achieve their desired results. The assessments identified the following needs:

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 21  Improving good governance procedures.  Developing the roles and responsibilities of current staff and determining what resources are required for future activities.  Structuring and mainstreaming programs and activities provided to women in business as well as entrepreneurs.  Capacity building in entrepreneurship education and BDS services, proposal writing skills management, communication skills, networking and developing partnerships, advocacy and policy coordination efforts, and Strategic Planning for Gender-focused financial literacy. Organizations Phase II, Dec 12th – 14th, 2017

2. 5-Year Strategy Development During this reporting period, these four organizations were involved in several capacity-building activities and workshops, most notably the following:

Strategic Planning & Technical Training Workshop This workshop resulted in the development of the first initial strategy outline and draft. The workshop was designed to provide participants with the skills to apply quality technical models and interventions, develop key performance indicators and action plans, implement effective activities, monitor and evaluate results and impacts, leverage resources, understand more about CSR, and learn how to design and implement advocacy policy campaigns and activities.

One-to-One Capacity Assessment & Capacity Building Sessions Following the Training Workshop, the second phase consisted of a series of individual sessions conducted with each organization, on their own premises, to ensure that the skills and knowledge gained in the workshop will be reflected on the development of their five-year strategies.

The sessions covered the following achievements:

 Developing the five-year strategy, a comprehensive document including operational guidance and steps to assist organizations while designing or implementing their activities.  Developing strategic action plans for the first year and prioritizing the main activities and objectives articulated under each strategic direction.  Developing a human resources management plan for each organization.  Instituting an organizational monitoring and evaluation (M&E) process, with the main tools to assist organizations to measure the quality and impact of their services for women entrepreneurs.

3. Rolling Out Organizations' Activities SEED supported the four organizations in developing business rationale and concept papers for selected interventions and services. Some of these interventions are as follows:  Handicraft network for NCW  EU SME development proposals for NCW  Marketing

SEED also supported organizations in developing a of projects and services, including BDS specifically designed to support women-owned or -managed MSME businesses. These included:  Handicraft BDS Center for NCW

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 22  BDS Center for ABWA

4. Women Entrepreneurs‟ Network Formulation (WEN) As a result of SEED‘s earlier work with gender-focused organizations, the Project continues to support WEN‘s establishment, with the purpose of mobilizing the ecosystem through its active network of MSME owners, associations, women, and youth, who can articulate policy needs and recommend evidence-based reforms.

SEED also developed a marketing, communications, and outreach strategy to identify and address members‘ needs, and is currently in the process of establishing physical and/or virtual women entrepreneurs network across Egypt.

SEED is committed to introducing a dynamic physical and virtual network, raising awareness of the benefits of coordination and linkage, and generating buy-in among existing organizations, emphasizing the following key objectives of the network:

1. Creating a networking and referral platform among the public–private stakeholders, in addition to the active international and national civil society and actors with shared vision to support women entrepreneurs in Egypt. 2. Improving services of its members‘ organizations and women entrepreneurs. 3. Reaching women and youth outside of major cities. 4. Articulating policy needs to the GOE, through mobilizing prominent businesswomen and leaders in the economic development area in Egypt. 5. Publishing a directory of the financial and BDS services and a calendar of events for entrepreneurs. 6. Cooperating with youth networks, incubators, universities, and schools for networking and activities.

4.1 Networking and Strategic Planning Workshop Another workshop was conducted from December 12–14, 2017 where the four organizations were invited, along with influential key persons from various organizations such as UN Women, ILO, TIEC, and Endeavor. The goal of this workshop was to create a platform for participants to interact with each other and share their expertise to build the capacity needed for this network.

The workshop began by stating the ultimate objectives to the participants and going through the practical application of the networking and referral systems to achieve their strategic goals and activities in addition to formulizing the network. The workshop presented the strategic goals of the newly developed five-year strategies for the four selected organizations through practical application of the networking activities and worked on enhancing their knowledge and skills while rolling out networking activities and highlighting the common areas of focus between the four organizations and other relevant partners as well. The workshop was attended by 62 participants from different organizations, partners, and stakeholders; 26 participants Mariam Maghrabi, 23, and her handcrafts were were from our four core organizations in addition to 17 linked to Hanan Gewefil who offered to mentor her attendees from the different components of the SEED project including consultants, team leaders, members, and SEED‘s COP.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 23

4.2 Technical Follow Up & Networking Sessions The workshop began the technical follow up by presenting the four organizations‘ strategic directions, highlighting the common objectives and areas of focus. The rationale of designing the sessions and their follow up is to ensure that all organizations and participants can roll out and practice actual interactions and referrals.

The first session focused on the best practices for a successful network and how to develop a referral approach. The participants were also introduced to models of BDS, how to develop BDS to their beneficiaries, and how they can a reach a larger number of women entrepreneurs. These models were presented by:

o European Bank for Reconstruction and Development (EBRD), which will be providing several services to the network.

o Participants also gained an overview of financial services, financial terms, and how to access finance. A special session was held for the women in handicrafts to allow them to showcase their work and introduce themselves to various stakeholders and partners and benefit from mentorship opportunities.

o Handicrafts Network: NCW led this session as part of its BDS services provided to women in the handicrafts sector. The session was an attempt to map out the service providers and the key stakeholders in the handicrafts VC sector. o Participants learned how to develop the mentorship model, which will encourage B2B and linkages between young business women and advanced business leaders, and how to link this model with the newly developed inline platform. An important session detailed women in ICT innovation and services that could be provided and partnerships that can be established between organizations.

o Technology Innovation & Entrepreneurship Center (TIEC): in partnership with other corporate, academic, and government partners/sponsors.

o An important session was held by a representative from the Ministry of ICT to present a new portal to support SMEs in Egypt.

o ICT Ministry – ICT for Woman Portal: It is the first Egyptian Bilingual (Arabic/English) Portal specialized in developing and empowering women through ICT. This initiative was developed by the ICT Ministry as a one-stop shop for all the Egyptian women belonging to different community groups and who are interested in the ICT field. Its objective is to support females and empower them to use ICT various tools in all aspects of life. This ―Portal‖ was introduced to our audience in order for the organization‘s members to benefit from it and use it. Our organizations were also assisted on how to establish their ICT centers. The ICT Ministry can collaborate with us in the network as well to promote its annual entrepreneurs‘ award.

o Unilever: presenting Unilever as a model of private-sector CSR efforts, and using this opportunity to link the network members with Unilever to develop a win-win support model to reach a big number of women start-ups and entrepreneurs.

o UN Women: presenting UN Women‘s work on the new initiative of Procter & Gamble (P&G) targeting 125 women entrepreneurs in different sectors in urban settings in Egypt, which will be through the network. This session identified potential entrepreneurs or start-ups, and provided them

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 24 with advanced supply chain and BDS technical support. Also, the cooperation between P&G and the network will entail the establishment of three to four BDS centers to ensure and sustain the services for the selected sectors and industries.

o An important presentation was given by SEED‘s COP about program sustainability, with audience discussions.

5. Rolling Out WEN Initiatives See section immediately below.

4.1.2 KEY ACTIVITIES PLANNED FOR THE NEXT REPORTING PERIOD

Next steps and follow up for WEN network: • Structure the various partnerships established during the workshops. • Finalize the network‘s legal and administrative scenarios as well as the governance model with the membership system and criteria to finalize the selection process of suggested members‘ organizations; recommend key names and organizations to be nominated for the Steering and Advisory Committees. • Follow up through one-to-one meetings with each organization to ensure that agreed-upon actions are taking place. • Follow up on partnerships established and networking created within the workshops to ensure that beneficiaries get the best results and continue building the network. • Provide the technical support needed to roll out some of the network‘s identified initiatives to support women such as P&G, ILO, and Unilever. • Continue with capacity building efforts for each of the core organizations‘ capacities, who in return will play a major role in the success of the network. • Provide direct support to gender-sensitive financial product consultants to collaborate with the Component B Team for its training program with Banque du Caire to develop financial products targeted at female entrepreneurs. • Conduct round three (3) of gender-sensitive BDS training sessions to BDS providers, which will help them tailor their services to attract larger numbers of women. This training should help the BDS providers acquire the skills for providing gender-sensitive BDS services and reach out to more MSMEs powered by women entrepreneurs.

4.1.3 LESSONS LEARNED FOR FUTURE IMPLEMENTATION

• The methodology used to build the capacities of the core organizations was extremely beneficial. The capacity building process was implemented step by step. This process benefited the organizations as they faced difficulties in planning effectively therefore developing a 5-year strategic plan with each one of them was considered a guideline and a framework that they could work within. Each organization played a major role when developing these plans which ensures sustainability of this methodology after SEED exits. The organizations can therefore use the strategic planning methodology after having learnt the steps needed and they could even develop further effective plans later on without the need of technical assistance.

• Another important lesson learned was the preparation of a detailed action plan within their strategic plans. This action plan ensures that each organization follows a certain path and roll out their activities in the most efficient way. Also it is considered a model for them to use in the following years.

• Additionally, having developed an M&E Plan with each organization was useful for them in order to be able to monitor their performance and evaluate their activities at each phase. This can help them develop

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 25 a strong M&E system/plan in the future that would ensure the efficiency and effectiveness of their programs.

• These organizations were also introduced to the concept and importance of networking, which in fact helped each of them to cooperate with their other stakeholders using the comparative advantage approach where organizations can mentor one another, in their area of specialization or comparative advantage.

4.2 BUSINESS ENABLING ENVIRONMENT

4.2.1 KEY ACTIVITIES ACCOMPLISHED

INCREASED GOE CAPACITY TO UNDERSTAND AND RESPOND TO ENABLING ENVIRONMENT CONSTRAINTS

This quarter, the Enabling Environment Senior Advisor continued efforts to build the capacity of public and private ―I was confused on the first day of the training. Why was I there, with different sectors and boost their potential. As such, the fourth round kind of organizations with different of enabling environment trainings took place from objectives? This was my initial thought. But November 5–9, 2017, in coordination with one when we started to share our problems international and two Egyptian consultants. The training and objectives, I noticed the other focused on enhancing the skills of representatives of organizations could be main stakeholders business/industry associations to enable them to effectively to help us solve the problems our engage with the government through advocacy, in order to organization is facing. Also, I learned how create an enabling environment that is more effective and we can advocate in a more practical way.‖ responsive to business organizations and their members. – Nancy Naguib, Nahdet El Mahrousa The theme of this training session was ―The Role of the Private Sector in Strengthening the Business Environment in Egypt.‖

Thirty-three participants attended the training sessions (12 women, 21 men), including representatives from the FEI, the Egyptian Regulatory Reform and Development Activity (ERRADA), Alexandria Businessmen Association (ABA), and the Alexandria Chamber of Commerce. Also in attendance were representatives from NGOs and associations such as the Junior Businessmen Association (JBA) and Business Women of Egypt 21 (BWE21), as well as representatives from the Coptic Evangelical Organization for Social Services (CEOSS), Egyptian National Council for Competiveness (ENCC), Nahdet El-Mahrousa, ETIJAH, AAST Enabling Environment Private Sector Training, Nov 5th – Entrepreneurship Center, and ABWA. 9th, 2017

This training covered the following modules and topics:  Module1: Key success factors in developing a successful advocacy strategy;  Module 2: Analyzing the policy environment, prioritization, and selecting the topic(s) to focus on; and

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 26  Module 3: Developing and implementing your advocacy strategy/mobilizing for action, including how to structure an effective Public Private Dialogue (PPD) and RIA.

Specific Topics Covered:  Understanding Advocacy  The Advocacy Process in Detail: Issues, Stakeholders, & Messaging  Communication Tools for Advocacy  RIA and PPD  Advocacy‘s Institutionalization: Strategy & Action Planning; Tracking and Follow Up

These training modules are part of a broader SEED capacity building program for these organizations, ministerial bodies, and associations, which will be applying the tools introduced during the training in their actual advocacy efforts.

To ensure this intervention‘s sustainability and scalability, a three-day TOT workshop was delivered after the training to a selected group of private-sector and GOE representatives, including the Financial Services Institute (FSI), FEI, BWE21, and ERRADA, as per their request. This will help the participants in replicating the training programs in their respective organizations. Moreover, several entities have shared with the consultant their advocacy strategies for follow-up and refinement.

INCREASED CAPACITY AMONG BDS PROVIDERS AND ASSOCIATIONS TO ADVOCATE FOR POLICY CHANGE AND GOE REFORMS

In collaboration with SEED‘s Component B, two important meetings this quarter on December 17, 2017 and January 4, 2018 at the IDA that aimed to reach a consensus among stakeholders on prioritizing the list of VCs that the CBE will support. This support will involve developing a specific financial product to enable entrepreneurs and MSMEs in these VCs to have better access to finance. During the meeting, the DCode Value Chain Report and the SEED Plastics Report were presented. Attending the meetings were representatives from SEED, CBE, MTI, DCode, MESMEDA, and the head of the IDA.

 The Franchising Law Franchising has widely developed over a short time in Egypt, especially in the fast-food sector. To further boost this industry, the Franchising Law is anticipated to help MSMEs in signing balanced legal agreements that are essential for any successful business. Once parties know where they stand legally, contractual relationships have higher chances of success. SEED has therefore continued to exert efforts in following up with ERRADA on the process of review, for subsequent ratification of the law. ERRADA is currently working with the Trade and Industry Minister‘s legal counsel to finalize the current version before final approvals and submission to the Prime Minister‘s office. We expect additional consultation sessions to be requested by the MTI.

Elsewhere, the Business Enabling team is planning for a study of the CBE‘s loan initiative with ENCC. A request for consultants has been issued and the hiring process is ongoing.

 Incubators and Accelerators Regulations As part of ongoing collaborations with the MTI and MESMEDA, Enabling Environment‘s is working closely with the MTI to ensure that it takes into consideration the draft regulations that SEED sent as a follow-up to last quarter‘s PPD sessions.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 27 SEED offered recommendations and invited representatives from the MTI‘s Legal Counsellor‘s Office and MSMEDA‘s Legal Department to coordinate drafting legislation with representatives of the Incubators and Accelerators.

Following discussions held in Q2 that yielded a list of six 1. Regulatory Impact Assessment laws (see corresponding text box below), ERRADA and (RIA) on Investment Law ENCC wish to collaborate with SEED in rewriting 2. RIA on Moveable Guarantees (Law No. 115 of 2015) regulations to simplify procedures and/or conduct 3. Simplifying the Procedures Regulatory Impact Assessments (RIAs). At the end of Amendment for Companies (Law Y2Q3, two of the laws listed above (Franchising and No. 159 of 1981) Incubators/Accelerators) are currently awaiting 4. Food Safety Regulations government consent and approval, while the remaining 5. Other Collaborations four laws are still pending review by ERRADA. 6. ―Law 5 Activation – a request by the MTI‖ With regards to other laws, no further updates were received from ERRADA. Given the possibility of revisions expected in the GOE‘s priorities at this stage, SEED‘s Enabling Environment Team is currently awaiting required approvals from the MTI and verifications from ERRADA.

INCREASED GOE CAPACITY TO UNDERSTAND AND RESPOND TO CONSTRAINTS IN THE ENABLING ENVIRONMENT FOR MSMES‟ ACCESS TO FINANCE

SEED continued to engage with the FSI, ERRADA, and ENCC to build their capacity in regulatory reform and management by identifying further potential areas of collaboration and conducting additional activities. This quarter, the FSI received technical assistance through an international consultant on the following:  Conducting accelerated training on Trade Finance with an emphasis on Factoring, Forfaiting, and the Discounting of International Accounts Receivable, and  Conducting a TOT Methodology Training for FSI trainers.

FSI Executive Director joined the Law No. 5 Awareness Sessions at the FEI premises and engaged with company representatives, as well as presenting on the concept of leasing and how it works in Egypt.

SEED also continued discussions with the FRA (formerly EFSA) on its needs. The new FRA Legal Advisor requested training for the FRA State Council judges who work in the FRA Appeals Committees. Preparations for the sessions are currently in progress to train around 150 judges from the State Council, the Economic Court, prosecutors, and the Technical Office of the General Attorney on modifications to financial laws, such as the Capital Market, Investment Law, Trade Law, Economic Court Law, Companies Law, Supervisory and Insurance law, Special Insurance Law, Mortgage Law, Central Bank Law, and the Money Laundry Law and its executive bylaws. The FSI will lead the implementation of the four to five training sessions, which will include Regulatory Impact Assessment (RIA).

Coordination with International Donors In Y3Q1, the Enabling Environment Advisor and the Component B Team Lead, along with MTI and MESMEDA representatives, met with officials of the European Union‘s Project on Policy Reform, entitled ―Support for the Implementation of Strategies to Foster MSME Development in Egypt.‖ Discussions revolved around overlaps between the projects and the possibilities of making necessary revisions to address these overlaps in order to avoid redundancy.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 28

Finally, Enabling Environment coordinated a meeting for the SEED team to meet with the International Labour Organization‘s (ILO) consultant responsible for the establishment of the new SME unit at the FEI. The overlap between ILO and SEED relates to the FEI BDS and Advocacy Unit activities, given that ILO is planning to establish a new MSME unit under the FEI that will provide the same services as SEED‘s intended unit. The ILO consultant is currently working on the design of a new FEI unit in which these overlaps are avoided.

