Fintech Startup ”Qardy” Seeks FRA License for Direct SME Financing, Surpasses EGP 1.5 Billion in Facilitated Loans
Egyptian fintech startup Qardy, which specializes in connecting micro, small, and medium enterprises (MSMEs) with financial institutions, is currently seeking a license from the Financial Regulatory Authority (FRA) to practice direct SME financing. This move will allow the company to deploy its own capital and participate directly in funding businesses alongside traditional lenders.
Abdelaziz Abdel Nabi, Founder and CEO of Qardy, explained that the company currently operates strictly as a digital matchmaking platform. Securing the FRA license will enable Qardy to transition into a co-financing model, deploying its own funds alongside its financing partners in specific transactions.
During a televised interview with media figure Lamees El Hadidi, Abdel Nabi noted that post-licensing, Qardy aims to participate in funding through syndicated loans and aggregated deals involving multiple financial entities.
"For example, if a company requires EGP 10 million in funding, Qardy could contribute EGP 2 million directly, while another partner financial institution provides the remaining EGP 8 million, helping businesses secure their financial needs faster and with greater flexibility," Abdel Nabi stated.
Operational Scale and Financial Metrics
Since launching in mid-2023, the platform has facilitated a substantial volume of transactions. The table below outlines Qardy’s key operational metrics and current market presence:
MetricCurrent Status / Figure
Facilitated Loan PortfolioOver EGP 1.5 Billion
Registered Companies~6,000 Companies
Active Clients~600 Clients
Financial Institution Partners14 Entities (Banks, Leasing, and Factoring firms)
Standard Loan Ticket SizeEGP 200,000 to EGP 15 Million (Exceptions up to EGP 60 Million)
Business Model and B2B Focus
Qardy operates entirely on a B2B model, focusing exclusively on MSMEs that possess a valid commercial register and tax card. Abdel Nabi emphasized that the company does not target individual retail lending or the consumer finance sector.
The platform's application service is completely free for SMEs seeking financing; Qardy acts as a digital storefront for financial institutions, generating its revenue from the lending entities rather than the borrowers. The platform's internal system automates client onboarding, initial filtering, credit evaluation, and document preparation, providing partner banks with ready-to-process files.
Bridging a $50 Billion SME Funding Gap
Highlighting the massive potential in the Egyptian market, Abdel Nabi pointed out that the funding gap for MSMEs exceeds $50 billion.
Qardy aims to solve the chronic issue of lengthy loan approval cycles. While securing a commercial loan directly from a traditional financial institution can take anywhere from 6 to 9 months, Qardy's automated ecosystem reduces the expected timeline to between 1.5 and 3 months. Instead of preparing separate files for multiple banks, an SME can reach 14 financial institutions simultaneously through a single application.
Furthermore, the startup has developed a proprietary internal credit scoring system. Partner financial institutions can leverage these assessment results to expedite their own credit risk studies, significantly reducing the time and effort required for businesses to secure appropriate financing solutions.