الهيئة العامة للرقابة المالية

FRA Releases Private Funds’ Performance Report 2024 – Thursday 11 December 2025

• Private Insurance Funds recorded total investments of EGP 168.1 Billion by the end of 2024, a substantial increase from EGP 133.7 Billion in 2023.
• Collected premiums across the sector demonstrated robust growth, expanding by 20% throughout 2024.
• The report outlines the legislative evolution of the Funds’ activity from 1975 up to the issuance of the first Unified Insurance Law.

Financial Regulatory Authority (FRA) releases its annual report detailing the 2024 Performance of private insurance funds. This move highlights FRA’s pivotal role in bolstering insurance sector transparency and supplying accurate data essential for boosting market efficiency and strengthening stakeholder confidence. Serving as a core reference, the report tracks the Funds’ financial and investment trends, making it a vital tool for informing policy-making and enhancing governance and insurance protection across Egypt.

The report features the latest financial indicators and business results for the fiscal year ended December 31, 2024, highlighting the growing performance of Private Insurance Funds. These Funds are recognized as a key mechanism for social protection and a vital long-term savings and investment vehicle, offering optional insurance benefits and financial support to members. This contributes significantly to enhancing the financial and social stability of individuals and their families. The Funds are subject to rigorous supervision by FRA, ensuring compliance with best international practices to guarantee both sound asset management and robust financial stability.

Through the report, FRA tracked the performance evolution of the Private Insurance Funds, parallel to its ongoing efforts to develop this crucial sector. The Authority seeks to expand the scope of beneficiaries to include new segments currently without insurance coverage. Concurrently, FRA is working to enhance and diversify the investment instruments available to these funds, thereby reinforcing their role as institutional investors that support the national economy and maximize returns for their members.

The report features a comprehensive review of the legislative path governing Private Insurance Fund activity, commencing with Law No. 54 of 1975, progressing through subsequent amendments to the Executive Regulations and governance rules and culminating in the Unified Insurance Law No. 155 of 2024. This new law unifies the legal framework for all insurance activities under one umbrella and dedicates an integrated chapter to regulating Private Insurance Funds, thereby superseding the previous legislation.

The Unified Insurance Law marks the first comprehensive legislation for the sector, which was previously governed by four separate laws. This milestone represents a crucial step toward bolstering regulation and digitization, promoting FinTech and significantly expanding the reach of insurance services to a broader base of beneficiaries.

The year 2024 also witnessed the issuance of a package of regulatory decisions, including updated governance controls and new rules for asset investment. Funds with assets exceeding EGP 500 million are now mandated to prepare financial statements in accordance with Egyptian Accounting Standards. FRA also regulated the selection criteria for board members, mechanisms for registration and de-registration, and amendments to basic systems, while defining mandatory percentages and controls for the investment of fund assets across diverse financial instruments.

To view the full report (click here).

FRA Issues Key Directives to Enhance Regulation of MSME Finance – Thursday 11 December 2025

• FRA issued four key resolutions designed to increase transparency, prevent money laundering and safeguard stakeholders.

Dr. Mohamed Farid:

• The Authority is fully committed to regulate all non-banking financial markets to effectively improve Egypt’s ranking in international indices.
• FRA is striving for enhanced transparency, robust stakeholder protection and sustained sector stability and growth.
• The resolutions mandated that MSMEs finance entities must comply with AML laws.
• Financing companies must periodically report comprehensive data on clients, complaints, financing, locations, credit limits and performance metrics.

FRA Board of Directors chaired by Dr. Mohamed Farid issued four new resolutions. These resolutions aim to strengthen the regulatory and organizational framework for MSMEs finance. This action is part of FRA’s strategy to comprehensively develop the non-banking financial sector, thereby positively impacting all stakeholders in the non-banking financial markets.

Resolutions No. 243 and 244 of 2025 targeted entities operating in the microfinance sector, including companies and civil society institutions. These entities are now subjected to AML law, in addition to being required to submit multiple periodic regulatory reports.

Furthermore, resolutions No. 245 and 246 of 2025 mandated entities (companies and civil society institutions) that finance small and medium-sized enterprises (SMEs) to issue periodic regulatory reports, including monthly, quarterly and annual submissions.

Dr. Mohamed Farid, FRA Chairman affirmed that subjecting MSME financing entities to the Anti-Money Laundering Law will reduce money laundering risks. This, in turn, supports transparency, guarantees consumer protection, and solidifies stability and growth of this vital sector.