INCREASED GOVERNMENT CAPACITY TO UNDERSTAND AND RESPOND TO POLICY CONSTRAINTS TO MARKET MSMES INTO VALUE CHAINS

Enabling Environment‘s efforts with regards to ―Law No. 5 Technical Secretariat Committee‖ are ongoing. This builds on a request from the MTI to ensure that more MSMEs are considered for government procurements. As such, a committee made up of representatives from the FEI, IDA, EOS, and GAFI was formed. SEED‘s collaboration will therefore focus on encouraging GOE procurement representatives to include MSMEs by providing eight awareness sessions on Law No. 5 for the USAID SEED collaborated with the FEI to hold eight workshops private and public sectors, and by updating the to familiarize MSMEs with Law No. 5 FEI portal to include an automated registration cycle on all committee portals. This will provide an online service for MSMEs looking to receive Law No. 5 certification. Such certification is required by the four governmental entities mentioned above in order for MSMEs to be eligible to capitalize on the incentives provided by the law. SEED‘s efforts will also establish an OSS and BDS at FEI, for Law No. 5 that will provide additional services.

Following several meetings with the Law No. 5 technical committee, the first of a series of 14 awareness sessions was held at the FEI on November 22, 2017, for members of the Chambers of Engineering Industries, Metal Industries, and Software and Information Technology. Discussions were tense – several companies‘ representatives shared their frustration with GOE procurement officials who have failed to commit to Law No. 5 requirements. Several representatives also requested that more serious actions be taken by the government to ensure enactment of the law, even if these necessitate legal revisions.

The session was attended by 99 companies, in addition to representatives from various GOE organizations. These included the MTI, IDA, General Government Services Authority, and the Egyptian Organization for Standardization & Quality. In line with the event, the Financial Service Institute (FSI) invited the Egyptian Leasing Foundation to meet with the FEI companies at the latter‘s premises.

 FSI Executive Director made a presentation on leasing and its usage in supporting the Assets Finance Industry.  The head of the Technical Secretariat explained the solutions of the most important features of the small and micro industries in Law No. 5 for 2015.  The head of IDA‘s Central Department for Local Products explained that small and micro enterprises are exempted from half of the primary insurance, and half of the final insurance.  The Minister of Trade and Industry‘s Assistant joined the presentation, we well as the representative of the Government Services Authority and a member of the Law No. 5 Committee. This representative recommended that companies‘ officials read Legislative Law No. 5 for 2015 and the

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 29 Tenders and Auctions Regulation No. 89 for 1998. He also asked them to be proactive and to report on any violations they encounter.

The second awareness session was held at the FEI on December 13, 2017, for members of the Chambers of Chemicals, Printing, Pharmaceuticals, and Cosmetics. The session was attended by 82 companies, in addition to representatives from various GOE organizations, including the MTI, IDA, the General Government Services Authority, and the Egyptian Organization for Standardization & Quality.

The third session was held at the FEI on January 10, 2018, for representatives of the Ministry of Electricity. Five MSMEDA representatives also attended the session. The workshop‘s main objective was to orient the ministry about Law No. 5‘s purpose and how it must be considered in their tendering processes, so as to include more local products instead of imported goods, to satisfy internal needs. Twenty-two attendees were present (five women).

The fourth session was held at the FEI on January 24, 2017, for representatives of the Ministry of Petroleum, holding companies, and the MSMEDA. Representatives from several incubators attended as well. The objectives were the same as those listed above for the third session. Forty people attended including 25 women.

The Franchising Law is currently being drafted, as stated above, also supports industrial aspects.

4.2.2 KEY ENABLING ENVIRONMENT ACTIVITIES PLANNED FOR THE NEXT REPORTING PERIOD

 Developing SOWs to recruit two consultants to run the TOT phase and follow up on refining entities‘ advocacy strategies.  Coordinate with the MTI and MSMEDA to obtain a clearer list of activities that SEED can support throughout Year 3. Also, SEED will work with both parties on implementing advocacy mechanisms such as PPDs and RIAs that suit any law and/or agenda.  Meeting with the EU‘s project in Egypt to coordinate efforts and avoid overlaps.  Finalizing the marketing outreach campaign for SEED‘s key partners.  Beginning the second consulting phase for the FEI International Advisor for Capacity Building, with the Advocacy Unit, while taking into consideration FEI‘s feedback in YII QIII.  Continuing to conduct meetings with key private and public entities, while establishing a collaboration framework.  Continuing to coordinate with USAID WISE, ILO, and other related international donors to organize common activities and join efforts to develop a better business enabling environment for MSMEs.

4.2.3 LESSONS LEARNED FOR FUTURE IMPLEMENTATION

 Proposing specific laws based on partners‘ recommendations is challenging due to varying information from the GOE on its priorities. Therefore, it is advisable to focus on mechanisms and general tactics that can support and be applied to any law or regulation focusing on PPD and an evidence-based policy approach through the implementation of RIAs.  It is important to ensure that activities complement and collaborate with one another across the various SEED components to ensure sustainability and efficacy.  SEED is currently working to improve its coordination with other international donors to ensure activities are not repeated or provide conflicting information across commonly targeted areas of intervention.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 30

4.3 IMPLEMENTATION OF GRANTS COMPONENT

4.3.1 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 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 in meeting 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.

4.3.2. KEY ACTIVITIES ACCOMPLISHED UNDER THE GRANTS COMPONENT

This quarter, the total number of grants was increased by one, for a total of four ongoing grants, after the Egyptian National Competitiveness Council (ENCC) obtained MOSS approval for the SEED grant. Meanwhile, three SEED grantees are still awaiting MOSS approval: Aswan Business Association, Youth and Development Consultancy Institute (Etijah), and Together for Development and Environment Association.

During this reporting period, SEED continued monitoring current grants through thoroughly reviewing grantees‘ reports, holding meetings with them, and conducting field visits to their premises. Below are the accomplishments of the grants being implemented.

Horizon Interactive Studios (HIS)

This is a 16-month grant worth EGP 1,152,100, aiming to create a community for entrepreneurship through several interlinked tools and activities via the internet, social media, and on the ground. These tools include multi-staged Business Plan Competitions with awards to encourage participation,

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 31 promoted by a targeted online social media campaign. The concept of entrepreneurship is promoted and entrepreneurs are coached, supported, developed, and empowered through online tools and business plan wizards, training workshops, mentoring, simulations, networking, and public relations activities on the website.

In Y3Q1, HIS completed the development of the website (http://mashro3i.com), the content plan for social media with art work, the stimulation game, and 12 awareness videos to promote entrepreneurship. The developed website allows visitors to register, access information, play the wizard game, and link to service providers for counseling and access to finance. The website, social media tools, and videos will be launched in February 2018.

HIS has disbursed EGP 494,420 of the total grant agreement over eight months of implementation.

Slides of the Social Media Content

Mashro3i

Mashro3i is a website that was developed by our grantee (Horizon Interactive Studios – HIS) to promote entrepreneurs and provide a blend of interlinked tools and activities to initiate start up, these tools include multi stage competition, business plan wizard, business simulation game, training workshops, educational videos, networking and online social media had been launched in March 2018.

Social Media Links:

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 32  Website: www.mashro3i.com  Facebook: https://www.facebook.com/Mashro3iegy  Twitter: https://twitter.com/Mashro3iEG  Youtube Channel: https://www.youtube.com/channel/UCaXfLbBQRI_2qirJAPiDDwQ

Yadawee Project Flyer

This is a 12-month grant worth EGP 1,246,100, which aims to leverage Naqada‘s traditional skills to generate income and improve the village‘s livelihood, which is located in , in Upper Egypt. This objective will be achieved through training and capacity building activities aimed at upgrading artisans‘ skills in hand-crafted textiles, as well enhancing the textile value chain in Naqada through building the stakeholders‘ capacity to enable them to coordinate their production and efficiently market their products.

During this quarter, 23 female trainees continued the technical training in weaving on handlooms. The main achievement so far is the women‘s improved weaving skills, specifically in weaving and designing different motifs using different colors and slowly getting introduced to different traditional motifs. SEED conducted a field visit to the project in Naqada in January and noted very positive group dynamics among the trainees and that the women, from different age groups, and some of which are university graduates, have started to form a strong bond. The female trainees are very motivated to continue learning and are very excited about their future prospects in the field.

Furthermore, the assembly of the warp spinning machine is now completed. The machine will reduce the time needed to organize the warp onto the handlooms, which will contribute toward the production of higher-quality woven articles, and thus boost the prospect for products that can be absorbed by the market and generate income for women.

Yadawee has disbursed EGP 359,514.55 of the total grant agreement over eight months of implementation.

Yomken This is a 12-month grant worth EGP 1,187,535, that aims to push Egyptian MSMEs up their respective VCs and enhance the manufacturing of sophisticated products by integrating more innovation and technology to solve three pressing challenges that prevent MSMEs‘ growth: 1) product design and development, 2) production processes optimization, and 3) utilization of raw material. During the reporting period, Yomken held 45 ideation meetings with different stakeholders in SEED‘s five VCs (fisheries, dairy, plastic, RMG, and automotive) to identify challenges within them. The principal outcome of the meetings was that 23 relevant challenges were identified. In addition, Yomken managed to identify an additional 35 challenges through desk research and analysis of published reports on selected VCs‘ problems in their respective governorates.

The SEED Grants Manager and Fishery Value Chain Advisor attended Yomken‘s first workshop on challenges faced in the fishery VC, held in Kafr El-Sheikh on January 21, 2018. The workshop aimed at identifying additional challenges in the fishery VC, as well as building on the results of the ideation meetings conducted so far, by prioritizing identified challenges, based on attendees‘ inputs, and elaborating on them for publishing on the Yomken.com platform. The workshop was attended by 43 participants (three women), who were academics, factory, and fish farm owners. The participants produced 50 challenges facing their work in the fishery VC.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 33

It worth mentioning that to encourage more females to participate in the workshop and meetings, and to identify challenges faced by women entrepreneurs, Yomken signed a MOU with the Association of Women Total Advancement and Development (AWTAD), and conducted meetings with Entreprenelle,1 MSMEDA, and the NCW to increase outreach to women in various governorates who are seeking solutions to the challenges they face at work.

As a result of the ideation meetings, workshop, and desk research, the Yomken team identified six relevant challenges (four in fisheries, one in plastics, and one in RMG sectors), which have been reviewed by SEED VC experts in Component C to determine the most appropriate ones to be published on the Yomken platform and search for solutions.

SEED‘s valuable contributions to this grant include positive impacts on increased qualitative and quantitative productivity, and subsequently increased revenue to entrepreneurship. This will boost the governorates‘ economies and income generation, once challenges identified are published and addressed with recommended resolutions by experts in the various fields.

Yomken has disbursed EGP 187,384 of the total grant agreement over five months of implementation.

Photos taken during the workshop on challenges faced in the fishery VC in Kafr El-Sheikh on January 21, 2018

ENCC This is a 12-month grant in the amount of EGP 1,144,067, which aims to sustainably strengthen the inclusive competitiveness of SMEs in Egypt through a bottoms-up approach to reforms. The strategic objective of the project is to strengthen SME competiveness through enhancing the enabling environment by (1) institutionalizing a participatory multi-stakeholder PPD approach to tax policies and reforms impacting SMEs, which include but are not limited to value-added tax reforms; (2) identifying regulatory and policy reforms needed; and (3) creating ownership of change, while building the capacity of the Business Advisory Council (BAC) and of the relevant GOE bodies, Ministry of Finance (MOF), MTI, and ERRADA, to develop a research/evidence-based reform agenda to be presented these ministries‘ policy makers.

ENCC obtained MOSS approval at the end of December 2017 to start implementation of the SEED grant. A kick-off meeting held with ENCC was attended by the SEED Grants Manager, M&E consultant, and Grants Accountant. The meeting introduced the ENCC team to SEED‘s grant regulations, reporting, planning, monitoring, and process of financial settlement. ENCC submitted the quarterly plan and received the first advance of EGP 306,803 to start implementing activities. To gain the MTI and MOF‘s support, ENCC is attempting to schedule a joint meeting to discuss the project.

1 Entreprenelle is a social enterprise with the aim of empowering women economically via helping them to start their own business or find suitable jobs (Incubated by a partner incubator).

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 34 4.3.3 KEY ACTIVITIES PLANNED FOR THE NEXT REPORTING PERIOD

 The Yadawee budget is being revised to increase funding for buying hand looms for potential self- employed women graduates from the training.  Yadawee will continue the second phase of the training, to include financial training. Part of the training includes field visits to Cairo to connect with vendors and potential clients of exporting companies.  HIS will launch its website and social media efforts in February 2018 and conduct the online business plan competition.  SEED is currently discussing the prospects of expanding the HIS platform and linking it to the projected SEED platform, envisioned to serve entrepreneurs and MSMEs by providing a host of services including training, counseling, and linking them to sources of funding.  Yomken will conduct additional workshops to discuss challenges of the plastics and automotive VCs and will continue holding ideation meetings with key stakeholders.  The ENCC will hold a consultation meeting with the MTI and MOF to review priority issues in the SME tax policies focusing on property tax. The ENCC also organizes Business Advisory Council (BAC) meetings to agree on priority issues in the SME tax policies to present to the GOE and create a steering committee (SC) to include the ENCC, BAC, and ERRADA‘s ED, as well as a tax consultant and SEED representatives.

4.3.4 LESSONS LEARNED FOR FUTURE IMPLEMENTATION

 The grants portfolio faced some challenges and Wael El Dessouky, President of AASMT’s delays as the previous Grants Manager Entrepreneurship Centre, welcomes participants to resigned and there was a gap until the current StartUp Week Boot Camp Grants Manager and the Grants Accountant came on board.  Increases in prices are negatively affecting grantees‘ budgets (transportation costs have doubled since the grant proposals were submitted in early 2017).  Changing the accountants of some grantees (Yadawee and Yomken) causes more efforts from SEED to orient the new candidates on the financial and procurement rules and regulations. It was decided that the grantees‘ Project Managers should also be attending and be responsible for the financial issues and not only the accountant.

4.4 COMMUNICATION

4.4.1 KEY ACTIVITIES ACCOMPLISHED

While supporting all SEED Components in delivering event interventions that meet deliverables and performance measurements, one of the principal roles of the Communications & Outreach Unit (Comms) is to provide support in the areas of Branding and Visibility as well as Marketing and Outreach to stakeholders. During this quarter, the target audience of this support was mostly for Components A and C, and the Grants stakeholders. Comms provided planning and implementation support for 24 events (workshops, forums, etc.) in Cairo and Alexandria.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 35 Comms also contributed to the successful launch of an updated version of SEED website, and is currently re-editing content to ensure compliance with the latest USAID DOC guidelines. Comms has additionally finalized one Success Story for Component B and four for Component A, and is currently obtaining Component A Technical Leads‘ approval for five others.

Branding and Visibility Support Comms provides branding support for all USAID SEED events to ensure that the Project‘s USAID- approved Branding Implementation and Marking Plan Cairo Kids and Mothers International Exhibition, Jan is followed. Support includes managing the design 26th – 28th, 2018 and the production of all visibility materials such as backdrop banners, roll-ups, folders, and fact sheets. In YIII Q1, Comms had a leading role in ensuring the project‘s grantees and incubatees followed professional branding rules. From November 2017 to January 2018, Comms held one-on-one meetings with Horizon, Yadawee, Yomken, and ENCC grantees to help them develop professional outreach products and visibility material while closely following branding rules.

Support for Selected Events

 Selling and Marketing Management Skills Training, Alexandria: In line with Component C‘s deliverables‘ requirement in creating forward linkages between MSMEs and large enterprises, Component C organized the Selling and Marketing Management Skills Training event in Alexandria. This was the first time USAID‘s SEED project had delivered this training to MSMEs business owners of RMG and textile sectors from Alexandria and Beheira. Comms provided visibility support in delivering this capacity-building TOT. During the event, the Comms Manager held three sessions on Online Marketing and Outreach Tools, including the use of social media. The Comms Unit also presented USAID SEED‘s infographic video, provided printed versions of the branded marketing and selling presentations, positioned roll-ups, and distributed SEED‘s folders containing factsheets and notebooks.

 Cairo Kids & Mother Expo, Cairo: The Cairo Kids & Mother Expo is one the largest exhibitions in the RMG field, held annually in Egypt. This quarter was the third time that SEED has supported MSMEs entering and participating in the expo. Comms conducted several preparatory meetings with the expo‘s organizing company, Al- Ahram, to provide guidance on SEED‘s visibility and branding regulations for several aspects of the expo, including booth branding. The Comms team also conducted a field visit to the expo to draft a brief report on the event, take several photos for the project‘s photo database, and identify potential Success Stories.

