With a first-place finish, Yara Ebeltagi, finance major with a minor in economics; Malak Elshennawy, finance major with a minor in economics and mathematics; and Joudy Aly, business and entrepreneurship major, made AUC proud at the Arab Fintech Challenge held at GITEX Dubai 2023. Creating an app called 'Mini Money' that incentivizes youth financial literacy, their project was selected out of international teams from across the region for its capacity to go beyond traditional savings methods and motivate youth with a unique rewards system. 

The students began this startup project as part of the Entrepreneurship and Innovation course taught last spring by Moataz Darwish '95, associate professor of practice in the Department of Management at the School of Business and team mentor. 

"The entrepreneurship project is a cornerstone in this course, with a clear learning outcome of generating a world-class experiential learning experience for students and equipping them with a mix of academic rigor and relevant  practical tools to help them succeed in the outside world," said Darwish. "The students were trained on all aspects of designing an entrepreneurial venture, from framing a customer problem to designing and prototyping a business model to delivering a powerful pitch. The process is very demanding and requires a variety of pedagogical techniques, including experiential workshops, case studies, guest speakers, investor assessment simulation, one-on-one coaching as well as personality and entrepreneurial tests and simulations with support from AUC's Career Center and Eonomics Behavioral Lab."

The Arab Fintech challenge is a competition powered by Fintech Egypt, initiated by the Central Bank of Egypt and sponsored by the EG Bank MINT incubator.

Hear some thoughts from the team about the project, collaborative aspects and the competition process:

Yara Elbeltagi 

“Our collaborative journey in shaping our FinTech solution was enriched by the diverse personalities within our team. Dr. Moataz's endorsement of these differences proved to be a success, as they seamlessly enhanced our decision-making process. 

Joudy is the most practical of us, always thinking rationally, Malak is extremely analytic and focuses on the details, always making sure our information is backed, and I felt like I brought forward the creative angle that helped bring our idea to life. 

Since developing the idea initially, these distinct strengths enabled clear communication and efficient development, allowing us to develop Mini Money in synergy. 

Joining the regional competition unlocked a plethora of opportunities for us. To begin with, we gained an internship at Mashreq Bank which was extremely eye-opening and offered us hands-on exposure to the job market. We also got the opportunity to join a three-month FInTech incubation program organized by MINT by EG Bank. Networking was and still remains a great benefit from our participation; we continuously meet professionals and individuals who serve as mentors and give us real advice based on their experiences as well as unlock new opportunities for us."

Malak Elshennawy

“Although the three of us were majoring in either finance or entrepreneurship, our knowledge about FinTech was limited, having been recently declared. Still, our brief moment of hesitation did not stop us from competing, because we have always been committed to succeeding in everything that we did. More importantly, our professor believed in our abilities and urged us to compete. 

Our winning FinTech startup, the Mini Money gamified app with an embedded wallet, is designed to help parents track their children’s spending, increase their financial literacy and give them benefits whenever they save up, such as discounts at their favorite gaming store.  We were continuously changing and updating the app based on feedback from parents, bankers, venture capitalists and AUC faculty. Innovation is a continuous process, and over time, our startup has prospered and changed with help from all these mentors who have changed our perception of both the problem and the feasibility of our solution."

Moataz Darwish, faculty mentor

“The main problem the students tackled in this project was the lack of financial literacy among the youth population. Generally speaking, children don't have an efficient way to track or manage their spending, let alone savings. They possess a limited grasp of the importance of responsible financial management. 

Through the team's Mini Money project, youth will be able to monitor their spending and be incentivized to save through the gamified app experience. The app helps prepare the future generations in financial prudency and efficient financial decision making. The project also serves  parents by helping them  monitor and mentor their children's finances. The solution also signifies the contribution that AUC aims to provide by preparing its students to tackle sizable problems in the Egyptian and emerging markets  with innovative tech and business model endeavors. 

This project was enabled by the tremendous support we receive from the School of Business and the entire AUC community. Nothing is more rewarding to me than to realize my life mission in mentoring and coaching my students to realize their potential and enhancing AUC’s positioning in Egypt and beyond.” 

The Egyptian economy has faced many challenges in recent years, including a two-time devaluation of the Egyptian pound, soaring inflation and a foreign-exchange crunch, which has resulted in restrictions on credit usage in foreign currencies. 

What does the economic landscape look like in Egypt right now, and what can we expect moving forward? We spoke with Ahmed Abou-Zaid, professor of economics at AUC, to learn more.

The Central Bank of Egypt has recently banned the use of debit cards abroad and restricted credit usage for transactions in foreign currencies.  Why has it taken such steps?

Central banks across the world adopt various targets and objectives, ranging from price stability and high employment to fostering economic growth. In the case of the Central Bank of Egypt, its current primary focus is maintaining stability in the foreign exchange market. Recent decisions made by the CBE, such as banning the use of debit cards for foreign currencies, serve as a reflection of the foreign currency shortages Egypt is currently suffering from. The Central Bank aims to stabilize the market by retaining a significant portion of foreign currency within the country's borders. Recently, there have been reports of individuals being sent to foreign countries with numerous debit cards to withdraw dollars from their Egyptian pounds’ accounts. This practice has resulted in a substantial decline in Egypt's foreign reserves, worsening the existing problems.