He added: “The Authority will not hesitate to monitor all non-banking financial markets, as this is a key step toward achieving Egypt’s goals for enhancing the national economy. Improving Egypt’s ranking in international indices, especially economic indicators and sovereign credit ratings, is an indispensable necessity.”

FRA Chairman explained that the new reports will provide the Authority with a more in-depth view of the quality of financing portfolios and service distribution. This will enhance its ability to assess systemic risks and implement preventative measures to protect the market.

The Authority required all MSME financing entities to submit a series of monthly disclosures. This includes reports covering operational performance, geographic reach, financial solvency, electronic transactions, human resources demographics, credit limits granted, mandatory insurance activities and corporate governance (board/key functions).

The four resolutions also stipulated the issuance of quarterly reports, which include the Quarterly Performance Report, the Customer Geographical Distribution Database Report and the Report on Companies’ Contribution to “Decent Life” Initiative (Hayah Kareema). Furthermore, an Annual Follow-up Report and a semi-annual report including Customer Complaints Register are required.

Earlier, FRA revoked the licenses of approximately 518 Category (C) NGOs and civil society institutions after they violated the legal and regulatory controls governing the activity. This followed continuous inspection operations carried out by FRA on entities under its supervision, as part of its market efficiency enhancement strategy.

The inspections revealed that these civil society institutions had completely failed to practice their intended activities or provide any financing services to the targeted groups. Moreover, they consistently refrained from submitting periodic reports and financial statements, which prevented the Authority from assessing their financial positions and monitoring their performance.

The Authority approved these amendments in response to the digital transformation that is reshaping the non-banking financial sector and all its operating entities. This regulatory evolution aligns with Egypt’s Vision 2030, which aims to expand the base of financial services beneficiaries and enhance data quality to support informed decision-making.

FRA and World Bank Discuss Regulatory Framework and Legislations of MSME Finance – Wednesday 10 December 2025

• The two parties reviewed the first Basel III-compliant solvency standards and the structural challenges facing financing entities.
• Discussions focused on promising opportunities to enhance the business environment following the launch of FRA Regulatory Sandbox.

Financial Regulatory Authority (FRA) held a broad meeting with the World Bank representatives to review current regulatory capabilities, legislative pathways and regulatory standards for NBFIs financing MSMEs, NGOs and startups, aiming to boost the efficiency of non-banking finance.

The meeting underscores FRA’s efforts to enhance international cooperation, strengthen the regulatory framework and increase the readiness of NBFIs to meet rapid developments and production sector needs.

The meeting, which included FRA leaders, technical staff and Central Bank of Egypt (CBE) representatives, featured in-depth discussions on recent core regulatory reforms, notably: capital and solvency requirements, innovation/digital transformation and consumer protection/transparency.

The discussion covered FRA’s new requirements for minimum capital and licensing standards for Non-Banking Financial Institutions (NBFIs), especially those financing Micro, Small, and Medium Enterprises (MSMEs).

FRA officials emphasized that these requirements are crucial for raising financial solvency, strengthening institutional sustainability and balancing financing expansion with market stability and consumer protection.

The discussion also covered the structural challenges NBFIs face in meeting financing needs of these sectors, in addition to addressing existing financial inclusion gaps.

Furthermore, the meeting explored opportunities to enhance the business environment following the launch of FRA Regulatory Sandbox – a strategic platform that fosters innovation by allowing companies to test new digital solutions within a safe, balanced and risk-managed regulatory environment.

FRA officials reviewed business models adopted by licensed FinTech companies, including the use of Artificial Intelligence (AI) for risk management, improving client experience and designing innovative, project-specific financing products.

Discussions included technical aspects of FRA Board Resolution No. 137/2025 regarding the first-of-its-kind Basel III-aligned solvency standards, which aim to strengthen the financial positions of NBFIs, enhance their resilience against risks and ensure financial discipline and market stability.

The importance of the Responsible Pricing Index was also discussed, as it promotes transparency, financial disclosure, data quality and governance. The index serves as a comprehensive benchmark for financing rates across all licensed entities, empowering clients to make accurate and transparent financing decisions via FRA’s website.

This cooperation with the World Bank aligns with FRA’s vision to strengthen international partnerships, support the development of non-banking finance sector and enable its active contribution to sustainable economic growth and financial inclusion.