 EGYPLAST Exhibition, Cairo: This was the first major event for the plastics VC. Component C contributed to SEED‘s efforts at the EGYPLAST exhibition, which are line with the Project‘s deliverable requirement to support new plastics MSMEs in exploring different markets, presenting their products to these markets, and creating opportunities for more linkages with larger plastics VCs. As such, the Comms team conducted a field visit to the EGYPLAST exhibition to draft a brief report on the event and identify potential Success Stories.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 36

 Start-Up MINTS, Food Supply Chain, Alexandria: In line with SEED‘s efforts to promote entrepreneurship and encourage the establishment of MSMEs in Egypt, Comms assisted in the preparation of the Start-Up MINTS weekend, conducted in collaboration with the Arab Academy for Science and Maritime Technology (AASMT) in Alexandria.

The Comms Unit coordinated approvals with the USAID DOC office for visibility materials, including backdrop banners and roll-ups for the event. Additionally, Comms prepared several mini- posts that were shared with USAID to provide timely updates regarding the Project‘s activities. Additionally, the Comms Unit took several photographs during the event and updated SEED‘s photo database.

Event Date TOT Delivery on Training Techniques for Enabling Environment Nov. 2, 2017 Selling and Marketing Management Skills Training, Alexandria Nov. 5–7, 2017 Enabling Environment Private Sector Training Nov. 5–9, 2017 Launch Event – Hult Prize Egypt Nov. 14, 2017 IHS International Handcrafts Show Nov. 15–24, 2017 Closing Event – E-Youth Conference Nov. 18, 2017 Law No. 5 Awareness Session I – Enabling Environment Nov. 22, 2017 Launch of the GEM Report Nov. 26, 2017 Mentorship Training at Rise Up Summit Dec. 2– 3, 2017 Selling and Marketing Management Skills Training Dec. 5–7, 2017 High-Schools Boot Camp Dec. 8–9, 2017 Islamic Finance Matchmaking Event Dec. 11, 2017 Strategic Planning for Gender-focused Organizations Phase II Dec. 12–14, 2017 Law No. 5 Awareness Session II – Enabling Environment Dec. 13, 2017 Startup MINTS, Food Supply Chain, Alexandria Dec. 14–16, 2017 High Schools Principals Workshop Dec. 16, 2017 Plastic Packaging Matchmaking Event Dec. 20, 2017 Law No. 5 Awareness Session III – Enabling Environment Dec. 27, 2017 Law No. 5 Awareness Session IV – Enabling Environment Jan. 10, 2018 EGYPLAST Exhibition Jan. 18–21, 2018 Roundtable for a Tourism Theme Business Plan Competition Jan. 21, 2018 Mentorship Roundtable Discussion Jan. 22, 2018 Law No. 5 Awareness Session V – Enabling Environment Jan. 24, 2018 Cairo Kids and Mothers International Exhibition Jan. 26–28, 2018

USAID SEED Project‟s Website Following the soft launch of SEED‘s website, Comms re-edited the content and photo albums were uploaded to the website. A photo slider was added to the homepage to display captions and photos of SEED‘s latest events. Clicking on the photo slider redirects users to the media gallery which contains all the website photographs. All confirmed future events are also announced on the website calendar.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 37 4.4.2 KEY ACTIVITIES PLANNED FOR THE NEXT REPORTING PERIOD

Name Description Location Date Website content In coordination with SEED ICT, photos and calendars to be Online Ongoing update plan published online Photo database update: an ongoing process to collect and Online & Documentation update SEED‘s database on the server and hard drive Ongoing Offline Success Stories: capturing SEED‘s impact on beneficiaries This is an ongoing task in coordination with the SEED Team Provide and update to provide USAID DOC with monthly and quarterly calendars Cairo Ongoing the events calendars of events Various Event management Continue providing necessary support for SEED‘s events Ongoing Locations Updating photo Continue updating the photo database Cairo Ongoing database

4.4.3 LESSONS LEARNED FOR FUTURE IMPLEMENTATION

Changes of plans for interventions are still a challenge for the Comms Unit in terms of coordinating approvals from USAID‘s DOC office in due time. SEED staff, however are working on planning and confirming events well in advance.

4.5 MARKETING

4.5.1 KEY ACTIVITIES ACCOMPLISHED

During the reporting period, the Marketing Advisor continued to provide support to the different components, partners, and stakeholders. This was achieved through identifying their institutional marketing gaps and helping them to implement new marketing strategies and tactics to enhance the acquisition rates for their services through entrepreneurs and MSMEs. Notably, these efforts included the following:

 Expanding the Marketing Department‘s scope of work to include the following areas of advice and consultancy: Business Modeling, Product Development, Business Planning, and Marketing Services.  Developing and implementing the new commercial business model and commercial plan for the potential ICT platform through a private-public sector partnership.  Providing technical assistance to the Credit Guarantee Company (CGC), FRA, Yalla-Nsadar, Mashro3i.com, and Nilepreneur Initiative.

4.5.2 KEY ACTIVITIES PLANNED FOR THE NEXT REPORTING PERIOD

In the next quarter, SEED‘s Marketing Team will work on finalizing the business model, business planning, product development strategy, and marketing strategy for the following stakeholders:  Law No. 5  YallaNsadar  Mashro3i.com  CGC launching  FRA Financial Literacy Campaign

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 38 Also, Marketing will produce a documentary about the OSSs that have been launched and their economic impact on Egypt, and build the private-public sector business model for the SME ICT Platform.

4.5.3 LESSONS LEARNED FOR FUTURE IMPLEMENTATION

This quarter, Marketing met with many entrepreneurs, SMEs, and stakeholders in the ecosystem, many of who have very promising and high-quality projects or services. Most of them, however, face common challenges, most notably a lack of strategy and sustainability plans, and rigid business models that will cause delays in their breakeven point and return on investment/payback. These shared challenges are further aggravated by weak financial resources causing strains on launching plans, marketing, and building financially sustainable projects. Next quarter, the Marketing Team will work closely with SEED Components as well as stakeholders to provide more access to information and services designed to help entrepreneurs and SMEs reach sound business models.

Other issues that cropped up this quarter involved very weak utilization of critical advertising tools such as blogs, SEO, conferences, networking, and cross selling. The same applies for the use of social media, which is more complex. This symptom has been evident with most of SEED‘s stakeholders. During Q2, SEED will continue its efforts in building the capacity of the stakeholders in the ecosystem (both public and private) to utilize these critical advertising tools with the lowest use of resources.

During Q1, the Marketing Team was more exposed to GOE policies. Certainly, the GOE‘s procedures, laws, and regulations offer significant focus and many facilities to entrepreneurs and SMEs. There is huge effort on upscaling the variety and quality of services delivered by the GOE to entrepreneurs and SMEs across all governorates. As the GOE continues to exert such efforts, it needs our technical support and capacity building to deliver more services covering business strategy, business planning, and access to experts in those domains. It is also important to coordinate with the GOE a marketing awareness campaign targeting entrepreneurs and SMEs, with the key messages being:

 Access to information about government-owned incubators, TTOs, etc.  Awareness about OSSs  Awareness about BDS  Awareness about laws serving entrepreneurs and SMEs (Law No. 5)  Awareness about initiatives such as Nilepreneur.

Remark: The launch of the ICT Platform will be central to these efforts in addition to direct and indirect marketing strategies.

Finally, players in the ecosystem need to create meaningful partnerships among themselves. These include government, quasi-government, and donor agencies. The same applies for SMEs: more work needs to be done to help SMEs create meaningful partnerships, especially in integrating them into higher VCs. During QII, it will be essential to launch and sponsor initiatives that foster cooperation and linkages between the different stakeholders in the market.

4.6 INFORMATION AND COMMUNICATION TECHNOLOGY

USAID SEED‘s Information and Communication Technology (ICT) Team is working closely with each of the Project‘s components to use ICT tools and techniques to strengthen the business ecosystem and expand the Project‘s outreach to disadvantaged areas. What follows is a description of the ICT solutions that were applied in Y3Q1 and continue to be implemented in each component.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 39 Component A There are around 34 Technology Transfer Offices (TTOs) in Egypt, generally located in public and private universities. SEED is supporting TTOs in two significant areas: (1) establishing an ICT Platform to connect TTOs with each other, as well as with the outside world, and (2) increasing the capacity of incubators.

In the first area, Component A plans to establish an ICT Platform for the MTI, in response to the ministry‘s wishes to connect its various departments such as the ICTI, IMC, and ENPPC. In the second area, Component A will work toward increasing the availability and quality of incubation services to disadvantaged communities by establishing new incubators or improving existing ones, to adapt to the best-practice models as per the three pilot incubators. These efforts will include providing the supported incubators with ICT commodities, training, and technical assistance where appropriate.

Component B USAID SEED is mandated to support 12 OSS centers by establishing new centers and adding new services at existing OSSs. SEED is hiring one additional OSS ICT Advisor, starting from next quarter, whose focus will be on implementing ICT solutions for each new OSS and assisting existing OSSs to improve their ICT systems. Using integrated ICT solutions, the ICT Team will ensure that each supported OSS is fully automated. For MSMEs, the OSS center will facilitate the process of finalizing most of the formal procedures, certificates, and approvals to more easily establish a new business under one roof while eliminating bureaucratic delays. The ICT Team‘s support in this area includes, but is not limited to, procurement of required ICT commodities, the potential implementation of the internal operational ICT system and/or its enhancement, and an upgrade of the currently implemented Customer Relationship Management (CRM) system.

Along with FEDCOC, USAID SEED is implementing a new centralized system that will unify the business-registration process across all the OSS Tamayouz Centers. The new potential system will be cloud-based, with an online, public interface to facilitate the process of acquiring all the certifications and approvals that MSMEs need to become formalized. The ICT Team will participate in the establishment of BDS centers by working on the procurement of the ICT technical commodities for the supported BDS centers. This will include installing and configuring the ICT equipment, in addition to providing any needed ICT technical consultation.

In collaboration with ERRADA, SEED will design and develop an online legislation portal to serve as an online referencing service for all legislation affecting MSMEs. The portal will provide legal information and studies for the MSMEs, such as MSME e-services, financial indicators, and international studies. This new portal will provide valuable information to help MSMEs understand the legislation and the requirements for establishing new private businesses. Establishing the portal will require making changes to ERRADA‘s core database and internal system, which will be covered under the scope of the legislation portal activities.

Component C As part of USAID SEED‘s objectives, Component C aims to strengthen existing or establish new MISs for each targeted VC. This will require substantial ICT support in terms of facilitating data collection, procuring ICT services, and training staff on data management. Such support will help MSMEs take advantage of VC opportunities and will play an essential role in connecting large buyers with MSME suppliers.

For the VCs, the SEED Project has already identified two existing MISs that it will seek to improve, in addition to building one new MIS. The first, YallaNasadr, is an online MIS system that SEED will support

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 40 by strengthening the online portal‘s functionality that target MSMEs working in the RMG VC. In addition, SEED will help YallaNasadr in enhancing and upgrading the online B2B platform by adding a new module for the online e-Payment.

The second MIS that SEED is considering for support is the Bashair/KEF dairy VC MIS. The main objective of this initiative is to develop a comprehensive dairy market-information digital network, which will feature, among other elements, the mapping of all stakeholders in the dairy VC, in the form of a series of digital directories/databases. This will be combined with an exchange platform for information dissemination and an online marketplace to post orders, offers, and market prices, and to contact VC sellers, buyers, service providers, etc.

The third MIS that SEED is considering for support is the Chamber of Chemical Industries (CCI), one of the FEI‘s chambers responsible for plastics VC (one of its departments) and representing the formal plastics industrial sector operating in Egypt. The new MIS with mobile application, in addition to the CCI portal, will provide better support in market linkages creation to serve the needs of VC stakeholders and facilitate integration with other VC key players, especially MSMEs.

The SEED project is also supporting the Egyptian Textile Center (ETC) in the development of an online e-directory for the textile industries, which will serve all MSMEs in the sector.

MSME Platform The SEED Project‘s contractual obligation to deliver an ICT Platform will be comprised of a single online destination where entrepreneurs and MSME business owners can find all the support they need to start, grow, or sustain their businesses.

During Y2Q4, SEED continued to work toward materializing the ICT Platform that is intended to serve the entrepreneurship/MSME ecosystem in Egypt. These efforts involved the following points:

 Providing an accessible online hub for information, knowledge, and expertise aimed toward the ecosystem.  Providing online services on the platform that are designed to allow businesses in the ecosystem to grow, expand, and formalize.  Facilitating the accessibility of services that are provided by incubators, BDS providers, financial institutions, mentors, other online platforms, and other stakeholders.

As per the decree issued by the MTI in April 2017, the Social Fund for Development (SFD) and the Industrial Training Council (ITC) were merged to form the Micro, Small, and Medium Enterprise Development Agency (MSMEDA). This new agency is a governmental entity that will focus on supporting entrepreneurship and the MSME ecosystem. The ICT Team of the newly developed MSMEDA has been tasked with creating an online platform that also aims to serve the MSME ecosystem.

This quarter, SEED struggled with the MTI and MSMEDA in reaching a cooperation agreement for building the MSME Platform. MSMEDA expects SEED to fund the MSME Platform, while at the same time wanting to supervise its implementation and launching operations. Also, MSMEDA is not in favor of sharing the MSME Platform‘s source code with USAID, which is a mandatory deliverable for any software funded by USAID.

Considering these challenges, SEED explored the other alternatives of potential partners that the Project could work with in building the MSME Platform. The best available alternative to partner with was Horizon Interactive Studios (HIS).

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 41 HIS is a multiple award-winning developer of innovative content, e-learning tools, and learning management systems. Horizon has over 12 years‘ experience in designing highly creative entrepreneurship and life skills programs which use creative tools such as fun activities, contests, online e-learning components, games and simulations, cartoons, videos, and info-graphics.

Next quarter, HIS will launch the online platform Mashro3i, an initiative supported by the SEED Project that aims to promote entrepreneurship concepts among youth. It works on discovering, supporting, training, and empowering young entrepreneurs. Also, it will create a community where young entrepreneurs can meet venture capitalists, angel investors, banks, investment entities, and business people. The URL of the platform is http://www.mashro3i.com/.

SEED is working with HIS in developing the new SOW and business model for the MSME Platform. The Mashro3i Platform will be used as a core for building the potential MSME Platform.

4.6.1 KEY ACTIVITIES ACCOMPLISHED

This quarter, the ICT Team continued developing the Tamayouz OSS‘s new online system. This entails improving the Tamayouz OSS services and placing them on the cloud, enriched with online services, in addition to establishing a unified MIS system for all Tamayouz centers. During this quarter, about 80 percent of the system‘s main modules were developed. The finished modules include:

 System main workflow engine  Administration module  User notifications and alert system

The modules that are under development include:  Archiving system  Motivation and reward system  Reporting module  Online user services system

Other tasks completed by the ICT Team this quarter include the following:  Continued supporting the Bashair/KEF dairy VC by working on implementing the automated MIS system.  Issued an RFP for the development of the plastics VC MIS for the CCI.  Initiated the development of the textile online portal and e-directory.  Deployment and launch of SEED‘s online website.  Followed up with Component A and AECOM on the procurement of the ICT commodities for the remaining incubators.  Followed up with Component A and AECOM on the procurement of the fabrication lab (Fab Lab) equipment for the incubators.  Continued work in building the internal server for the new SEED operations‘ integrated systems, using Microsoft SharePoint technology.  Negotiated with Asset Technology for a potential contract to implement and deliver the MSME Platform.  Negotiated with Horizon Interactive Studios for a potential contract to implement and deliver the MSME Platform.  Tested and debugged the published mobile application for the Incubator Directory.  Tested and debugged the published mobile application for the BDS Directory.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 42  Initiated the procurement of a Queuing System for Tamayouz Shoubra El-Khema.  Initiated the procurement of a Queuing System for Tamayouz Sohag.  Completed the formal handover of the procured ICT commodities to the supported Tamayouz centers (Sohag and Tahta).  Completed the formal handover of the procured ICT commodities to the supported incubator centers: (Al-Azhar University, (Qenna); Cairo University FEPS; Heliopolis University; Hemma Assiut University; EBNI-Cairo; INJAZ; and Nahdet Misr for Publishing).  Upgraded the SEED internet leased-line connection from 6 MB to 20 MB to provide a more reliable internet connection for SEED staff.

