الهيئة العامة للرقابة المالية

• The Authority has raised the maximum insurance coverage for micro-insurance activities to EGP 312,500

Dr. Mohamed Farid- FRA Chairman

• Continuous regulatory developments to achieve enduring business sustainability in the non-bank financial sector.
• The value of financing granted to micro-enterprises reached EGP 73.9 billion in the first 11 months of 2024

FRA Board of Directors chaired by Dr. Mohamed Farid, has issued Decrees No. 17 and 18 of 2025 to increase the maximum financing limit for micro-enterprises provided by companies, associations and NGOs and raising the maximum insurance coverage for micro-insurance activities to EGP 312,500, up from EGP 250,000, in light of addressing economic changes and implementing the Unified Insurance Law.

Decree No. 17 of 2025 stipulates an increase in the maximum financing granted by companies, associations and NGOs to micro-enterprises to EGP 266,000, up from EGP 242,000, representing a 10% increase over the previous maximum limit.

This aims to enable individuals and companies to access appropriate financing for starting or developing their businesses and enhancing their competitiveness. The amendment to raise the maximum financing limit also reflects a response to economic changes to counter the effects of rising inflation and provide appropriate financing to support the state’s economic development plan.

In parallel, the Authority has raised the maximum insurance coverage for micro-insurance activities to EGP 312,500, up from EGP 250,000, in light of considering economic changes and implementing the Unified Insurance Law, according to Decree No. 18 of 2025.

Prior to this, the Authority had promulgated Decree No. 268 of 2024, which increased the maximum insurance coverage for micro-insurance activities by 25%, establishing a limit of EGP 250,000, as mandated by Article 37 of the Unified Insurance Law, effective July 2024.

This decree aligns with FRA strategic objectives to develop and provide comprehensive financing, insurance and investment solutions tailored to all societal segments, fostering integration within non-bank financial activities and supporting the state’s financial inclusion agenda. Micro-insurance is considered an insurance service that protects a large segment of low-income individuals in society and enhances their ability to invest in medium, small and micro-enterprises, in addition to being a developmental tool that has repercussions on the level of the macro-economy.

Dr. Mohamed Farid, FRA Chairman emphasized that Law No. 201 of 2020, which amended provisions of Law No. 141 of 2014 concerning microfinance regulation, empowers  FRA’s Board of Directors to adjust maximum micro-enterprise and individual financing limits in response to evolving economic conditions. This decree comes from the Authority’s keenness to develop the rules regulating non-bank financial activities to achieve business sustainability, especially in the micro-finance sector, given its important role in providing the appropriate financing to individuals and institutions according to the nature of the activity and the size of the project.

Dr. Farid further noted that the value of financing provided by companies, associations, and NGOs for micro-enterprises reached EGP 73.9 bn in the first 11 months of 2024, benefiting 3.1 m individuals. The value of outstanding financing balances at the end of November 2024 alone amounted to EGP 61.4 bn.