Consumer finance is a type of finance that allows consumers to purchase goods or services without having to pay the full amount upfront. Instead, the consumer agrees to pay for the purchase in instalments over a period of not less than 6 months. Such payments are typically provided through commercial payment cards, or through other methods approved by the Central Bank of Egypt. It is only deemed to be consumer finance when its installed over 6 months or more. it is often marketed as a convenient and affordable way to shop, and it has become increasingly popular in recent years.

In Egypt, the consumer finance market is still in its early stages, but it is growing rapidly. The non-banking consumer finance market in Egypt is estimated to be worth EGP 40.3 billion as of March 2023.

The growth of the consumer finance market is being driven by a number of factors, including:

• The increasing demand for consumer credit from Egypt’s growing middle class.
• The government’s efforts to promote financial inclusion and expand access tocredit.
• The increasing availability of funding for non-banking financial institutions.

The consumer finance market is expected to continue to grow in the coming years. The market is expected to reach EGP 50 billion by 2025. Here are some of the key benefits of consumer finance to consumers in Egypt:

• Convenience: consumer finance can be a convenient way to purchase goods or services, as it allows consumers to get items they want without having to wait for a credit card to arrive or for a loan to be approved.
• Affordability: consumer finance can be an affordable option for consumers, as it often comes with lower interest rates than traditional credit cards.
• Flexibility: consumer finance can be a flexible option for consumers, as it allows them to choose the repayment terms that work best for them.

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