Egypt is increasingly trying to position itself as a place where global capital can invest, and Visa has been reported to be genuinely interested in Egypt. According to an article in the Egyptian Gazette, Visa’s representatives met with a group of governmental officials to discuss increasing the amount of available investment capital in Egypt through additional investments by Visa. Furthermore, Cairo is being considered as one of the regional hubs for digital innovation within the region, particularly in financial technology, which aligns with Visa’s interest in investing and supporting digital transformation initiatives in Egypt. Overall, the discussions between Visa and the Egyptians reflect a desire for Egypt to have a greater role in the global economy through increased financial technology use.
The timing is worth noting because earlier this year, Visa announced a new sub-region that will cover Egypt, Libya, and Sudan, which is a part of its larger growth strategy and a way for Visa to help support the digital transformation priorities throughout the entire market. Additionally, Visa appointed Malak El Baba as the country manager of Egypt, Libya, and Sudan, which was intended to not only improve execution within the three countries but also help build stronger relationships between the banks, fintech companies, and retailers in those three countries.
This change is more than just a basic reshuffle of the organization because it has significant strategic implications. According to Visa, this reorganization will both bring Visa closer to its customers and key stakeholders and facilitate the growth of Visa’s commercial and digital payment solutions offered to clients throughout this region. Visa has been operating in this region for 40 years and has been instrumental in the connection of consumers to businesses, financial service providers, and also the government in over 200 countries and territories around the globe.
For the country of Egypt, this appeal is obvious. The ability to process digital payments in today’s world has evolved from being simply a matter of convenience at the point of sale to becoming a fundamental element of the infrastructure of the economy. Digital payments are becoming more closely tied to the concept of financial inclusion, the ability of merchants to adequately grow their business, and the modernization of commerce in day-to-day life. The establishment of a Visa hub in Cairo would not only create a solid foundation for Visa’s continued growth in the region but also further establish Egypt’s position on the rapidly changing map of digital finance within North Africa and beyond.
In an age when nations vie with each other to prove their level of ability to conduct and participate in digital activities (compared to their overall physical location), there’s a straightforward yet significant idea being discussed in terms of Egypt/Visa collaborating with each other, i.e., the future investment may not only be used for building factories and buildings but also for developing the “invisible tracks” that enable money, trust, and trade to flow smoothly between countries.