4.6.2 KEY ACTIVITIES PLANNED FOR THE NEXT REPORTING PERIOD

 USAID SEED‘s Component B is currently working on building a database of financial products targeting MSMEs in Egypt. The ICT Component intends to build a mobile application for this database (February – April).  Develop three mobile applications for the incubators ecosystem; two of them will provide training materials and the third one will act as an incubators directory and info match tool that will target both MSMEs and entrepreneurs.  Continue working on assessing the best alternatives for implementing and developing the MSME Platform, and start the actual implementation of the platform (February – April).  Potentially start providing ICT support for the FEI to establish an online portal (February – April).  Continue providing ICT support for the Bashair/KEF dairy VC MIS system (February – April).  Continue providing ICT support for the YallaNasadr RMG VC MIS system (February – April).  Continue providing ICT support for the CCI VC Plastic MIS system (February – April).  Provide ICT support for ERRADA to establish a MSME Unit and develop its MSME Database (February – April).  Finalize the procurement of a Queuing System for Tamayouz Shubra El-Kheima (February – April).  Finalize the procurement of a Queuing System for Tamayouz Sohag (February – April).  Deploy and launch the internal server for the new SEED operations‘ integrated systems, using Microsoft SharePoint technology (February – April).  Deploy and launch the first phase of the Tamayouz OSS‘s new online system (February – April).  Procure and deliver the required ICT commodities for the remaining incubators (February – April).  Procure and deliver the required ICT Fab Lab equipment for the incubators (February – April).  Support Tamayouz Sohag in installing and configuring the delivered ICT equipment (February – April).  Procure and install ICT equipment for two Tamayouz Centers: Port Said and Aswan (February – April).

4.6.3 LESSON LEARNED FOR FUTURE IMPLEMENTATION

During this quarter, SEED delivered ICT commodities for the Cairo University incubator, as part of the provided support to the incubators. Recently Cairo University decided to discontinue its cooperation with SEED without presenting any justification for such decision. Therefore, SEED decided to amend the transfer of ownership letter to include a statement that preserves SEED‘s right to recall any delivered commodities for future commodity exchanges with its partners. The statement now reads as: “In case of violation of any the above conditions, the donor, representative by the SEED Project, has the right to take back the commodities that were previously delivered without the need for any action/prior notice”. SEED, working with USAID, has decided not to ask Cairo University incubator to return the commodities since they

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 43 continue to work with USAID on other initiatives and to collaborate with the SEED Project on necessary reporting requirements. V. MANAGEMENT AND ADMINISTRATIVE ISSUES

5.1 PERSONNEL

5.1.1 KEY ACTIVITIES ACCOMPLISHED

During this quarter, the SEED Project recruited for the following positions in the Staffing Plan and thus welcomed six new staff members:

JOB TITLE STATUS Contracts Sr. Manager Onboard effective November 19, 2017 M & E Advisor Onboard effective December 3, 2017 CSR Advisor Onboard effective December 10, 2017 Grants Manager Onboard effective December 17, 2017 Accountant/Sub Grants Officer Onboard effective January 2, 2018 Cross Cutting Technical Team Lead Onboard effective January 14, 2018

In addition, SEED hired the following Local and International Short-Term Technical Assistance during this reporting period:

SHORT-TERM TECHNICAL OBJECTIVE STAKEHOLDER ASSISTANCE NAME Establish a BDS Unit to serve SMEs in the Business Development Services (BDS) agricultural sector at the Coptic Evangelical CEOSS Consultant Organization for Social Services (CEOSS) MSMEs Development Agency Staff Develop staffing structuring, job descriptions, Structuring, and Human Resources MSMEDA and HR development plans of MSMEDA Development Planning (International) MSMEs Development Agency Staff Develop staffing structuring, job descriptions, Structuring, and Human Resources MSMEDA and HR development plans of MSMEDA Development Planning (Local) MSMEs Development Agency Develop organizational structure and functional MSMEDA Organizational Structuring (International) statements of MSMEDA MSMEs Development Agency Develop organizational structure and functional MSMEDA Organizational Structuring (Local) statements of MSMEDA

FinBi recruitment: Three STTA consultants were hired by FinBi during this reporting period in the field of Financial Products Development for Microfinance Institutions (MFIS), and an MSME Policy Reform Development Advisor was hired to strengthen the institutional capacity of GOE counterparts.

The HR team is continuing to use OneSource, which has greatly helped follow up on the workflow with the Home Office.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 44 5.1.2 KEY ACTIVITIES PLANNED FOR THE NEXT REPORTING PERIOD

SEED is working toward recruiting the following consultants in the next reporting period (Y3Q2): Long-Term Positions: 1. Academic and Government Advisor (Replacement) 2. ICT Platform Senior Advisor (Replacement) 3. Team Lead – Component C (Replacement) 4. Market Information & Linkages Senior Advisor 5. M&E Assistant

Short-Term Technical Consultants: 1. Dairy Value Chain Mapping & Assessment 2. Fashion Design Advisor 3. Marketing Advisor for Egyptian Textile Center (ETC) Online Directory 4. Plastics MIS Business Marketing Consultant 5. Incubator Technical Assistance 6. Ready-Made Garment Training Consultant 7. Financial Products Development for EDBE & ABE 8. Financial Product Development for FIB & UB 9. Women Banking (Gender-Sensitive Financial Products Design) 10. Business Development Services - Merghem

FinBi is currently in process of recruiting for the following positions:  OSS IT Advisor (LTTA)  Non-Financial Services Senior Advisor (Replacement) (LTTA)  MSMEs Demand Side Analysis for the CBE Initiative (STTA)

5.1.3 LESSONS LEARNED

A current challenge that the project is facing is supporting the new planned interventions with the necessary HR resources to implement them. To address this challenge, a revised staffing plan will be submitted to the Mission for approval.

5.2 OPERATIONS

5.2.1 KEY ACTIVITIES ACCOMPLISHED

 SEED Project leased additional office space within the El-Zeini Tower, to be used to ensure secure temporary storage of ICT equipment procured by the Project for various stakeholders e.g. Incubators and OSSs, until such time when their premises are ready for receipt and operation of the equipment. The duration of the lease is six months starting December 1, 2017 through May 31, 2018.

 The three Project vehicles‘ insurance and licenses were renewed for another year.

5.2.2 KEY ACTIVITIES PLANNED FOR NEXT REPORTING PERIOD

 In view of planned submission of a Staffing Plan revision request to the Mission for increasing staff, SEED is re-organizing the necessary office space and is getting ready for issuing a RFQ for the procurement of additional furniture to accommodate staff members to be hired.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 45  SEED is in the process of preparing a request seeking USAID support for issuing an amendment to the current VAT exemption letter, to include additional items covering anticipated procurements through Project end date of October 31, 2018.

 Following the issuance of a RFP, SEED awarded Proserve Company to provide consultations on Social Insurance Department and the Egyptian Labor Office documentation requirements, to ensure adequate Project closeout in conformance with the two authorities‘ regulations. We are also currently taking the necessary steps, in coordination with the Income Tax Department to ensure the accuracy of income tax amounts deducted from Project staff and remitted to the Department during 2016 and 2017, and their conformance with the Tax Department calculations, to continue obtaining the necessary certificates indicating that the Project met its commitments during those periods.

 The Project is following-up on a regular basis with MTI on the COP‘s required security approval, in order to obtain his work permit. VI. MONITORING AND EVALUATION

6.1.1 KEY ACTIVITIES ACCOMPLISHED

Developing Tools:  Supported the teams in developing the Intervention Logics and Measurement Plans for year 3 activities, to function as the technical justification for performing new interventions or building on existing ones. Measurement Plans in specific, will be reflected in the updated MEL Plan, to include all new outcome level indicators.  Further developed the Indicators and Performance Standards‘ definitions to be included in the updated MEL plan, with the support of the technical teams.  Developed a tracker for the Islamic Finance Event to include all participants who met with banks, as well as the type of services requested. A follow-up exercise was conducted with all MSMEs, one month following the event.  Developed a baseline survey for TTOs, to be use before conducting the second round of workshops.  Developed a tracking tool for the microenterprises integrated in the larger plastics and ready-made garments value chains, and corresponded with all to collect revenue and employment data.  Further developed the Business Plan Competitions and Startup Weekends tracker to include new data captured via follow up, to document progress/ reflect on the indicators.  Developed learning tools to conduct sessions for Clorox Company, to evaluate small companies‘ integration with the large company and with EFSA, to evaluate their participation in Public Private Dialogue workshops.  As part of developing tools for partners and building the capacity of Injaz incubator, SEED provided Injaz with an improved management tool to be used with their incubated Startups. This tool aims to measure the outcomes of INJAZ‘s capacity building trainings.  Further developed SEED interventions‘ dashboard to include governorates, responsibilities and STTAs.

Supporting Technical Teams:  Conducted a session using the newly developed learning tools with Tanta textile incubator and shared the analysis with technical teams and Home Office.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 46  Reviewed with technical teams‘ work plan for Year2 to include progress status for all interventions proposed and justifications.

Mission Related Duties:  Further developed the Dash Board and reviewed scoring, strength of logic and value for money to include quarterly and annual plans for all teams, which will serve as a reference to activities planned for Y3.  Further developed the Year 3 work plan narrative to include all performance standards and new proposed activities.  Equally drafting technical memos with all technical teams, to serve as reference points to any controversial Performance Standards in the Contract, until the MEL Plan is approved. This exercise will facilitate obtaining approvals from the Mission.  Supported SIMPLE in providing all necessary validations and support documents in both the Data Quality Assessment (DQA) sessions and the Midterm review meetings. The validations included detailed data for stakeholders, type of interventions, purpose / governorates, and end-line beneficiaries for all project activities till end of Q4Y2.

MEL Plan:  Updated the MEL Plan to include a new theory of change, implementation methodologies and a learning section / USAID ADS articles, to the MEL Plan to describe SEED‘s learning methodology.  Conducted an M&E-focused technical assistance session to explain the two layers of reporting required of incubators with Heliopolis University, Tanta and Nahdet Misr Incubators, in order to report progress on both levels of incubators and incubatees.  Assist the Cross Cutting Team Lead in developing the SEED Activities Map for SEED project. The Map will support the teams in budgeting and will be included as an additional new tool to the updated MEL Plan.  Support the technical teams in developing MOUs with new partners.

6.1.2 PLANNED ACITIVIES FOR NEXT QUARTER

 Continue updating the MEL Plan and sending it to the USAID Mission for approval.  Continue working with SIMPLE on the DQA requirements / report and the midterm evaluation team.  Continue supporting the technical teams as necessary by developing necessary tools and follow up required.  Conduct more data validation trips to the field especially to: Incubators, all exhibiting companies under component C, and all supported or improved OSSs.  Develop a tracking tool to include all supported students in the Schools‘ Entrepreneurship Program.  Further update the dashboard to include budgets.

6.1.3 LESSONS LEARNED

Upon finalizing the internal audit process which served as a platform for the midterm evaluation, it was apparent that the M&E team needs to develop new tools and systems to improve the follow-up process with beneficiaries. Such tools need to be in accordance with the intermediary partners‘ systems, in order to avoid overburdening them with additional tasks, while assisting SEED in reporting larger numbers/results, given the M&E‘s current limited resources. Additionally, it is important to add all M&E requirements to any MOU or agreement developed, in order to capture accurate data starting at the planning phase.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 47 NOTE: Upon developing these tools, we will face a challenge since it is extremely difficult to go back to previous interventions that took place in YI to gather the baseline and progress data and to attribute the progress to SEED intervention.

TABLE (1) JUSTIFICATION TABLE/ DELIVERABLES:

Name of Changes – Justification Deliverable Updates SEED‘s justification on implementing additional activities on the same deliverables:

Mentorship Training Session at Rise Up Summit: Dec 2 & 3, 2017 As part of the SEED mandate to strengthen the offering of mentorship activities within the ecosystem ‗The Contractor must build the capacity of the newly created women and youth network members to: (1) recruit mentors; (2) provide guidance on effective mentor-mentee relationships and deliver training through member organizations; (3) lobby companies allocate time for employees to act as mentors as part of CSR; (4) publish a list of active mentors and available services; (5) publicize informal networking and mentoring opportunities; (6) promote mobile phone- based services to increase access to mentoring for disadvantaged communities; and (7) monitor effectiveness through online and mobile surveys.‘

Component A co-organized 2 mentorship sessions during RiseUp Summit:  It was a key step to pave the way for the result we aimed at in Actual revision Mentor4Egypt platform (formerly planned mentorship platform) - A.1.1. Women and from 15 to 17 by complementing the online platform with on-ground activities. Youth end of QIV.  The workshop was conducted – gratis - by a certified coach with a Entrepreneurship Target is well-established track record in the domain. Workshops overachieved in  The workshop aimed to introduce and educate on the skills of how Q1 YIII to have a healthy mentor-mentee relationship and how to be ready to accept coaching.

Roundtable on Mentorship in Cairo, Jan-22, 2018 The roundtable was organized to support the SEED mandate in the mentorship area, and create strong partnerships with different stakeholders in the ecosystem, with a minimal cost of EGP 12K.

The roundtable was organized in collaboration with the AmCham Sub- committee ―Mentorship‖, in order to discuss ways to enhance Mentorship in the eco-system and envision the following three main sub- topics:

(-) Growing the number of mentors in the eco-system (-) Enhancing mentorship process (-) Developing yearly mentorship celebration event

Action Plan for Strategy of Women‘s network Dec 12-14, 2017: The Networking Workshop that took place in December 2017 was a

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 48 Name of Changes – Justification Deliverable Updates crucial step in order to set the objectives and main pillars of the network, given that it was considered the first Steering Committee members‘ meeting. The workshop achieved its objectives whereby it presented the goals of the newly developed 5-year strategies for the four selected organizations, through practical application of the networking activities. Additionally, it served in enhancing their knowledge and skills, while rolling out networking activities, and highlighting the common areas of focus between the four organizations and other relevant partners as well. The workshop, as well as several upcoming ones are, essential for the capacity building of the four Women-focused organizations, in order enable them to sustain the Women Entrepreneurs‘ Network and roll out its activities and action plan under the Network‘s collaborative efforts, networking platform and joint projects.

NOTE: SEED mistakenly missed out on reporting two conducted networking activities in Q4Y2, which were added in Q1Y3, hence the variance of the number: Due to the USAID‘s requested criteria of including meeting minutes of Actual steering committee members in order to count the establishment, A.1.2 Networks establishment delivery moved from Q4 to Q1 YIII, given that the first steering Established moved from QIV committee meeting was held in Dec 2017. YII to Q1 YIII

Actual revision from 8 incubators replicated to 5 A.2.5 Incubators incubators in Q1 Tanta, Icealex, HU, FEPS and NM. Replicated YIII History: 3 in YII and II in YIII QI.

Target revision Due to absence of verification record (actual module) on third module, A.2.7 Training from 3 in QII YII target has to be changed back to only 2 modules developed, given that Modules Designed to only 2 the consultant did not submit 3rd module developed. modules. Clarification: Sohag OSS was improved, and not established. However, B.1.1 Increase and Sohag‘s OSS given that the OSS was closed for an entire year and that SEED managed replicate OSSs status to reopen it, all beneficiaries from centers will be attributed to SEED‘s intervention.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 49 TABLE (II) MEMORANDUM OF UNDERSTANDING SIGNED DURING Q1:

Entity Name Purpose of Cooperation The Academy of Scientific Research Capacity building for Technology Transfer Offices and Incubators under and Technology (ASRT) Intlaq initiative.