What does this signify?

Egypt's focus on foreign exchange market stability, while confronting foreign currency shortages and inventive practices to access foreign currency, underscores the importance of prudent Central Bank policies to safeguard the country's economic well-being. These measures are pivotal in addressing the challenges posed by capital flight and depletion of foreign reserves.

Do you expect another devaluation? If so, approximately when?

Given the current state of Egypt's foreign reserves, it's evident that the price of the U.S. dollar in the black market has surpassed EGP 42, which represents a considerable premium of approximately 10 pounds over the official exchange rate. Given these conditions and in the context of Egypt's agreement with the International Monetary Fund, there is a strong likelihood of another devaluation occurring by January 2024. This impending devaluation should be seen in the broader context of Egypt's economic challenges and its commitment to agreements with international financial institutions like the IMF.

How do you foresee people's cost of living and general expenses being affected amidst the current economic conditions? 

Two recent currency devaluations, sluggish wage growth, limited economic subsidies and a rapid population growth, have contributed significantly to a notable decline in the living standards of the Egyptian population. The elevated value of the U.S. dollar has played a major role in raising the cost of imported goods, the majority of which encompass essential products, such as food and medicine, as well as crucial inputs for manufacturing and agriculture.

Should we expect inflation to rise?

Official data published by the Central Bank underscores a consistent upward trend in inflation over the past two years, averaging at around 40%. With another devaluation on the horizon, it's a straightforward projection that prices will continue to surge, given that foreign components or inputs are integral to nearly every product in Egypt.

What do you foresee for the Egyptian economy through the end of this year? Into next year? In the long term?

Forecasting the trajectory of Egypt's economy is an easy task as it depends on multiple factors. In the short term, the foremost concerns include persistent inflation and depreciation of the Egyptian pound, posing significant challenges that will lead to higher prices and lower standards of living. 

Looking ahead to the mid and long term, Egypt's economic prospects can be enhanced through the implementation of a range of policies, such as attracting foreign investments, managing population growth, advancing infrastructure projects and adopting sustainable practices. By strategically employing these measures, Egypt can chart a path toward economic improvement and sustainability in the coming years.

What advice would you give to people living in Egypt to cope with these challenging conditions?

A very difficult question, but what I can think of is “work hard and budget wisely”. 

The Tomorrow’s Leaders Gender Scholars (TLS) program welcomed its third cohort of students from various academic backgrounds. Through the program, the students apply a gender lens to their areas of study, engage in civic engagement activities, pursue professional development opportunities and give back to their communities.

“We have selected students who have shown great potential to become gender-sensitive leaders on campus and in their communities in the future,” said Helen Rizzo, associate professor, sociology unit head and TLS academic director.  

Initiated two years ago, TLS  is a joint effort between AUC,  U.S. Department of State and Bureau of Near Eastern Affairs. It grants a one-year scholarship to current AUC students who have leadership potential and are interested in studying and incorporating gender across academia as well as the public and private sectors.

This year's recipients are keen to embark on their academic journey.

“When I heard about the opportunity of applying to a scholarship that provides knowledge about gender and also equips us with all that we need to be agents of change, I felt like it’s calling me," said Amina Boudah, psychology major and a member of the third cohort. "Being in something bigger than myself, spreading awareness of gender issues and reaching policymakers are things  I’ve visualized and manifested my whole life.” 

Just like their predecessors, the current cohort will undertake projects in civic engagement and mentored research, attend a series of specialized workshops covering various aspects related to gender, and organize TLS and Tomorrow’s Leaders events on campus.

“TLS for me is a chance to outgrow my gender biases,  challenge them and  absorb cultures that I haven't witnessed before," Boudah reflected.

Graduates of the program also testify to its impact.

"TLS played a major role in shaping my perspective of major issues going on in my academic and social life. In doing so, this scholarship has helped me become a better learner, leader and an overall better human," said Moustafa Sherif, TLS graduate and biology major.

As part of their initial activities this year, students engaged in team-building exercises, an introduction to gender studies, and discussions about emotional intelligence and types of leadership. 

“Being with good company unleashes your abilities and can break barriers you've been trying to overcome for a long time,” said Hammad Omar, electronics and communications engineering major and a member of the third cohort. 

In addition to exploring gender themes, the program also connects students to different networking opportunities, such as attending international and national conferences, where they can engage with a wider community of specialists. It also gives them the chance to interact with civil society organizations working in the field of social development with a gendered lens.

“Gender awareness and advocacy for gender justice are critical to the development of our students, who will be future leaders. We are confident we have a strong cohort in place and are looking forward to working with them over the course of the next year,” said Fatemah Farag, TLS associate director and Tomorrow's Leaders senior gender coordinator.