Global markets are currently witnessing a state of confusion, in light of geopolitical conflicts on one hand and trade wars on the other, which poses a major challenge to various sectors of the economy, especially the non-banking financial sector. Therefore, the Financial Regulatory Authority is working on implementing many plans and strategies to provide a favorable environment for the growth and protection of this sector, and enhance its competitiveness, by preparing the legislative environment, technological empowerment, expanding the umbrella of financial inclusion, and developing awareness.

 In this context, Canada Egypt Business Council and the Egyptian Business Council held a forum entitled: “Financial Supervision Plans in the Face of Global Market Challenges” featuring; Dr. Mohamed Farid; Chairman of Financial Regulatory Authority.

In his opening remarks, Mr. Motaz Raslan; chairman of CEBC and ECIC started his speech mentioning that there is a Chinese proverb that says (any time is the right time) so it was necessary to adopt effective plans and strategies early to develop non -bank financial markets and build a strong financial sector open to the outside world, so the observer for the performance and plans of the Financial Supervision Authority touches the size of the efforts made to prepare the climate and the appropriate environment to support this sector.

Where a national strategy for the non -banking financial sector was adopted aimed at improving the rates of financial inclusion, increasing the competitiveness of the national economy and its attractiveness to foreign investments, strengthening the legislative framework for this sector and other efforts. But despite all these measures and efforts that have contributed greatly to supporting the economy, there are many challenges that are still facing this sector, including pursuing financial technology, artificial intelligence applications and risks that may threaten customers in addition to maintaining market stability in light of technological development and successive economic and political crises. Then the floor was given to Dr. Mohamed Farid; Chairman of Financial Regulatory Authority.

Dr. Mohamed Farid stated that the digital transformation and sustainability is one of the main axes of the Development of the General Authority for Financial Supervision, for non -banking financial markets with the aim of expanding the base of beneficiaries of the financial services provided by them, explaining that the authority continues in its role in formulating and designing policies and plans and issuing the necessary regulations to ensure the stability of markets and non -banking financial institutions while working on Developing and developing markets and protecting the rights of all dealers.

He stressed that the development of the development body in the non -banking financial sector focuses on enhancing the levels of integration between non -banking financial activities to enhance the efficiency and competitiveness of the markets, as for example the insurance sector witnessed important developments, on top of which is the issuance of the Unified Insurance Law No. 155 of 2024.

He explained that the Unified Insurance Law represents a comprehensive legislative framework encompassing four laws that regulate the insurance sector. He noted that the law takes into account all global developments and practices, aligning with the vision of the Egyptian state and its development goals, particularly in enhancing insurance inclusion levels. He emphasized the critical importance of developing traditional business models that no longer effectively achieve the necessary targets and the need to facilitate a real transformation in these models, relying more on technology to make the required advancements in the sector and to maximize the benefits derived from it in supporting the national economy.

Dr. Farid pointed out that the commission obligated the companies operating in the insurance sector to raise the minimum for the issued and paid -up capital in two stages within two years in implementation of the provisions of the Unified Insurance Law issued in July 2024, and in accordance with enhancing the financial solvency of companies and improving their ability to secure greater dangers paid with a strong capitalist rule that contributes In enhancing the levels of financial stability for the insurance sector, and then support efforts to increase the levels of inclusion Insurance, and the decision enables companies to contract and use the latest software and information systems that enable them to provide the best possible service, as well as increasing the company’s ability to fulfill its obligations to the documentation campaign.

Dr. Farid stressed the need for insurance companies to invest intensively in qualifying and developing the capabilities of professionals to create cadres capable of raising the efficiency and competitiveness of the activity, especially insurance brokers, explaining that the rehabilitation of professional cadres and enhancing the use of technological applications is essential elements to achieve greater levels of insurance inclusion.

Dr. Farid also pointed out that the commission issued Resolutions No. 140 and 148 of 2024 regarding the development of the rules for registration and deletion of securities on the Egyptian Stock Exchange, and to amend the decision of the Board of Directors of the Authority No. 11 of 2024, which regulates the process of registration and circulation of shares of companies with the purpose of acquisition (SPAC), which resulted in the establishment of the first company in this regard.

In a related context, the head of the Financial Supervision Authority stressed that according to the latest decisions of the authority, the minimum capital of the non -banking financing sector companies has become 75 million pounds, other than real estate financing at a value Obtaining a license from the commission to practice two microfinance financing activity or consumer financing in traditional methods, for a year. To renew.

Then the floor was open for ECIC & CEBC guests to ask questions, and the minister was actively addressing their inquiries.