Egyptian Association for Community Capacity Building and development of tailored financial products. Initiatives

Aswan Businessmen Association Capacity Building and development of tailored financial products.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 50 ANNEX I: DELIVERABLE TRACKER (PERFORMANCE STANDARDS)

SEED PERFORMANCE STANDARD FORECAST BY QUARTERS - YEAR 3 Year 3

Project Performance Cumulative Total Balance Performance Progress Planned Achieved Measurement Performance Standard Target Achieved to Y3 Target Achieved (Target - Notes Measurement Toward Q1 Q1 # Date Y3 Achieved) Target Component A Entrepreneurship Skills and Opportunities Intermediate Result A.1 Stimulated entrepreneurship among women and youth 1- SEED Networking Event - May 23 - Cairo 2- SEED Networking Event-Oct-16 - Mansoura 3- Boot Camp - Oct 22 - Alex 4- ABWA Networking Event –Nov 19, 2016- Alex 5- GEW opening in Darb 1718 –Nov-14, 2016 - Cairo 6- Aswan Networking Event – Dec 22, 2016 7- Upper Egypt Road Show Assuit – Feb 14 8- Upper Egypt Road Show Sohag – Feb 15 9- Upper Egypt Road Show Aswan – Feb 17 10- Women-In-Business – – Feb 17 A.1.1 Workshops 17 20 118% 0 3 3 0 Women and youth 11- ICT for Women Platform- Luxor - Mar 30-Apr 1 entrepreneurship networks 12- Capacity Building Workshop: Sohag May 4-7 Giza Systems established and strengthened to 13- Gender inclusive training and mentorship (E-Youth Business Competition winners) – Cairo - Aug 14 coordinate the efforts of existing 14- E-Youth Capacity Building Training- Noha Fathi, August 15-17, 2017 women and youth organizations in 15- 3 days‘ capacity building workshop to build the capacity of the executive team of ―E-Youth‖ Cairo – Aug 27 & 28 Egypt 16- Capacity Building workshop- Hult Prize team – Cairo - Aug 26 17- Strategic Planning workshop for the launch of the women network – Cairo, Oct 2017 18- Mentorship Training session at RiseUp: Dec 2 & 3, 2017 19- Action Plan for Strategy of Women‘s network – Dec 12-14, 2017 20- Roundtable on Mentorship in Cairo, Jan-22, 2018 Steering Committee formed from BW21, FEI, ABWA & NCW with coordination with MSMEDA officially launched Q1 Y3 A.1.2 Networks Established 2 1 50% 2 1 1 1 Steering committee members selected before end of October 2017 are: Maei Mahmoud from NCW, Alyaa Mahmoud, from ABWA Alyaa Badawi, from BWE Nadia Elshafei, and from FEI Marwa Hussein. Note: one steering committee members' meeting took place in quarter I year III, hence the delivery moved from Q4 to Q1 Y3. New entrepreneurship and financial A.1.3 literacy program delivered in high High Schools 15 0 100% 15 0 0 0 15 schools across Egypt. Universities Certificate A.1.6 8 0 0% 8 0 8 Babson training yet to be delivered in universities Developed 1- Seidy BPC Apr. 21-23, 2016 2- Business plan competition Mansoura Oct. 14-15, 2016 Business Plan 3- Business Plan Competition Aswan Feb 18-20,2017 A.1.8 9 6 67% 3 0 3 Competitions 4- Finals: Entrepreneurship Rally Supporting Exports Mar. 1-9, 2017 Outreach campaign to raise 5- E-Youth Business Plan Competition July 17-20, 2017 6- E-Youth Business Plan Competition July 31 - August 3 , 2017 awareness of available services and A.1.9 programs for female and youth Career Fairs 3 1 33% 2 0 2 One in Mahala El- Kobra Feb 7, 2017 entrepreneurs. 1- BUE Startup weekend Apr 14-16, 2016 2- Start-up Weekend Women Edition Oct 27-29, 2016 A.1.10 Start-Up Weekends 6 5 83% 2 1 1 1 1 3- Start-up Weekend: Create in 48 Aswan Dec 23-24, 2016 4- Start-up Weekend Minya (Minyathon) Oct 26-27, 2017 5- Alexandria Startup Weekend – Food Supply Chain Dec 14-16, 2017 Intermediate Result A.2 Improved availability and accessibility of entrepreneurship services, with focus on business Incubators and Accelerators YII Q4: Heliopolis Uni, Tanta & IceAlex. A.2.5 Incubators Replicated 8 5 62% 5 2 2 2 3 Incubators strengthened and YIII Q1 : FEPS & Nahdet Misr managed according to international Training Modules A.2.7 best practices. 4 2 50% 2 0 2 Client Selection Criteria and Marketing Outreach Designed

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 51 SEED PERFORMANCE STANDARD FORECAST BY QUARTERS - YEAR 3 Year 3

Project Performance Cumulative Total Balance Performance Progress Planned Achieved Measurement Performance Standard Target Achieved to Y3 Target Achieved (Target - Notes Measurement Toward Q1 Q1 # Date Y3 Achieved) Target Mobile Phone Training A.2.8 Provide entrepreneurship services 2 1 0% 2 0 0 2 Modules Developed that meet the needs of InfoMatch Mobile Tool A.2.9 disadvantaged populations. 1 0 0% 1 0 0 1 Waiting for the incubator directory to be completed in order to count as InfoMatch Development Capacity Building A.2.10 Support incubators and Workshops Delivered to 6 3 50% 3 0 3 One in Cairo Dec. 24-26, 2016, One in Tanta Dec. 27-29, 2016 and one in Sohag Jan.3-5, 2017, accelerators with technology TTOs commercialization. Workshops Delivered to A.2.12 2 0% 2 0 2 TIEC 1- Enabling Environment Training ―Private Sector‖ July 16-20, 2017 Build the capacity of MTISME to 2- Enabling Environment Training ―Public Sector‖ – Round one July 24-27, 2017 A.2.13 Workshops 6 4 67% 3 1 1 1 2 fulfill its expanded mandate. 3- Enabling Environment Training ―Public Sector‖ – Round two July 30 - Aug 3, 2017 4- Enabling Environment Private Sector Training Nov. 5-9, 2017 Component B Financial and Non-Financial Services Intermediate Result B.1 Improved availability and accessibility of effective and efficient BDS 1 - A new Tamayouz center in Bahteem/ Shobra Elkhema, Increase and replicate Tamayouz B.1.1 Tamayouz Centers/OSS 12 3 25% 9 0 9 2- The improvement of Tamayouz Qaliobia, and Centers/ OSS through twinning. 3- The improvement of Tamayouz Sohag (although it was closed for a year so it is considered new/ targets). B.1.6 Mobile Technology Tools 3 1 33% 2 0 2 Egypt‘s BDS Providers Directory: https://goo.gl/4HVS6A , https://goo.gl/jmCrih New tools introduced for # of People with expanded BDS services to B.1.7 Additional Access to 3000 0 0% 3000 0 0 0 0 disadvantaged areas. Services Intermediate Result B.2 Improved availability and accessibility of financial products and services Broker relationships between MSMEs and Investment Linkages 2 achieved under Y1 EPEA for private Equity Sep 28th 2016, EFA Facorting Oct 12th 2016 and 1 achieved under Q1 Y3: B.2.1.2 6 3 50% 4 1 1 1 3 crowdfunding organizations, angel Forums the Islamic Finance Linkage Forum on Dec 11, 2017 investment, and venture capital. 1- "Financial Literacy TOT for Microfinance NGOs " Workshop June 4-5, 2016 2- Financial Literacy TOT Workshop Nov. 26-29, 2016 Increase financial literacy including Training of Trainer 3- Financial Literacy TOT Workshop Nov. 30 - Dec. 5, 2016 B.2.3 capacity building to use financial 10 6 60% 4 0 4 Sessions Delivered 4- Financial Literacy TOT Workshop Dec. 5-8, 2016 products among MSMEs. 5- Financial Literacy TOT in Cooperation with Assiut Businessmen Organization Apr. 5-6, 2017 6- May 21-24 to 4 banks: Banque du Caire, Egyptian Agriculture Bank, Faisal Bank and Export Development Bank. 1- Attendees from EFSA and FEI in the Enabling Environment Training ―Public Sector‖ – Round one July 24-27, 2017 of Build capacity of Egyptian regulators EFSA Workshops B.2.6 4 2 50% 2 0 2 which they have received a series of TA sessions after. to respond to policy constraints. Delivered 2- Oct 18-19, 2017 on Strategic Planning to EFSA Component C Integration of MSMEs in Value Chains Intermediate Result C.1 Integrated MSMEs into Progressive Value-Chains Market information system(s) Information Technology strengthened to improve MSME C.1.2 System Developed or 3 0 0% 3 0 3 access to information in selected Strengthened value chains. Y1: 1- RMG 1 Exhibition Jan. 20-22, 2016, 2- Franchising Matchmaking Event supporting SMEs and Entrepreneurs Feb 18, 2017, 3- RMG2 Exhibition Aug. 18-20, 2017 MSME Buyers Conference C.1.3 4 5 125% 1 1 2 2 0 Improved MSME understanding of Delivered market and opportunities for YII: 1- EGYPLAST Exhibition Jan. 18-21, 2018 MSMEs in value chains. 2- RMG 3 Jan 26-28, 2018 Sector/Industry Member C.1.5 1 0 0% 1 0 1 Directory

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 52 SEED PERFORMANCE STANDARD FORECAST BY QUARTERS - YEAR 3 Year 3

Project Performance Cumulative Total Balance Performance Progress Planned Achieved Measurement Performance Standard Target Achieved to Y3 Target Achieved (Target - Notes Measurement Toward Q1 Q1 # Date Y3 Achieved) Target 1- Supply Chain Management training materials in MSMEs Oct. 24, 2016 2- Second Training Session on Supply Chain Management Dec. 12-15, 2016 Strengthen sector/industry Training Sessions 3- Backward Commercial Linkage Training – Phase 1 Dec. 19-21, 2016 C.1.6 associations on backward 5 6 120% 1 1 2 2 0 Delivered 4- Sales and Marketing Skills Training Oct. 22-24, 2017 and forward linkages. 5- Sales and Marketing Training R2 Nov. 5-7, 2017 6- Sales and Marketing Training Dec.5-7, 2017 CSR initiatives launched to facilitate C.1.8 training for MSMEs and investment Dollar Value 500000 200000 40% 300000 0 300000 Y2: FabLab worth of $200K with GSEF in equipment and software.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 53 ANNEX II: INDICATOR TRACKER

Year 3 Balance (Total Total Actual Total Actual Y3 Planned SEED Total Total Actual Total Achieved No. Indicator Q1 Q2 Q2 Q3 Q3 Q4 Q4 Target - Total Y1 Y2 Adjusted Q1 Actual Target Y3 Y1, Y2 & Y3 Planned Planned Actual Planned Actual Planned Actual Achieved)

Number of persons receiving new employment or better 1 0 185 815 0 69 270 270 270 1000 69 254 746 employment (including better self-employment) 2 Revenue growth in firms receiving USG assistance 0% 2% 30% 0% 55% 30% 30% 30% 30% 55% 19% 40%

3 Employment growth in firms receiving USG assistance 0% 32% 30% 0% 151% 30% 30% 30% 30% 151% 61% 30%

R1: Entrepreneurship skills and opportunities expanded Number of USG supported entrepreneurs who launch and 1.1 50 403 1547 0 98 516 516 515 2000 98 551 1449 grew their business models Number of start-up enterprises supported that are able to 1.2 11 122 Over Target 0 10 0 0 0 100 10 143 0 introduce new products to market Number of entrepreneurship events provided by USG 1.3 7 34 9 0 5 3 3 3 50 5 46 4 assistance Number of entrepreneurs attending events and programs 1.4 1066 2620 1314 0 769 438 438 438 5000 769 4455 545 provided through USG assistance IR 1.1: Stimulated entrepreneurship among women and youth 1.1.1 Number of people accessing mentorship programs 462 1531 1007 0 147 391 391 391 3000 147 2140 860

Proportion of female participants in USG assisted programs 1.1.2 designed to increase access to productive economic 35% 42% 40% 0% 35% 43% 43% 43% 40% 35% 37% 43% resources IR1.2: Improved availability and accessibility of entrepreneurship services Number of incubators established or significantly expanded 1.2.1 0 6 2 2 2 3 8 2 8 0 as a result of USG assistance Number of entrepreneurs who benefitted from incubators 1.2.2 50 538 412 0 63 137 137 138 1000 63 651 349 established or assisted through USG activities R2: Financial and Non-Financial services Expanded Number of private sector firms that have improved 2.1 management practices or technologies as a result of USG 0 82 968 0 15 322 323 323 1050 15 97 953 assistance Number of microenterprises supported by USG enterprise 2.2 195 259 1546 0 0 515 516 515 2000 0 454 1546 assistance IR 2.1: Improved availability and accessibility of effective and efficient Business Development Services (BDS) Number of new BDS Centers established as a result of USG 2.1.1 0 0 18 0 0 6 0 6 0 6 0 18 0 0 18 assistance 2.1.2 Number of BDS providers that were offered USG assistance 3 44 0 0 0 0 0 0 0 0 0 20 0 47 0 Number of one stop shops (OSS) assisted and replicated 2.1.3 0 3 9 0 0 2 0 2 0 5 0 12 0 3 9 through SEED activities Number of enterprises and MSMEs accessing BDS services, 2.1.4 0 0 3000 0 0 1000 0 1000 0 1000 0 3000 0 0 3000 firms and organizations supported by SEED Number of days required to formalize a business at Tamayouz 2.1.5 0 4 0 0 0 0 0 0 0 0 0 4 0 4 0 Centers receiving USG support IR2.2: Improved availability and accessibility of financial products and services Total number of clients benefiting from financial services 2.2.1 provided through USG-assisted financial intermediaries, 1728 6981 Over Target 0 0 0 0 0 0 0 0 5000 0 8709 0 including non-financial institutions or actors. Number of MSMEs managers and entrepreneurs benefitting 2.2.2 0 936 64 0 0 139 0 140 0 140 0 1000 0 936 64 from the financial literacy programs R3: INTEGRATED MSMEs TO PROGRESSIVE VALUE CHAINS IR3.1: Integrated MSMEs to Progressive Value Chain Number of USG supported enterprises integrated with larger 3.1.1 0 37 117 0 8 35 35 35 150 8 45 105 supply chains Number of private sector/associations received training on 3.1.2 0 23 Over Target 0 0 0 0 0 20 0 23 0 CSR programs that facilitate MSMEs training and investment in

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 54 Year 3 Balance (Total Total Actual Total Actual Y3 Planned SEED Total Total Actual Total Achieved No. Indicator Q1 Q2 Q2 Q3 Q3 Q4 Q4 Target - Total Y1 Y2 Adjusted Q1 Actual Target Y3 Y1, Y2 & Y3 Planned Planned Actual Planned Actual Planned Actual Achieved) equipment and software.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 55

ANNEX III:

Hemma is an incubator based in Assiut University that has supported 14 startups in various fields including education, agriculture, food industry, natural cosmetics, medicine, furniture, and technical support. SUCCESS STORIES Hemma offers startups a four-year incubation program that includes a wide range of services. Recognizing that startups are typically not very profitable during the first year of their Fekra Co. launches its establishment, Hemma offers them a rentable workspace during business with the support of HEMMA Incubator that that period while providing administrative and legal support to help facilitate the startups‘ operations. To allow startups to produce and test their prototypes, Hemma also offers “Being incubated inside the fundraising aids, training, mentorship and coaching, as well as university services that include transportation, labs, and university gave us the sense of security to be manufacturing workshops. The program gives four awareness able to target more people and be more sessions that focus on how to start a project from scratch, efficient.” recruit volunteers, conduct competition camps for youth in Upper Egypt, and organize exhibitions for startups to get - Asmaa Sayed Amin, Fekra Co. them introduced to the community. Team Leader Hemma was financially supported by USAID‘s Strengthening Entrepreneurship and Enterprise Development (SEED) Project. SEED also assisted in linking incubated companies with investors and providing legal and technical support to incubated startups. As a result, 11 out of the 14 incubated companies have been legally registered.

Among the startups that were incubated by Hemma was Fekra Co. The company specializes in handicrafts; from sewing and jewelry to wedding and birthday parties. Fekra Co. also runs w o r k s h o p s for individuals interested in acquiring and bettering their ability to create handmade crafts these skills. Enrolled participants can then get the chance to sell their products through Fekra Co.

Fekra Co. has been in the incubation program for nearly two years. Prior to being incubated by Hemma, Fekra Co. was only able to develop a basic business plan. However, after Hemma stepped in, the startup benefited from a sequence of training courses that allowed it to better manage the company.

Asmaa Sayed Amin, Team Leader of Fekra Co., explained that being incubated inside the university through gave his company a sense of security to be able to efficiently target more people. Additionally, it provided Upper Egyptian youth with an opportunity for exposure within the local market.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 56

Young adults often find themselves at a crossroads upon graduating from school. It is a time when they must make choices that will define their Towards a future career path. At this stage, most children do not possess sufficient knowledge or practical experience to make well-informed decisions. community of AlMo3askar (the Camp) is a startup that aims to tackle this challenge by creating an enabling community for children to learn more about „Kidpreneurs‟ in entrepre- neurship and develop their business ideas. Driven by a passion for entrepre- neurship education, AlMo3askar has two pillars: the first Egypt being a series of training camps and the second is an incubation program, both of which are catered specifically for young entrepreneurs.

AlMo3askar founders participated in USAID‘s Strengthening Entrepreneurship and Enterprise Development (SEED) Business Plan Competition in Cairo in July 2017. During the competition, they had access to different training modules and mentorships, which enabled them to pitch their ideas in front of a panel of judges. The judges gave them tailored feedback, advice, and direction that helped them enhance their startup idea and further develop their business. The AlMo3askar team gained a great deal of technical knowledge during the competition, for example they learned how to better conduct a feasibility study and how to properly identify their target market.

After the competition, AlMo3askar conducted 13 camps that brought “AlMo3askar plans to become together a total of 760 students and 23 local community partners. the largest ‘Kidpreneur’ These camps included a two-day ―Kidpreneur‖ camp that targeted youth from 12 to 18 years old, who were introduced to the concept of community in the MENA region entrepreneurship for the first time. by 2020.” - Ibrahim Fathy, co-founder of After the camp, the participants connected with an online community of investors and mentors. They exchanged business knowledge and AlMo3askar connected with mentors who could help them refine their business models and network with potential investors.

AlMo3askar was named one of the 10 best social enterprises in Egypt by MBC Hope and TEDxWomen Cairo.

―AlMo3askar plans to launch its very own ‗Kidpreneur‘ Incubation program by the end of 2018 and become the largest community of ‗Kidpreneurs‘ in the MENA region by 2020,‖ said co-founder Ibrahim Fahmy.

