الهيئة العامة للرقابة المالية

• FRA affirms its ongoing commitment to support fast-growing startups and entrepreneurs, in line with its vision for market stability and investor protection.
• The platforms engaging in this process are Nawy, SAFE (an affiliate of Madinet Masr for Housing and Development) and Sakr (owner of Fareeda).
• FRA highlights that the comprehensive integrated regulatory framework for FinTech has been completed, thereby acting as a pivotal Launchpad to facilitate the efforts of all startups and entrepreneurs aiming to offer innovative, digital non-bank financial services.
• FRA met with real estate developers and e-platforms to understand their business models and guide them on the regulatory and legislative requirements for legalizing their status. This initiative aims to protect clients and support the stability of legitimate businesses.
• The e-platforms have already initiated their transition to operate under investment fund regulations, with feasibility studies already submitted to the Authority.

Three leading real estate e-platforms, Nawy, SAFE (affiliated with Madinet Masr for Housing and Development) and Sakr (owner of Fareeda), have submitted formal requests to FRA to regularize their operations. Each platform has begun establishing two entities: one to launch a real estate investment fund, and another to obtain the necessary licenses for promotion, underwriting and fund management activities.

FRA convened a series of meetings with key stakeholders. These discussions are part of FRA’s ongoing commitment to foster effective dialogue and issue regulations that genuinely benefit non-bank financial sectors and activities under its supervision. The Authority’s core objectives remain safeguarding consumer rights, ensuring market stability and verifying the solvency and professionalism of service providers.

FRA’s recent meetings convened key figures from the real estate development sector and owners of online platforms that sell real estate shares to the public. During these discussions, FRA presented its regulatory vision, ensuring alignment with the non-bank financial laws it enforces for non-bank financial activities and services. Ultimately, the real estate fund model was adopted as the most legislatively optimal and realistic approach. This model effectively addresses the real estate market’s need for diversified funding, while offering individuals investment products that enable secure participation in the sector, underpinned by strong governance and protection.

FRA recently launched an ambitious and bold initiative aimed at enhancing stability and discipline within the non-bank financial markets while protecting investor rights. This initiative arose from FRA’s observation of various entities and social media pages inviting the public to invest in stocks, offer financing products and conduct other non-bank financial activities without obtaining the necessary licenses, thereby violating non-bank financial laws.

Following these observations, a series of meetings were held between representatives from FRA’s legal and technical departments and those from the identified entities. The purpose of these meetings was to verify their business models and inform them of the legislative and regulatory requirements needed to legalize their status and offer their services appropriately. Subsequently, FRA began publishing a regularly updated negative list which includes entities and pages operating in violation of non-bank financial laws.

FRA highlights that this positive engagement from companies underscores a growing recognition of the crucial role legal frameworks play. It also signals their willingness to operate under regulatory oversight which allows them to offer structured and monitored services, ultimately safeguarding the rights of all stakeholders.

 The Authority reaffirms its dedication to this proactive and regulatory approach, aiming to maintain market stability and protect consumers. This, in turn, boosts confidence in non-bank financial activities and services. FRA once again invites all companies to assess their business models and, if needed, take steps to legalize their operations.