الهيئة العامة للرقابة المالية

Mandatory Credit Checks for Specific Cases: FRA Issues Risk Management Standards for Individual Insurance Policies – Saturday 18 July 20

Dr. Islam Azzam – FRA Chairman:

• Developing underwriting standards protects policyholders’ rights and boosts insurers’ risk management efficiency.
• Companies are now required to report all cases of fraud immediately … three-month grace period to align with the new regulations.

Financial Regulatory Authority (FRA) has introduced mandatory credit checks for individuals applying for life insurance policies valued at EGP 10 million or above, including foreign currency equivalents. This upgrade to standard risk assessment frameworks is designed to enhance institutional decision-making and provide superior protection for policyholders.

The directive was issued under FRA Chairman Resolution No. 2036 of 2026, titled “Risk Management Standards for Underwriting Individual Life Insurance Operations.” Recently published in the official gazette (Al-Waqa’i’ al-Misriyya), the resolution grants insurers a three-month grace period to comply, effective from July 16.

The Resolution updates the risk management standards previously issued under Circular No. (8) of 2024. It further obligates companies to conduct credit checks through licensed credit bureau agencies if a client’s income, profession, or job title does not align with the sum assured or the required premium payments, as well as in cases where the legitimacy of the insurance application is suspect.

Additionally, it requires companies to verify the identity of the insurance applicant and the authenticity of the submitted documents, obtain accurate data regarding their medical and financial status and establish internal policies and systems to detect unusual patterns in insurance applications. Companies must also analyze instances of repetitive insurance coverage for the same risks to aid in the early detection of fraud or deception, thereby enhancing risk management efficiency.

The resolution further requires insurers to build systems that ensure a policy’s coverage amounts and income levels align with the company’s historical benchmarks for similar risk profiles in the insured’s geographical area. Companies must also track recurring risks and conduct comprehensive reviews to verify application legitimacy, mitigating the threat of underwriting fraud.

Dr. Islam Azzam, FRA Chairman stated that the quality of risk assessment is a fundamental pillar for the success of insurance activities. He noted that the underwriting standards set by FRA play an essential role in boosting companies’ efficiency in proactively monitoring risks and curbing fraud, which ultimately protects policyholders and ensures that insurance coverage is directed to those entitled to it based on sound technical principles.

In this context, he explained that the Resolution requires companies to immediately report any instances of fraud or deception discovered during the life insurance underwriting process. Furthermore, insurers must integrate these new standards into their mandatory underwriting policies, in line with the sector’s legislative and regulatory framework.

Dr. Islam Azzam reaffirmed the Authority’s ongoing commitment to finalizing the regulatory framework for the insurance sector, in alignment with the Unified Insurance Law No. 155 of 2024. This initiative is designed to stimulate corporate innovation, diversify product offerings and develop underwriting strategies, thereby enhancing sector’s appeal and competitiveness while driving national economic prosperity.

FRA and Accountability State Authority Sign MoU to Enhance Regulatory Integration and Achieve National Objectives – Friday 17 July 2026

• A milestone experience-sharing agreement between the two bodies representing Egypt at the helm of the world’s highest international regulatory organizations: IOSCO and INTOSAI.

Dr. Islam Azzam – FRA Chairman:

• The MoU establishes a permanent coordination framework to elevate regulatory efficiency and drive Egyptian economic competitiveness.
• Cooperation will be driven by joint consultative committees, capacity-building programs and aligned Egyptian stances in international forums.

Counselor Mohamed El-Faisal – President of the Accountability State Authority:

• We closely observe international auditing standards, placing governance principles at the forefront of our shared objectives.
• This partnership will boost the impact of Egypt’s global presence and significantly advance professional practices.Dr. Islam Azzam, FRA Chairman and Counselor Mohamed El-Faisal Youssef, President of the Accountability State Authority (ASA), have signed a Memorandum of Understanding (MoU) to bolster institutional cooperation in regulatory, supervisory and technical fields. This partnership aims to elevate the efficiency of the oversight ecosystem and develop non-banking financial markets in line with corporate governance and transparency principles. The agreement aligns with the state’s directive to maximize integration among its institutions, support economic development and achieve the objectives of Egypt Vision 2030.

The signing comes at a pivotal moment, as both entities currently represent Egypt at the helm of the world’s most prestigious international regulatory bodies. Egypt, represented by the ASA, holds the presidency of the International Organization of Supreme Audit Institutions (INTOSAI). Concurrently, FRA chairs the Growth and Emerging Markets Committee (GEMC) of the International Organization of Securities Commissions (IOSCO) and serves as the Vice Chair of the IOSCO Board. This dual global leadership enhances the projection of Egypt’s regulatory vision among peer authorities and deepens coordination on issues of global interest.

Dr. Islam Azzam emphasized that this cooperation extends FRA’s ongoing coordination efforts with state institutions, rooted in the constitutional and regulatory mandates of both the Authority and the ASA. He noted that FRA plays a pivotal role in regulating and developing non-banking financial activities by building a modern legislative and regulatory framework. This framework has driven market growth, expanded financial inclusion and bolstered the capacity of financial institutions to support the national economy.