The team has already begun to pilot this incubation program by extending Participants of Kidpreneur Camp, August its support to three projects: Gadded, whose focus is to paint and 2017. renovate building exteriors in Helwan, Sehetakw h o i s providing first-aid kits and health awareness to Cairo-based schools, and Sanayea‘a who provides vocational training.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 57

One-Stop-Shop Excessive bureaucracy makes traders more reluctant to register their business activities and transition from informal to formal economic sectors. restoration boosts According to the World Bank Local Development Project, ―over 55% of firms surveyed in Sohag and Qena (Upper Egypt) reported that it took more number of MSMEs in than three months to register their businesses, while 21% reported that it took over a year.‖ To help Egypt overcome this challenge, USAID‘s Sohag Strengthening Entrepreneurship and Enterprise Development (SEED) Project collaborated with the Sohag Chamber of Commerce to revamp the One-Stop-Shop (OSS) located in Sohag. The former Sohag OSS hoped to facilitate the process of commercial registration and speed up economic development in the governorate. However, it inherited an outdated system of paperwork, manual archiving, and a long chain of approvals for finalizing commercial registration.

In July 2017, USAID‘s SEED Project adopted the ‗Tamayouz Model‘ to re- establish the Sohag OSS. The model integrates a set of core services necessary for registering a company under the Egyptian Trade Law. Relevant back-office government providers (including the Taxes Office, “The re-establishment of the Chamber of Commerce, and Commercial Registry Office) are now co- Sohag OSS increased the number located in the Sohag OSS, and additional services (like social insurance) will of clients served from 50 to 130 soon be introduced. According to Ahmed Hazem, data-entry employee of traders and accountants per day. the commercial registry back-office, ―the reestablishment of the Sohag OSS Approximately 50 of the 130 are increased the number of clients served from 50 to 130 traders and registering new MSMEs.” accountants per day. Approximately 50 out of the 130 are registering new - Ahmed Hazem, commercial registry MSMEs.‖ data entry employee Many of the challenges faced by both service providers and recipients in the old model were eliminated in the new Sohag OSS. Under the new model, clients no longer fight over turns in line or sit waiting to be called. This problem was reduced by creating a front office of case agents and introducing a simple computerized queuing system to organize the line. The clients seem to be pleased with the results. ―I have been an accountant and had to deal with the process of commercial registry ever since the1980s,‖ said Mrs. Hanaa Nasry Abdou who is a regular client of the Sohag OSS Center. ―It was always a hassle to register businesses or even change some commercial data for existing companies. But the new OSS center has radically improved the situation. There is a great deal of efficiency and organization at the new center. One service only consumes a maximum of 15 minutes as opposed to the long hours and days in the old system.‖

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 58

Heshmat El Guindy, Sohag OSS vice president, also expressed the differences felt within the new system at an operational level.

―Six months ago, accounting office representatives used to rush in with many requests and clog the queue,‖ said El Guindy. ―However, with the new system in place, we were able to assign one case agent to handle requests from accounting office representatives and each representative is permitted a maximum of three services per turn. This immediate solution stops the queue from being jammed.‖

The hired case agents at the front office went through a rigorous training “I no longer have to wait for and selection process to ensure that the quality of service would days or even hours to remain high. They meet and greet clients, receive their documents, and finalize the documents. hand them over to the back office. The presence of a front office Each service takes up to a provides several benefits such as reducing corruption, increasing maximum of 15 minutes transparency, and enhancing the quality of service to the clients, who are now.” met with professionalism and respect. -Hanaa Nasry Abdou, Accountant Moreover, the long chain of approvals was cut down by granting the Sohag OSS representatives more authority to issue immediate approval letters and certificates. According to Kamel Abdel-Latif, tax office representative, ―it is now within my authority to issue a temporary approval letter for activities taking place in any district in Sohag governorate without going back to the main office. This allows traders to finalize their proceedings and start operating immediately until the tax review and official license is complete.‖ The Sohag OSS also received new ICT equipment and training from USAID‘s SEED project. This eliminated the hassle of manual archiving, increased the efficiency of staff in delivering the service, and allowed them to maintain electronic records of all client interactions and documentation. ―The old center was extremely crowded, unsanitary and bureaucratic,‖ said Case Agent Aya Ibrahim. ―There were many dusty archives and portfolios in our offices. In the new center, everything is computerized. The data is much more organized and accessible, and the workspace is neat and appealing to both staff members and clients.‖

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 59

Traffic in Alexandria remains a huge burden on urban development and the overall quality of life for citizens in Egypt‘s second-largest city. As a result, a Rakkebny: A team of Alexandrian university students decided to introduce Rakkebny, a carpooling business that offers a solution for the city‘s traffic woes. Carpool In July 2017, the Rakkebny team participated in a business plan competition which was organized by E-Youth, a youth-entrepreneurship organization supported by USAID‘s Strengthening Entrepreneurship and

Application for Enterprise Development (SEED) Project. The app‘s team said their participation in the E-Youth business plan

Alexandria-based competition helped them refine their marketing skills and discover their competitive edge in relation to other transportation applications in the market Residents such as Uber and Careem. Rakkebny is a mobile application, targeting youths aged 16-25 years old, that

lets Alexandrians book upcoming events and/or transportation at the cheapest

price possible. The application allows users to schedule rides on a bus in a

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r streets at once and all of them wanting a ride back to the city center, said Am

: : Ahmed Hammad, Rakkebny co-founder.

o t

ho ―We realized that this was a great opportunity for us to test and P introduce our application,‖ said Hammad. ―People couldn‘t easily find a ride, and so our application offered the perfect solution.‖ Hammad explained that transportation in Alexandria is seasonal leaving students having to wait long hours for buses or taxis during the summer due to the influx “People could not easily find a of tourists. ride since it was high season, The application was introduced to the Android Play store in October of 2017 and focused on providing transportation between various areas in Alexandria and our application offered the and the Borg El-Arab Stadium. Rakkebny started on a small scale, offering perfect solution.” two to three buses per football match. People who used the application were quite pleased with the service and its overall rating was a 4.8 out of 5. - Ahmed Hammad, Moreover, the team created a Facebook page that currently has 1,785 Rakkebny co-founder followers and a rating of 4.7/5. Since launching, the application has been downloaded by over 200 users, with 1,000 bookings to date. Not only is Rakkebny cost effective, but it helps ease traffic by encouraging ridesharing. The team plans to expand the app‘s geographical outreach to include the entire Nile Delta region in March 2018, and hopes to eventually offer affordable transportation from Alexandria to other touristic cities such as Luxor, Aswan, and Sharm El-Sheikh.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 60

Voxera: Calling

Home, with No

Roaming Fees

People travel for a variety of different reasons, but the one thing we all have in common is that we want to stay connected to the family and friends we leave behind. Usually, one has to pay a roaming fee or go through network connection hassles in order to be able to make phone calls or send SMSs to our loved ones back home. However, Amr El-Gebaly developed/invented Voxera, a device that allows users to directly connect

electronic devices to the internet and bypass roaming fees. By simply

inserting the user‘s SIM card into Voxera, users are able to call and text

at maximum speed without paying extra charges to the carrier. El-Gebaly and his cofounder won both the RiseUp Summit (MENA region‘s largest innovation and entrepreneurship summit) and Explorer Arabia Business Plan Competitions in 2017. After winning the competitions, they launched their business and hired employees. El- Gebaly also created a crowdfunding campaign to help bring Voxera to life whose initial goal was to reach $20,000, but instead greatly surpassed El-Gebaly began a that and raised over $75,000 with the support of over 600 contributors. crowdfunding campaign which El-Gebaly has already started manufacturing Voxera prototypes at the initially aimed at collecting Ebni Incubator labs, a unique incubator dedicated to supporting startups $20,000 to bring Voxera to life that focus on IoT (Internet of Things) and hardware. The Ebni incubator is but reached over $75,500 with among a select group of 11 incubators which began receiving capacity- the support of more than 600 building support and technical assistance from USAID‘s SEED project in people. June 2016 and Voxera is a startup that benefited from multiple services provided by Ebni. These include a SEED fund of EGP 125,000 and services that total up to EGP 25,000, that include a work space, access to a

prototyping lab, and training sessions on business planning, market research, contracting, product design, and communication. On March 2, 2017, El-Gebaly also appeared on the ―Huna Al-Shabab (Here are the Youth) TV Show which airs on Egypt‘s popular CBC Satellite Channel, further pushing Voxera in the spotlight within Egyptian media. As a result of tremendous effort, and the good publicity that Voxera received, Amr El-Gebaly was able to enter the market with a solid footing and successfully launch his innovative product in Egypt.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 61

ANNEX IV: SEED ACTIVITIES MAP

A.1.8 (PS) Business Plan A.1.10 (PS) Start Up SEED Y1&2 Workshops A.1.1 (PS) Networking Competition (3) Weekends (2) (17 of 17) Events/Workshops Sub-R A.1.1: Improved access to mentoring and Impact (A.1) Stimulated entrepreneurship services for women (Long Term) Y1&2 Networks A.1.2.1 (PS) Establishment A.1.2.2 (PS) Establishment A.1.2.3 (CR) Establishment Sub-R A.1.2: Increased interest and skill among women and entrepreneurship among women of Youth Network and youth Established (1 of 2) of Women Network of Mentorship Network youth to pursue entrepreneurship careers PI (1.1.1) # of people accessing mentorship programs A.1.3 (PS) Entrepreneurship A.1.5 (PS) Entrepreneurship PI (1.1.2) Proportion of female A.1.9 (PS) Career Fairs (2) participants in USG assisted Program in 15 Schools Certificates in Universities (8) programs designed to increase access (A) Entrepreneurship to productive economic resources Skills and Sub-R A.2.1: Increased number of incubators managed Y1&2 Workshops Opportunities A.2.5 (PS) Replication & (11of 6) A.2.N1 Capacity Building & according to international best practice strengthened A.2.N2 Branding Establishment of (A.2) Improved availability TA for Ad Hoc Incubators Supported Incubators Sub-R A.2.2: Improved services offered by incubators / PI (1.1) # of USG Incubators Support (7) and accessibility of supported entrepreneurs accelerators Y1&2 Pilot Incubators Sub-R A.2.3: Increased access, especially in disadvantaged entrepreneurship services, who launch and grew their Designed (3 of 3) with a focus on business business models A.2.7 (PS) Module A.2.8 (PS) Online Tool A.2.9 (PS) Info match communities, to incubators / accelerators PI (1.2) # of start-up Development (1) Development (Incubation-related) Mobile Tool Development Sub-R A.2.4: Increased GOE capacity to understand and incubators and accelerators; enterprises supported that Y1&2 Study Tour respond to enabling environment constraints PI (1.2.1) # of incubators established are able to introduce new or significantly expanded as a result products to market (1 of 1) of USG assistance PI (1.3) # of A.2.12 (PS) PI (1.2.2) # of entrepreneurs who entrepreneurship events A.2.10 (PS) TTO A.2.13 (PS) MTI-Affiliated Entity EE.1.N5 Taxation & Accounting Workshops Delivered A.2.1(PS) Legal benefitted from incubators provided by USG Capacity Building Workshops (3) System for Entrepreneurs Workshops (3) to TIEC Workshop for Incubators established or assisted through USG assistance activities PI (1.4) # of entrepreneurs attending events and programs provided through B.1.i (PI) Establishment of B.1.6 (PS) Mobile USG assistance Y1&2 Tamayouz B.1.1 (PS) (B.1) Improved availability Establish/improve OSS BDS Centers (18) Technology Tools (2) Increase Centers/OSS (3 of 12) Sub-R B.1.1: Increased number of effective one-stop shops and accessibility of effective Sub-R B.1.2: Increased effectiveness of BDS providers. employment and and efficient business income of Y1&2 Trainings Delivered B.1.3.N1 (CR) BDS B.1.3.N2 (CR) BDS Scorecard Sub-R B.1.3: Improved MSME access to effective BDS tools development services (BDS) (B) Financial and Certification Program MSMEs and to BDS Providers (6 of 6) and services PI (2.1.1) # of new BDS Centers Non-Financial established as a result of USG entrepreneurs. Sub-R B.1.4: Increased capacity among BDS providers and Services improved EE.1.N4 Reform associations to advocate policy change assistance Special focus is GY.1.N1 PI (2.1.2) # of BDS Providers that PI (2.1) # of private sector Registration & Licensing firms that have improved given to women, Women-focused Services at OSS were offered USG assistance BDS PI (2.1.3) # of one stop shops (OSS) management practices or youth assisted and replicated through SEED technologies as a result of USG assistance PI (1) # of persons activities receiving new B.2.1.2 (PS) Investment GY.1.N2 Gender- PI (2.1.4) # of enterprises and PI (2.2) # microenterprises Y1&2 Investment B.2.1.1.N1 CGC Support supported by USG employment or better Linkages Forums (2 of 6) linkage forums (2) sensitive Financial Sub-R B.2.1: Increased capacity of public, private institutions MSMEs accessing BDS services, employment (including  –Feasibility studies. firms and organizations supported by enterprise assistance Products to develop, use, market financial products better self-employment) Sub-R B.2.2: Incr. financial literacy, including capacity to use SEED PI (2) Revenue growth in Y1&2 Training of Trainer B.2.3 (PS) Financial B.2.6 (PS) Capacity Building PI (2.1.5) # of days required to firms receiving USG B.2.5.N1 SME Index financial products, among MSMEs and financial institutions formalize a business at Tamayouz Sessions Delivered (6 of 10) literacy TOT Workshops to EFSA assistance Sub-R B.2.3: Increased GOE capacity to understand and Centers receiving USG support PI (3) Employment

respond to constraints in the enabling environment for MSME (C) Integration of growth in firms receiving B.2.7 (CR) Financial access to finance USG assistance B.2.8 (CR) Marketing B.2.9 (CR) Financial (B.2) Improved availability MSMEs in Value- Product Development for MFIs and Banks Campaign for CGC Literacy Campaign and accessibility of financial Chains products and services PI (3.1.1) # of USG supported enterprises PI (2.2.1) Total # of clients benefiting integrated with larger from financial services provided supply chains through USG-assisted financial Y1&2 Analysis of at Least 3 PI (3.1.2) # of private C.1.2.1 (PS) Market C.1.2.2 (PS) Market C.1.2.3 (PS) Market intermediaries, including non- VC Conducted (1 of 1) sector/associations received Information System for VC1 Information System for Information System for VC3 Sub-R C.1.1: Improved understanding of market opportunities financial institutions or actors. training on CSR programs VC2 PI (2.2.2) # of MSME managers and for MSMEs in value chains that facilitate MSMEs entrepreneurs benefitting from the Sub-R C.1.2: Improved skills and tools to capitalize on training and investment in C.1.6 (PS) Backward & C.1.5 (PS) Digital financial literacy programs C.1.3 (PS) MSME Buyers opportunities in value chains equipment and software Y1&2 MSME Buyers Conference (1 mandatory + Forward Linkage Training (1 Directory RMG Sub-R C.1.3: Increased access to finance to capitalize on Conference Delivered (3 of 4) 3 additional planned) mandatory + 2 additional planned) market opportunities C.1.8 (PS) CSR Initiatives Sub-R C.1.4: Forward and backward linkages developed and

(C.1) None? C.1.N1 (PS) Additional strengthened. C.1.N3 Capacity Buyers Conference C.1.N2 Matchmaking (9) Sub-R C.1.5: Incr. GOE capacity to understand and respond to Building PTC (3+) policy and legal constraints to integrating MSMEs into VCs Technology Center C.1.N4 Capacity Building C.1.N5 Tamkeen Capacity C.1.N6 Capacity Building Fashion & Design Center Building Trainings SEED Results PS Performance Standard Performance Indicators CR Contractual Reference Component (A) PI Performance Indicator EE.1.N2 EE.1.N3 Organize EE.1.N7 RIA on Inv. Component (B) EE.1.N1 Activation EE.1.N6 Simplify EE.1.N8 EE.1.N9 Cascaded TOT N New of GOE Law & Institutionalization of PPD Incentive-focused Government Procurement Law in Trade & Industry M&E System trainings for public & Component (C) Policy related to PPD Sessions Procedures for MSMEs for MSMEs for private entities Cross-cutting MSMEs MSMEDA Highly Effective GY.1.N3 Implementation of GY.1.N4 Capacity building to (CR) MSMEDA (CR) MSME Updated:1-Mar-18 Gender-focused Strategies Moderately Effective established Gender-Focused Restructuring Platform (CR) Grant 1 Horizon (CR) Grant 2 Yadawy SEED Activities Map 1.1.0 Unit at MSMEDA Ineffective (CR) Grant 3 Yomken (CR) Grant 4 ENCC

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 62 ANNEX V: SEED INTERVENTIONS DASHBOARD

Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Alexandri Networking Networking events to Performan a, Aswan, Not Not Not Not Not Not Events/Worksh Under Networking 1/1/201 10/31/20 Comple Draft In Not Started Highly pave the road to the A1 ce A.1.1 Cairo, Nashwa A Potential Started Started Started Started Started Needed 2 3 ops (0 assessment events 8 18 te Process Yet Effective women, youth and Standard Giza, Yet Yet Yet Yet Yet Yet remaining) mentorship network(s) Sohag Women and youth entrepreneurship networks established to build a better sustainable supporting platform for Establishment of Performan Not Not Alexandri NCW, BW21, Women & 9/1/201 10/31/20 Implementi Comple Comple Draft In Draft In Draft In Not Needed Highly women and youth; Women A1 ce A.1.2.1 Nashwa H Applicabl Applicab Complete 2 3 a, Cairo FEI, ABWA youth 7 18 ng te te Process Process Process Yet Effective technical assistance and Network Standard e le capacity building to coordinate the efforts of existing women and youth organizations in Egypt. Component A will work to provide Organizational Capacity building for partners (Ispark, Hult Prize, AAST, etc.). In addition, Technical Assistance to partners for more sustainable interventions Business (business plan Business Plan Performan Aswan, ASST, Hult plan 1/1/201 10/31/20 Action Complet Comple Comple Comple Draft In Draft In Draft In Not Started Not Highly competitions + start-up Competitions A1 ce A.1.8 Menya, Nashwa A 2 3 Prize competition 8 18 Planning e te te te Process Process Process Yet Applicable Effective weekends + capacity (3) Standard Luxor s building workshops). Component A work on creating accessibility & collaboration to Eco system partners by bringing multiple MOUs, creating working groups for activities & integrating the government in planning

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 63 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Component A will work to provide Organizational Capacity building for partners (Ispark, Hult Prize, AAST, etc.). In addition, Technical Assistance to partners for more sustainable interventions Alexandri (business plan Performan AAST, Hult Not Startup a, Menya, Startup 12/1/20 10/31/20 Implementi Complet Draft In Draft In Draft In Draft In Draft In Not Started Not Highly competitions + start-up A1 ce A.1.10 Nashwa A Prize, MLD, Started 2 3 Weekends (2) Cairo, weekends 17 18 ng e Process Process Process Process Process Yet Applicable Effective weekends + capacity Standard MSMEDA Yet Sohag building workshops). Component A work on creating accessibility & collaboration to Eco system partners by bringing multiple MOUs, creating working groups for activities & integrating the government in planning Capacity building of organizations to create sustainable youth network (Markade, Hult Prize, MTI& AAST) Performan Not Not Not Not Design a youth network Establishment of Nationwi 1/1/201 10/31/20 Complet Draft In Draft In Not Started Not Started Moderatel A1 ce A.1.2.2 Christine Markade Potential Started Started Started Needed 2 2 strategy (structure, Youth Network de 8 18 e Process Process Yet Yet y Effective Standard Yet Yet Yet Yet revenue streams, membership model, event, etc.) Develop yearly calendar for networking events to increase membership

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 64 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High An integral component of success of young entrepreneurs is access to mentorship. Component A is working with Cairo Angels to launch a sustainable online mentorship network, this network will act as a medium between mentors and entrepreneurs to help them develop, grow and enhance either their ideas, businesses or as individuals. It aims to be a resource for both mentors and mentees. Component A will also Establishment of Contractu Cairo Angels, Not work with AAST and Alexandri 12/1/20 10/31/20 Action Complet Comple Comple Comple Draft In Not Started Moderatel May El- Mentorship A1 al A.1.2.3 Christine Camelizer, Mentorship Started Complete Complete 2 2 other partners to build a, Cairo 17 18 Planning e te te te Process Yet y Effective Badawy Network Reference AAST Yet or strengthen their mentors‘ network; this network will be linked to the physical network that SEED hired a STTA to work on its design, structure and objectives. The physical network will ensure inclusion of a big pool of active mentors, roundtable discussion to integrate all key organizations in the eco- system and identify needs for an efficient network as well as recommendation on how to create a sustainable model network.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 65 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Component A will work on three initiatives with: ISpark, Injaz and MSMEDA to introduce entrepreneurship programs that include innovation and financial and business education in schools around Egypt. The 3 initiatives are expected to be implemented in 15-20 high-schools and reach around 300+ students The first initiative is collaborating with iSpark, an entrepreneurship organization focused on high schools‘ education, activities and career counseling. Component A collaborated with an education consultant to develop a high school entrepreneurship curriculum that will be implemented and delivered targeting 150 high school students from 10-15 schools (mix of both national and international schools). The program will conclude with a business plan competition for the students. To Alexandri Entrepreneurshi Performan complement this work, a, Cairo, School 12/1/20 10/31/20 Action Complet Comple Comple Comple Comple Comple Not Started Amany p Program in 15 A1 ce A.1.3 Christine iSpark, Injaz Complete Complete 1 2 Ineffective iSpark will train high Giza, programs 17 18 Planning e te te te te te Yet Eid Schools Standard school teachers and Aswan administrators on promotion and fostering of the entrepreneurial spirit in a school environment. An event will be hosted for Principals to encourage the engagement and development of entrepreneurship events in their schools. The second initiative is working with INJAZ to deliver three different educational programs to first and second year high school students. The programs will reach out to 15-20 schools and reach 10,000 students. Each program contains varying level of three Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) core topics: financial 66 literacy, work readiness and entrepreneurship. Students are also introduced to core skills such as financial Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Component A will continue to follow up on the initiatives that started in Y2 where two universities received targeted assistance, Heliopolis University and the Arab Academy for Science, Technology & Maritime Transport (AASTMT), STTAs were contracted to develop entrepreneurship programs as well as to design and establish Centers of Entrepreneurship (COEs). At Ain Shams University, an international consultant worked with the staff of the university‘s Development Projects and Innovation Center to develop and implement an entrepreneurship certificate. Component A will follow up on the implementation of the certificate within the Alexandri university. a, Cairo, ASST, BUE, Component A will also Entrepreneurshi Performan Assuit, FEPS, HUE, University 9/1/201 10/31/20 Action Comple Draft In Moderatel follow up on the p Certificates in A1 ce A.1.5 Nashwa A 2 2 Aswan, Assuit U, AUC, programs 7 18 Planning te Process y Effective implementation of the Universities (8) Standard Giza, Al Azhar U Babson program Qena introduced to the university-based incubators in Y2. The Pre-Incubation Program brought in collaboration with Babson University the Educators Program trained university faculty and staff in promoting and fostering an entrepreneurial spirit among students, while creating undergraduate entrepreneurship- focused curricula. Additionally, the Pre- Incubation Program helps university-based incubators train members of the university and incubators‘ respective staffs in how to implement the program effectively and attract students to their incubation programs. The Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) experts will offer support 67 and follow-up in the coming years through mentorships both in person and virtual. Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High A. Improving access to employment Performan Not Not Not Not Not opportunities among blue Nationwi 1/1/201 10/31/20 Comple Comple Not Started Not Started Moderatel Career Fairs (2) A1 ce A.1.9 Dalia E ITC Career fairs Potential Needed Started Started Started Needed 2 2 collars within selected de 8 18 te te Yet Yet y Effective Standard Yet Yet Yet Yet Yet value chains through one career fair. Activity run by Comp. C. 1. ―Companies Law I – Types of companies‖: This workshop will mainly focus on differentiating between the types of companies under the companies‘ law, as well as defining how to choose the best legal structure for a project. 2. ―Companies Law II – Hemma, Injaz, Management of a Ibni, Ice Alex, company‖: This Legal Performan BUE, FEPS, Not Not 24/2/20 26/2/201 Implementi Complet Comple Draft In Not Started workshop will be Workshop for A2 ce A.2.1 Cairo Mohamed S HUE, Al Azhar Incubators Applicab Applicab Complete 18 8 ng e te Process Yet concerned with providing Incubators Standard Uni, Tanta le le a comprehensive guide to Textile, ASST, legal requirements and Nahdet Masr obligations related to the management of different types of companies in Egypt. 3. ―Employment Law‖: This workshop will mainly focus on enriching the attendee‘s basic legal knowledge of rules governing employment issues under the employment law.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 68 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Workshops and technical assistance for selected incubators. Provide tools to better perform and enhance their offering. (Tool Kits, Commodities, ICT, Study Tour). TA for each incubator, according Replication and Alexandri to the previous needs Establishment of a, Cairo, assessments (operational Performan Incubators Assuit, 3/1/201 11/1/201 Implementi Highly efficiency, Business June A2 ce A.2.5 Mohamed S Incubators Incubators 3 3 Support (7 Gharbya, 7 8 ng Effective Modeling, Strategy, Lavelle Standard remaining/ new Giza, financial sustainability). criteria) Qena Cross Incubators technical assistance, in Legal, HR, Marketing and Outreach, Project Management, Commodities (IT Equipment's, Furniture, AC‘s, and Fabrication Labs). Support in bringing international STTA and Flat6 Labs, expertise to implement a Capacity Alexandri Innoventures, full-fledged program for Building and TA Capacity 9/1/201 10/31/20 Comple Highly A2 New A.2.N1 a, Cairo, Omar R Other 2 3 e-commerce, go-to- for Ad Hoc building 7 18 te Effective Giza incubators & market strategies, Lean Incubators accelerators Start-up models, valuations, M&E and investment readiness. Support the incubators in better positioning, Alexandri outreach and marketing a, Assuit, of their services provided Branding Cairo, 9/1/201 10/31/20 Comple Moderatel to the incubators. Supported A2 New A.2.N2 Omar R All incubators Marketing 1 3 Giza, 7 18 te y Effective Streamline the quality of Incubators Gharbya, the marketing material of Qena all USAID SEED supported incubators for better visibility After the capacity building we did in Year 2 to 34 TTOs across Egypt, SEED is planning in Y3 to choose the most efficient 6 TTOs to conduct a more demand driven Performan Not Not Not Not Not Not focused Technical TTO Cairo, Capacity 12/1/20 10/31/20 Comple Not Started Not Started Moderatel A2 ce A.2.10 Mohamed S ASRT Potential Started Started Started Started Started Started 2 2 Assistance in Workshops (3) Gharbya building 16 18 te Yet Yet y Effective Standard Yet Yet Yet Yet Yet Yet Commercialization, Technology Validation and operational efficiencies to promote for more technology driven and technology enabled start-ups and support systems

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 69 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Workshops Performan Not Not Not Not Not Not Not Nationwi Capacity 11/1/20 10/31/20 Not Started Not Started Moderatel Same intervention logic Delivered to A2 ce A.2.12 Omar R TIEC Scoping Started Started Started Started Started Started Started 2 2 de building 17 18 Yet Yet y Effective as TTO TIEC Standard Yet Yet Yet Yet Yet Yet Yet We have already developed one online Mobile App containing the Incubators directory. The second one that is Online Tool identified in the contract Performan Not Not Not Not Not Not Development Nationwi 3/1/201 10/31/20 Comple Not Started Not Started is not a promising idea, as A2 ce A.2.8 Mohamed S ICT Digital tools Scoping Started Started Started Started Started Started 1 1 Ineffective (Incubation- de 7 18 te Yet Yet there are other ways to Standard Yet Yet Yet Yet Yet Yet Related) outreach the incubators and entrepreneurship services in disadvantaged communities other than a mobile app, by increasing the capacities Component A will look at linking the online mentorship network to a Infomatch Performan Not Not Not Not Not Nationwi Under 10/31/20 Complet Comple Not Started Not Started mobile app tool. If not Mobile Tool A2 ce A.2.9 Mohamed S Digital tools Potential Started Started Started Started Started 1 1 Ineffective de assessment 18 e te Yet Yet feasible, Component A Development Standard Yet Yet Yet Yet Yet will look into releasing an RFP to call for new proposals Those are 5 training modules were developed to support the 3 pilot incubators chosen by USAID SEED project to Module Performan Not raise their efficiencies to Nationwi 10/1/20 1/31/201 Implementi Complet Comple Comple Comple Comple Development A2 ce A.2.7 Mohamed S Incubators Applicab Complete Complete Complete the international best de 17 8 ng e te te te te (1) Standard le practice levels, which in turn help the entrepreneurship ecosystem in Egypt. Intervention logic under development. MTI, MTI-Affiliated Performan MSMEDA, FEI, Entity Capacity Capacity 9/1/201 10/31/20 Implementi Intervention logic under A2 ce A.2.13 Cairo Amira EFSA, CEOSS, Building building 7 18 ng development Standard ERADA, Workshops (3) GAGS, NCW

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 70 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Facilitation of MOUs between FEDCOC, Commercial registration authorities, Tax authority and IDA to deliver core government registration services through TAMAYOUZ OSS. Assuit, Providing IT equipment Aswan, and software necessary Performan Bahaira , Not Not Not to upgrade existing Establish/Improv FEDCOC, 3/1/201 10/31/20 Implementi Comple Draft In Comple Draft In Draft In Highly B1 ce B.1.1 Mansoura Hassan G OSS Applicabl Applicab Started Complete 3 3 TAMAYOUZ OSSs. e OSS (9) IDA, FEI 7 18 ng te Process te Process Process Effective Standard , e le Yet Providing furniture and IT Qalubeya, equipment's and software Sohag necessary to establish new TAMAYOUZ OSS. On the job capacity building for OSS staff. 9 remain in performance standards, but unlikely to be accomplished due to structural constraints at government level. Consultants to provide TA to the Nilepreneur Initiative stakeholders in the form of the BDS Contractu Not Not Not Not Not MSMEDA, 4/1/201 10/31/20 Draft In Comple Not Started Not Started Moderatel development of a Certification B1 al B.1.3.N1 Cairo Basma BDS Scoping Started Started Started Started Started 2 2 CBE, NU, EBI 8 18 Process te Yet Yet y Effective certification program that Program Reference Yet Yet Yet Yet Yet helps business advisors offer efficient and impactful BDS, coupled with the relevant ToT. Performance standard, but work has not started Mobile Performan Not Not Not Not Not Not Not yet - likely to have low Nationwi Under 3/1/201 10/31/20 Not Started Not Started Technology B1 ce B.1.6 Basma Digital tools Potential Started Started Started Started Started Started Started impact but results chain de assessment 8 18 Yet Yet Tools (2) Standard Yet Yet Yet Yet Yet Yet Yet needs to be drafted. Intervention logic under development Contractu Non- Not Not Not Not Not Not Not Idea stage only - Nationwi MSMEDA, 6/1/201 10/31/20 Not Started Not Started BDS Scorecard B1 al B.1.3.N2 Basma financial Potential Started Started Started Started Started Started Started Intervention logic under de CBE 8 18 Yet Yet Reference services Yet Yet Yet Yet Yet Yet Yet development

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 71 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High 2 types - (i) specialized for specific value chains and (ii) general (Nilepreneur and CBE). Consultants to provide TA to build a business model for banks, Alexandri Kevin MSMEDA and others to a, Assuit, CBE, CEOSS, Kabunda, Establishment of Not Not Not Not Not establish BDS Hubs, as Aswan, ABA, AsBA, 4/1/201 10/31/20 Implementi Comple Not Started Not Started Highly Gordon BDS Centers B2 Indicator B.1.I1 Basma Digital tools Applicabl Applicab Started Started Started Complete 2 3 well as sectorial-focused Beni Suef, AswanBA, 8 18 ng te Yet Yet Effective Studebak (18) e le Yet Yet Yet BDS centers (model Cairo, MSMEDA, FEI er, Susan includes suite of services Menya Amat – service provision parameters and workflow – staffing & capacity building – budgeting – M&E – marketing plan). Matchmaking between FIs offering investment finance and MSMEs seeking seed/growth Investment Performan Not Not Not Not Not Not capital, facilitating Mohamed EIFA, BM, ABE, Investment 10/1/20 10/31/20 Implementi Comple Not Started Not Started Highly Linkage Forums B2 ce B.2.1.2 Cairo Applicabl Applicab Started Started Started Needed 2 3 engagement between Z BA linkage 16 18 ng te Yet Yet Effective (2) Standard e le Yet Yet Yet Yet suppliers of investment finance and MSMEs, including MSMEs operating within SEEDs strategic value chains Recruitment of consultants to support 11 QNB, FIB, UB, FIs (8 banks +3 MFIs) Financial HBD, ABA, with development of new Product Contractu Not Not Not Not Not Aswan, Mohamed EDB, IDB; Financial 9/1/201 10/31/20 Action Comple Not Started Not Started Highly financial products for Development B2 al B.2.7 Applicabl Applicab Started Started Started Complete 3 3 Cairo Z SEOS, AsBA, services 7 18 Planning te Yet Yet Effective MSMEs. Development of for MFIs and Reference e le Yet Yet Yet Fisherman's financial products which Banks Assn are geared towards MSMEs needs and capacities in Egypt Marketing Contractu 9/1/201 10/31/20 Comple Highly Campaign for B2 al B.2.8 Cairo Mohamed J CGC 3 3 7 18 te Effective CGC Reference Financial Contractu Nationwi 9/1/201 10/31/20 Comple Moderatel Literacy B2 al B.2.9 Mohamed J EFSA, FSI 2 2 No VFM calculation de 7 18 te y Effective Campaign Reference Provide consultants to develop training manual and train trainers at Performan EFSA, FSI, Banks and Financial Nationwi Mohamed Financial 10/2/20 11/1/201 Comple B2 ce B.2.3 Scoping 1 1 Ineffective MFIs on financial literacy. Literacy ToT de Z services 16 8 te Standard Coaching for the trained staff in the partner institution to provide financial literacy training.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 72 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Contract specialized research center to support the Egyptian Not Not Not Not Not Nationwi 1/1/201 10/31/20 Draft In Draft In Not Started Not Started Center for Public Policy SME Index B2 New B.2.5.N1 Hamed ECPPS Digital tools Scoping Started Started Started Started Started 1 1 Ineffective de 8 18 Process Process Yet Yet Studies (ECPPS) to Yet Yet Yet Yet Yet develop SME index and apply it in the Egyptian governorates. Capacity Performan Building GOE- 1/1/201 10/31/20 Action Intervention logic under B2 ce B.2.6 Cairo Amira EFSA Workshops to related 8 18 Planning development Standard EFSA (2) Recruitment of consultants to conduct a Strategic Plan and a three-year B.2.1.1. Mohamed Capacity comprehensive Business CGC Support B2 New Cairo CGC N1 Z building Plan for CGC‘s HR, Risk and Compliance and Guarantee Operations. Intervention logic under development RMG C.1.2.2. Establish Market Information systems (MIS) that capture and disseminate online databases of relevant stakeholders of Market Performan Not Not Not Not Not Not RMG value chains; Nationwi Under 11/1/20 10/31/20 Comple Not Started Not Started Highly Information C1 ce C.1.2.2 Wael Digital tools Scoping Needed Started Applicab Started Started Needed 3 2 especially MSME suppliers de assessment 17 18 te Yet Yet Effective System for VC2 Standard Yet Yet le Yet Yet Yet and large buyers to facilitate access to markets and matchmaking between sellers and buyers to increase income and employment of MSMEs C.1.3. Pipe Africa International Exhibition. This 3 days event is postponed to January 2018. USAID-SEED will support new MSMEs to MSME Buyers explore new markets by Conferences (1 Performan Not Not Not Not supporting MSMEs with Trade 11/1/20 3/31/201 Action Comple Comple Draft In Not Started Draft In Highly mandatory + 3 C1 ce C.1.3 Cairo Ahmed K FEI Needed Started Applicab Needed 3 2 50% of participation fees linkage 18 8 Planning te te Process Yet Process Effective additional Standard Yet Yet le Yet beside training provided planned) prior event to coach MSMEs to get max benefit out of the event. (3 exhibitions planned, in addition to 1 in progress to meet performance standard)

