الهيئة العامة للرقابة المالية

• The new approvals expand the use of FinTech and support the growth of startups.

Financial Regulatory Authority (FRA), chaired by Dr. Islam Azzam, has granted six companies approvals to operate via financial technology (FinTech). This decision aligns with the Authority’s ongoing efforts to expand the beneficiary base, support digital transformation, and promote the integration of technology and financial inclusion.

The approvals include the establishment of Valu for Small and Medium Enterprise (SME) financing as a FinTech startup. Additionally, approval was granted to CFH and Beltone Securities Holding to provide custodial services utilizing FinTech solutions, facilitated through V-Lens for electronic verification (e-KYC).

Furthermore, FRA licensed Cairo Capital Securities and Al Ahly Pharos Securities Brokerage to engage in securities trading through FinTech applications, also via V-Lens. These moves aim to enhance trading efficiency and keep pace with digital advancements in the Capital Market.

In the same context, the Authority granted preliminary approval for Orient Insurance to join FRA-Sandbox (Regulatory Lab). Their project focuses on using technology for remote inspection and damage assessment in the motor insurance sector, reflecting FRA’s commitment to foster innovation and adopt technological solutions within the insurance industry.

FRA issues these licenses within its constitutional and legal mandate to regulate and supervise non-banking financial markets and instruments. This oversight spans capital markets, futures exchanges, insurance activities, mortgage finance, financial leasing, factoring, and securitization, as well as the incorporation and licensing of companies operating within these sectors.

Incorporation and licensing decisions are issued based on the recommendations of Incorporation and Licensing Committee. This Committee is responsible for reviewing and issuing preliminary and final approvals for companies, processing requests for additional activities and mechanisms, and managing the opening, closing, or relocation of branches. It also oversees amendments to corporate statutes, approves employee incentive and reward schemes, manages transitions between regulatory frameworks for securities and consumer finance firms, and reviews requests for liquidation or voluntary temporary suspension of activities.