Egypt’s Financial Regulatory Authority (FRA) has approved the establishment and licensing of six new companies, a significant move set to enhance the country’s non-banking financial services landscape. The approvals span critical sectors including real estate investment funds, factoring, investment fund management, and real estate finance.
This strategic decision by the FRA is part of a broader effort to support the development of non-banking financial activities and diversify the base of service providers available in the Egyptian market, fostering greater competition and innovation.
Key Approvals Granted
The FRA’s committee for establishment and licensing granted approvals to a mix of established players and new ventures. Notably, fintech platform Thndr and proptech firm Nawy, through its Nawy Shares Fund Company, received licenses to operate real estate investment funds. They are joined by Awaed Investment Fund for Real Estate Investment Company in the same category.
In the factoring segment, which provides liquidity solutions to businesses, BFI Cash Company was licensed and registered to begin operations.
The committee also expanded the mandate of Okaz Asset Management, allowing it to add investment fund management to its scope of services. Additionally, EFG Financial Solutions Company, part of the prominent EFG Holding, secured a license to operate in the real estate finance sector, signaling a push for more long-term financing options in the property market.
A Strategic Push for Market Growth
These approvals were issued by the FRA’s Committee for the Establishment and Licensing of Companies, a body established in 2023 to oversee the entry and operation of companies in the non-banking financial sector.
The committee is responsible for not only approving the establishment and licensing of new companies but also for handling requests to add new activities, open or close branches, and process liquidations or temporary suspensions. This centralized oversight aims to streamline regulatory processes and encourage structured growth within the sector.
About the Financial Regulatory Authority
The Financial Regulatory Authority (FRA) is the primary government body responsible for supervising and regulating non-banking financial markets and instruments in Egypt. Its mandate includes capital markets, insurance, mortgage finance, financial leasing, factoring, and microfinance. The FRA works to ensure market stability and protect the rights of investors while promoting a competitive and transparent financial environment.
Source: Zawya