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 73 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High C.1.6. Conduct Sales and Marketing (Forward linkage) training for MSMEs in 5 VCs; Planned to (i) build the capacity of sector/industry associations facilitate the development of forward linkages by guiding MSMEs to access VCs, develop an online presence, create Backward and marketing materials, Forward Proposed FEI, utilize economics of scale Performan Not Not Not Not Linkage Training Alexandri Merghem Capacity 11/1/20 11/7/201 Implementi Comple Comple Not Started Highly in buying inputs, and C1 ce C.1.6 Ahmed K Applicabl Applicab Applicab Applicab Complete Complete 3 2 (1 mandatory + a, Cairo Plastic Industrial building 17 7 ng te te Yet Effective collective and Standard e le le le 2 additional Community independent marketing planned) and outreach and (ii) deliver technical and managerial training for 5 Value Chains (in addition to complete package tailored for automotive) to assist MSMEs in to produce good quality products, complying with large buyers requirements, for better MSMEs integration in VCs Support new MSMEs to explore new markets by supporting MSMEs with 50% of participation fees as well as training provided prior event to Additional coach MSMEs to get max Performan Not Not Not Not Not Buyers Trade 10/31/20 Action Comple Comple Not Started Not Started Highly benefit out of the event C1 ce C.1.N1 Cairo Ahmed K FEI 1/1/2-18 Started Started Started Started Needed 3 2 Conferences linkage 18 Planning te te Yet Yet Effective (3 exhibitions planned, Standard Yet Yet Yet Yet Yet (3+) other than 1 in progress to meet performance standard). Note this is not new as we have one deliverable remaining yet the team will conduct 3, which adds to a total of 4 Conduct a comprehensive study for technologies and Capacity applications required to Building PTC Alexandri 9/1/201 10/31/20 Comple Highly increase plastic semi- C1 New C.1.N3 Mahmoud PTC Plastics Potential 2 3 Technology a 7 18 te Effective finished and finished Center product localization through PTC-MTI by new technologies and applications transfers

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 74 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Dairy C.1.2.1. Establish Market Information systems (MIS) that capture and disseminate online databases of relevant stakeholders of Market Performan Not Not Not Not Dairy value chains; Gharbya, 8/1/201 10/31/20 Action Comple Comple Draft In Not Started Not Started Moderatel Information C1 ce C.1.2.1 Mahmoud KEF Digital tools Needed Started Applicab Needed 2 2 especially MSME suppliers Bahaira 7 18 Planning te te Process Yet Yet y Effective System for VC1 Standard Yet Yet le Yet and large buyers to facilitate access to markets and matchmaking between sellers and buyers to increase income and employment of MSMEs Plastics C.1.2.3. Establish Market Information systems (MIS) that capture and disseminate online databases of relevant stakeholders Market Performan Not Not Not Not Not from FEI in different value Nationwi 1/1/201 10/31/20 Comple Comple Not Started Not Started Moderatel Information C1 ce C.1.2.3 Ahmed K FEI Digital tools Potential Needed Started Applicab Started Needed 2 2 chains; especially MSME de 8 18 te te Yet Yet y Effective System for VC3 Standard Yet Yet le Yet Yet suppliers and large buyers in plastics to facilitate access to markets and matchmaking between sellers and buyers to increase income and employment of MSMEs Training and coaching (consultancy) to (5) large businesses in how to develop CSR programs Performan Cairo, that support building Under 4/1/201 10/31/20 Comple Moderatel CSR Initiatives C1 ce C.1.8 Alexandri Dalia E CSR Scoping 2 2 capacity of potential assessment 8 18 te y Effective Standard a, Assuit MSMEs suppliers, improved technology and allocate staff time to be integrated in supply chains of large buyers. RMG industry directory; Performan Digital Nationwi 1/1/201 10/31/20 Implementi Comple no online directory C1 ce C.1.5 Wael ETC RMG 1 1 Ineffective Directory RMG de 8 18 ng te currently exists for this Standard sector Design Matchmaking program to identify large buyers' requirements to match it with MSMEs available and/or potential FEI, Clorox, Matchmaking (9 Trade 9/1/201 10/31/20 Comple Moderatel capacities that includes; C1 New C.1.N2 Cairo Dalia E PTC, OEMs, Scoping 2 2 Events) linkage 7 18 te y Effective Subsector analysis (e.g. Export Council import substitution), MSMEs selection, evaluation and identify ca pacity building requirements

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 75 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Building capacity of FDC and creating linkages with Capacity RMG MSMEs. Helping Building Fashion 9/1/201 10/31/20 Comple Moderatel MSMES to include fashion C1 New C.1.N4 Cairo Wael FDC RMG Potential 2 2 and Design 7 18 te y Effective design within business Center model. Link to gender as this is highly focused on women entrepreneurs Deliver technical and managerial training for 5 Cairo, Value Chains in ISO9001 Capacity Kafr Capacity 9/1/201 10/31/20 Comple Moderatel & IATF, Sales & Building C1 New C.1.N6 Mahmoud ITC Potential 2 2 Elsheikh, building 7 18 te y Effective Marketing, Lean Trainings Fayoum Manufacturing, Strategic Management, and Supply Chain Management. Tamkeen Program - ITC - (One Village & One Product - Made In Egypt). Deliver technical and managerial training for 3 VCs (RMG. Dairy and Tamkeen Fishery) to train women Minya, Capacity 1/1/201 11/1/201 Draft In Capacity C1 New C.1.N.5 Mahmoud ITC Potential 2 to produce local Qalubeya building 8 8 Process Building products depending on their regions. Knowledge transfer for new products. VFM rating needs to be completed so overall rating may be calculated. Contracting the development company to deliver the platform. Cross- Contractu Concept Not Not Not Nationwi 8/15/20 10/31/20 Complet Draft In Comple Draft In Not Needed Highly Development of the MSME Platform Cuttin al Ismail MSMEDA Digital tools Developm Applicab Started Started Complete 2 3 de 17 18 e Process te Process Yet Effective MSMEs platform. Training g Reference ent le Yet Yet and capacity building for the MSMEDA to operate the platform.

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 76 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Provide 14 awareness sessions (twice a month in FEI premises) for around 200 to 250 participants / session for procurement officials in 9 GOE ministries with ―highest purchasing power‖ and 20 industrial champers on law 5 and its executive regulation in terms of how to apply and use efficiently. Developing a road map of activities to enrich a Marketing Outreach Campaign where SEED GOE counterparts and affiliated entities participate in advertising their services for rent, Avocation & and MSMEs thorough GOE Activation of Cross- Concept Not TV, Radio and social Ministries, Capacity 1/1/201 10/31/20 Complet Draft In Comple Comple Comple Draft In Not Highly GOE Law and Cuttin New EE.1.N1 Cairo Amira Developm Applicab Complete 3 3 media awareness. Industrial building 8 18 e Process te te te Process Applicable Effective Policy Related g ent le Activities to include on Chambers to MSMEs Law 5 certificate, FEI BDS and other BDS centers, central Bank BDS initiative, financial and non-financial services, OSS services such as commercial and Industrial licensing, other legal services through ERRDA and others. In line with law 5 awareness sessions, five B2B linkage forums for leasing ―non-financial tool‖ under EFSA will be coordinated in Federation of Egyptian Industries ―FEI‖. These forums are part of building capacity of EFSA and FEI. More events on factoring to take place afterwards. With component B- Technical assistance Cross- ABWA, other Not Not Not Not started /capacity building Women- GY.1.N Women & 1/1/201 10/31/20 Draft In Draft In Comple Draft In Not Started Highly Cuttin New Cairo Nashwa H potential Scoping Applicab Started Started Started 3 3 for the gender focus Focused BDS 1 youth 8 18 Process Process te Process Yet Effective g partners le Yet Yet Yet organization to establish women focus BDS/ with business and action plan

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 77 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Conduct PPD sessions with MTI, MSMEDA agency, MoF, Central bank, IDA and other MTI, GOE and private sector MSMEDA, affiliated entities on Organize Cross- MoF, Central Concept Not Not Not Innovation Inc.; Incentive- 1/1/201 10/31/20 Complet Comple Draft In Comple Draft In Not Started Cuttin New EE.1.N3 Cairo Amira Bank, IDA, Advocacy Developm Applicab Started Started 1 2 Ineffective Equipment and Marketing Focused PPD 8 18 e te Process te Process Yet g other GOE ent le Yet Yet Inc.; Land Allowance Inc. ; Sessions and private Industrial Inc.; R&D Inc.; entities Management & Technical Inc.; Infrastructure Inc.; Training Inc.; Financial Inc.; Gov. Procurement Inc.; Tax Inc. Analysis of Registration and licensing regulations of OSSs by: (i) Producing an inventory of regulations and laws Reform controlling the Cross- Ministry of Not Not Not Registration and Nationwi 1/1/201 10/31/20 Complet Draft In Comple Comple Not Started Not Started registration and licensing Cuttin New EE.1.N4 Amira Supply, related OSS Scoping Started Started Started 1 1 Ineffective Licensing de 8 18 e Process te te Yet Yet system in OSSs; and (ii) g Ministries Yet Yet Yet Services at OSS Comparison study between what is happening and what should happen include modifications and recommendations Review taxation and accounting system for ent. and start-ups by: developing an inventory of current system for Taxation and Cross- Not Not Not Not taxation and accounting Accounting Nationwi 9/1/201 10/31/20 Complet Comple Comple Not Started Not Started Cuttin New EE.1.N5 Amira MTI Advocacy Scoping Started Started Started Started 1 2 Ineffective procedures for ent. If System for de 8 18 e te te Yet Yet g Yet Yet Yet Yet exist. If not provide Entrepreneurs international practices as a reference. Agree on providing a unified financial statement for ent. and start-ups Work with relevant GOE entities to Simplify government Simplify procurement procedures Government Cross- Not Not Not Not Not for MSMEs, developing Nationwi 9/2/201 10/31/20 Complet Comple Not Started Not Started Procurement Cuttin New EE.1.N6 Amira MTI Advocacy Scoping Started Started Applicab Started Started 1 2 Ineffective inventory of current de 8 18 e te Yet Yet Procedures for g Yet Yet le Yet Yet system and suggest MSMEs modification to simplify procedures. Taken into account the new tendering law- 89 law Gender Cross- Concept Not Not Not Sensitive GY.1.N Under Women & 1/1/201 10/31/20 Complet Draft In Comple Draft In Not Started Moderatel Cuttin New Cairo Nashwa H Developm Applicab Started Started Complete 2 2 Financial 2 assessment youth 8 18 e Process te Process Yet y Effective g ent le Yet Yet Product

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 78 Basic Data Documents Value Strengt for h of Mone Logic y Start End Proble 1 = 1 = Link to STTA Resul Interventi Partner Conce Overall Intervention Numb Locatio Interventi Date Date m RIED Results Action Measurem Measurem Consulta Weak, 2 Low, SharePoi Notes Name ts Type on Organization Stage pt MOU Rating Name er n on Area (Actua (Target Definiti Screen Chain Plan ent Plan ent Record nt TORs = 2 = nt Files (s) Area Manager (s) Note l) ) on Moderat Mediu e, 3 = m, Strong 3 = High Gender Focused Implementation Cross- Not Organizations‘ Strategy of Gender- GY.1.N Alexandri ABWA, Women & 1/1/201 10/31/20 Implementi Complet Comple Comple Comple Draft In Draft In Draft In Moderatel Cuttin New Nashwa H Applicab Complete 2 2 and action plan Focused 3 a, Cairo BW21, NCW youth 8 18 ng e te te te Process Process Process y Effective g le developed, ready for Strategies implementation Capacity Building to Cross- Not Not Not Not Not Not Establish GY.1.N Women & 1/1/201 10/31/20 Comple Draft In Not Started Moderatel To further discuss with Cuttin New Cairo Nashwa H MSMEDA Scoping Started Started Started Started Started Started 2 2 Gender- 4 youth 8 18 te Process Yet y Effective MSMEDA g Yet Yet Yet Yet Yet Yet Focused Unit MSMEDA Train MTI and MSMEs Cross- Not Not Not Not Not agency on PPD Institutionalizati 1/1/201 10/31/20 Complet Comple Draft In Not Started Cuttin New EE.1.N2 Cairo Amira MSMEDA, MTI Advocacy Screening Started Started Applicab Started Started 1 1 Ineffective techniques to on of PPD 8 18 e te Process Yet g Yet Yet le Yet Yet institutionalize their PPD mandate. Coordinate with ERRADA and other relevant counterparts include MTI and MOI interested in RIA to Regulatory receive an applied training Impact Cross- Not Not Not Not Not on an existing law – in Nationwi GOE- 9/3/201 10/31/20 Complet Comple Not Started Not Started Assessment on Cuttin New EE.1.N7 Amira MTI Scoping Started Started Applicab Started Started 1 1 Ineffective this essence, conduct RIA de related 8 18 e te Yet Yet investment law g Yet Yet le Yet Yet on investment law to on MSMEs measure the impact on Trade and Industry for MSMEs and Ent. Hold consultation sessions, economic cost benefit analysis Cross- Not Not Not Not Not Not Idea stage only - M&E System for Nationwi Capacity 9/4/201 10/31/20 Complet Not Started Not Started Cuttin New EE.1.N8 Amira MSMEDA Potential Started Started Started Applicab Started Started Intervention logic under MSMEDA de building 8 18 e Yet Yet g Yet Yet Yet le Yet Yet development Mohame d Abdel Halim; Contractu Not Ashis MSMEDA GOE- 12/1/20 10/31/20 Action Draft In Intervention logic under al Cairo Hamed MSMEDA Started Complete Mohapat Restructuring related 17 18 Planning Process development Reference Yet ra; Sherif El Shoria; Matias Linder Cascaded ToT Cross- Contractu Trained Public Not trainings for Capacity 3/1/201 10/31/20 Implementi Complet Comple Comple Comple Comple Not Started Cuttin al EE.1.N9 Cairo Amira and Private Applicab Complete Complete 1 1 Ineffective public and building 8 18 ng e te te te te Yet g Reference organizations le private entities. Contractu Horizon 6/1/201 10/31/20 Implementi Intervention logic under Taissir Grant 1 al Cairo Hassan M Interactive Grants 7 18 ng development Hossam Reference Studio Contractu 6/1/201 10/31/20 Implementi Intervention logic under Taissir Grant 2 al Cairo Hassan M Yadawee Grants 7 18 ng development Hossam Reference Contractu 9/1/201 10/31/20 Implementi Intervention logic under Taissir Grant 3 al Cairo Hassan M Yoken Grants 7 18 ng development Hossam Reference

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U.S. Agency for International Development | Egypt www.usaid.gov

Quarterly Report / Strengthening Entrepreneurship and Enterprise Development (SEED) 80