Proparco has invested €15m in Egyptian educational group Tiba, which manages six private institutions with a capacity for 20,000 students.

Proparco has invested in Tiba Group to support the development of accessible facilities alongside Abraaj Group’s investment fund, which is dedicated to North Africa (ANAF II).

This equity investment is Proparco’s second equity operation to support education in North Africa since 2011.

In late 2012, Proparco invested €2m in the Superior School of Engineering and Technology (Esprit), which is today Tunisia’s largest private school in terms of student numbers (4,000).

It is also its third investment with the ANAF fund in the region.

In 2014, Proparco invested $15m to support the creation of a regional health network in Egypt and Tunisia.

Similarly, in 2011, Proparco , alongside ANAF I, made a €5m equity investment in Unimed, a Tunisian pharmaceutical company specialized in manufacturing generic drugs.

“This operation by Proparco fits in with the commitments made by the public authorities to support democratic transitions in the Arab world and with the aim of strengthening relations between France and countries in the Mediterranean region,” Proparco said in a statement.

Tiba Group was set up by Dr. Seddick Afifi in 1990 and is one of the main actors in private education in Egypt.

It has some 20,000 students, from primary to higher education, and comprises schools (Thebes International Schools, TIS), two higher technical education centers (Integrated Thebes Academy, ITA) and a university.

Education has been one of the pillars of development in Egypt since the major social reforms of the 1950s-1960s.

However, the country’s population growth and economic difficulties have seriously affected its education system, which is today under pressure and inefficient.

With 82 million inhabitants, Egypt is the most populous country in the Arab world and the third most populous country in Africa.

It is also one of the youngest countries, with almost one person in two under 14.

This natural wealth – “human capital” – is an asset, but also one of Egypt’s main challenges: integrating this youth, socially, professionally and economically, requires massive investments in their education – from primary education to university, including technical education – in order to give them the baggage they need.

“The uprising of Egypt’s youth in 2011 demonstrated the risk of dispensing with this, as well as the aspirations of this youth for dignified living conditions, and decent jobs and incomes. The need is all the more pressing because over one in four Egyptians live below the poverty line. In addition, every year, population growth pushes 650,000 young people onto a saturated labor market,” Proparco said.

Despite the financial and economic deterioration in Egypt, but also in Tunisia, which have been mired in uncertain political and social contexts since the Arab Spring, Proparco has maintained its commitment in these two countries.

Proparco’s objective is to “contribute to the emergence of responsible private players who create employment, help strengthen social cohesion, and improve the quality of life of communities.”