FRA Chairman highlighted FRA’s active participation over recent years in developing the legislative landscape governing the non-banking financial sector. The Authority has issued the necessary executive and regulatory decisions to implement these laws in a manner that fosters innovation, expands the financial inclusion beneficiary base, and safeguards the rights of market participants.

He explained that immediately following the signing, FRA will begin activating the agreed-upon cooperation mechanisms. This will include holding regular coordination meetings, forming joint working groups, consulting on legislative and regulatory developments, implementing capacity-building programs, collaborating on forward-looking risk assessment studies and aligning Egyptian stances in international forums.

Dr. Islam Azzam added that FRA maintains a firm policy of transforming MoUs and cooperation protocols into actionable and measurable work programs that deliver tangible value to the markets and institutions under its supervision. He noted that collaborating with the ASA is a practical step toward cementing an advanced model of integration between Egyptian regulatory bodies, particularly given their strong leadership positions in major international organizations.

For his part, Counselor Mohamed El-Faisal Youssef, President of the Accountability State Authority, stated that this cooperation marks the beginning of extensive activities and comprehensive, strategic institutional coordination between the two sides to serve the state’s highest interests, match its future aspirations and protect the national economy.

He added that in exercising its mandates, the ASA closely observes international auditing standards to keep pace with rapid technological and accounting advancements. He stressed the importance of international integration between the two sides within INTOSAI and IOSCO to solidify Egypt’s impactful global presence, foster mutual knowledge sharing and cooperate in drafting proactive visions that enhance the resilience of regulatory institutions.

Furthermore, he emphasized that the anticipated close cooperation will positively reflect on the efficiency of professional practices, early detection of risks and threats, and regulatory precision to safeguard economic stability. It will also maximize benefits derived from exchanging national expertise and global best practices to build capacities and enhance institutional readiness.

The MoU establishes an institutional mechanism for continuous coordination through the exchange of expertise and technical knowledge, consultation on legislative and regulatory updates, capacity building and forward-looking risk assessment studies. It also covers coordination in relevant international forums to facilitate the transfer of global best practices to the Egyptian market, contributing to the development of supervisory and oversight tools in accordance with international standards.

The memorandum mandates holding periodic meetings and forming joint technical committees and working groups to study matters of mutual interest. It outlines cooperation in the fields of corporate governance, risk management, compliance, promoting integrity and transparency, and protecting the rights of market participants, while strictly maintaining the confidentiality of exchanged information in accordance with the legal frameworks governing both entities.

FRA Attracts 7,480 Applicants for Annual Summer Internship Program – Wednesday 15 July 2026

Dr. Islam Azzam – FRA Chairman:

• The training program provides a dynamic work environment that bridges the gap between academic theories and practical real-world experience.
• Developing young talent is a fundamental pillar for enhancing non-banking financial activities and driving sector efficiency.

Financial Regulatory Authority (FRA) has announced the official launch of its 2026 Summer Internship Program for Egyptian university students. The initiative is a core part of FRA’s strategy to promote non-banking financial literacy, develop youth capabilities and prepare students for the labor market by offering hands-on training across the Authority’s various sectors. Ultimately, the program aims to cultivate a new generation of skilled professionals capable of driving the development of the non-banking financial sector.

The program drew an unprecedented response this year, with applications surging to 7,480 students—more than double the number of applicants registered last year. This remarkable growth reflects a rising interest among the youth in non-banking financial activities and their eagerness to gain practical expertise in the field.

Dr. Islam Azzam, FRA Chairman emphasized that the Authority places a high priority on investing in human capital and equipping young talent for the job market. He noted that the summer internship program is part of an integrated framework implemented by FRA to spread financial literacy and raise awareness among young people regarding the vital role non-banking financial activities play in supporting the national economy.

He added that the Authority is committed to expanding its financial literacy initiatives by bridging the gap between classroom theory and real-world application. This is driven by digital platforms like “I Invest,” alongside specialized training programs tailored for university students.

FRA Chairman further pointed out that the steady increase in the number of young individuals participating in the capital market and investment funds underscores the need to redouble training efforts. Providing accurate concepts and reliable information is crucial to enhance their ability to make sound, well-informed financial and investment decisions.

Dr. Islam Azzam reaffirmed that the practical training provided by the Authority enables students to closely observe its regulatory and organizational functions. It allows them to engage in a genuine work environment that fosters the development of their practical skills, effectively bridging the gap between academic curricula and the requirements of the labor market.

As part of the program, the Authority organized foundational awareness lectures for 441 trainees, followed by qualifying exams taken by 333 candidates. Ultimately, 228 interns were selected to undergo hands-on training within FRA’s various sectors, divided into three consecutive batches with each group completing a comprehensive one-month training cycle.

The program targets university students specializing in disciplines directly aligned with economics, statistics and financial operations. These include Accounting, Insurance, Actuarial Science, Finance, Computers and Information Technology, Mass Communication, Public Relations and Legal Studies. This multi-disciplinary approach ensures that students maximize the benefits of their practical training and seamlessly connect it to their theoretical curricula.