الهيئة العامة للرقابة المالية

FRA Halts New Consumer Finance and Microfinance Licensing Applications for Another Year – Thursday 12 November 2026

FRA Board of Directors chaired by Dr. Islam Azzam, has decided to extend the freeze on applications for incorporation, preliminary incorporation approvals, and operating licenses for companies seeking to operate in consumer finance or microfinance sectors for another year, through October 11, 2027.

Issued under FRA Board Decision No. 213 of 2026,

the extension also applies to applications from non-governmental organizations (NGOs) and civil foundations seeking to conduct microfinance activities, freezing new submissions until October 11, 2027.

This move continues the implementation of FRA Board Decision No. 184 of 2024, which initially halted the acceptance of traditional incorporation and licensing applications in the consumer finance and microfinance sectors. The extension comes as part of the Authority’s commitment to maintaining the financial stability of non-banking financial activities (NBFIs), based on its assessment of market needs, activity volume and the quality of services provided to clients.

Separately, a one-year freeze remains in place on new incorporation and licensing applications for FinTech-based consumer finance firms under FRA Board Decision No. 43 of 2026. The suspension runs through February 25, 2027, with an option for renewal.

FRA Approves 10 Companies to Offer Non-Bank Financial Services Using Fintech –  Thursday 12 November 2026

• Approvals boost digital transformation across factoring, microfinance, asset management, securities brokerage and custodian activities.

Financial Regulatory Authority (FRA), chaired by Dr. Islam Azzam, has granted approvals to 10 companies to conduct several non-banking financial activities (NBFIs) using financial technology (FinTech). Approvals issued through Fintech Committee. This move aligns with FRA’s ongoing efforts to expand the beneficiary base of these services, support digital transformation and enhance financial, investment, and insurance inclusion.

The approvals include granting Misr Life Insurance approval to conduct its operations using FinTech through VLens for digital verification, as well as approving BAM Asset Management to carry out its licensed activities via FinTech through Valify Solutions.

Additionally, the Authority approved Halan Securities Brokerage to utilize FinTech for its licensed activities and mechanisms through VLens. It also granted approval to MNT-Halan (MNT Tech Holding for Financial Investments) to conduct custodian activities using FinTech through the same verification provider, alongside HC Securities & Investment which received approval to perform custodian services via VLens.

Regarding FinTech startups, FRA licensed Nice Deer Financial Solutions to conduct factoring activities using FinTech through VLens, and licensed Dayra Microfinance as a FinTech startup to operate through Digified for Digital Identity Verification Solutions.

The approvals further covered Azimut Egypt Asset Management to use FinTech in conducting custodian activities through Lumen Soft, in addition to approving AF Securities Brokerage and HC Brokerage to conduct their licensed activities and mechanisms via FinTech through VLens.

FRA grants these approvals within its constitutional and legal mandate to regulate and supervise non-banking financial markets and instruments—including capital markets, futures exchanges, insurance, mortgage finance, financial leasing, factoring, and securitization—as well as licensing companies operating in these sectors, whether through traditional methods or FinTech solutions

FRA Hosts Workshop for AML/CFT Officers at Regulated Entities – Wednesday 11 November 2026

• Raising corporate awareness of the latest Customer Due Diligence (CDD) procedures issued by the Egyptian Money Laundering and Terrorist Financing Combating Unit (EMLCU).

Financial Regulatory Authority (FRA),  chaired by Dr. Islam Azzam, hosted a workshop for AML/CFT Compliance Officers at regulated entities. The workshop aimed to introduce the updated Customer Due Diligence (CDD) procedures issued by the Egyptian Money Laundering and Terrorist Financing Combating Unit (EMLCU) last September, as part of ongoing efforts to strengthen compliance with regulatory controls.

Dr. Islam Azzam stated that FRA’s recently issued Circulars No. 5, 8, and 10 of 2026 outline key obligations to ensure the implementation of CDD measures. These measures achieve full integration between the objectives of the EMLCU and FRA in raising awareness of emerging fraud and money laundering patterns, as well as enabling early risk detection—particularly by updating companies’ internal policies and identity verification forms.

At the outset of the workshop, Mr. Hamdy Badawy, Assistant to Chairman, emphasized the importance of adhering to these controls to prevent the exploitation of non-banking financial activities (NBFIs) in illicit practices, thereby bolstering market confidence. He highlighted the necessity of complying with relevant regulations aligned with international frameworks governing financial activities, international and regional Financial Action Task Force (FATF) bodies and their mandates, as well as the stages of inspection and verification—from detecting suspicious activity to taking the necessary corrective measures.

Presented by Ms. Maha Kanz, Head of the Central Department for Anti-Money Laundering and Combating the Financing of Terrorism, the workshop reviewed major regulatory updates. These include adding ongoing transaction monitoring to CDD procedures and emphasizing the continuous, periodic updating of client data and information. Such measures enhance financial institutions’ ability to track transaction patterns, flag unusual operations and address potential risks.

The workshop also covered the core pillars of Customer Due Diligence, primarily identifying and verifying identities of clients and beneficial owners, screening negative lists and applying a risk-based assessment and management approach tailored to the nature of the clients, activities and transactions executed by financial institutions.

Participants were briefed on employee-related requirements, including integrity and competence (“fit and proper”) screening both upon hiring and continuously throughout their employment. Additionally, institutions must apply standard CDD procedures to their own employees whenever they apply for any of the company’s products or services.

Furthermore, the session reviewed requirements for Client Acceptance Policies, which must be documented, approved by the Board of Directors and reviewed at least once every two years or whenever necessary. The policy must define targeted client segments based on risk assessments, alongside mechanisms for third-party reliance, the conditions required for dealing with third parties and the limits of such dealings.

The presentation also addressed procedures for financial groups, underscoring the importance of applying consistent AML/CFT controls across all subsidiaries, as well as tailored procedures for insurance institutions that account for the specific nature and risks of insurance products and services.

The workshop concluded by stressing the vital role of AML/CFT officers at FRA-regulated entities in adhering to the new updates, aligning internal policies and procedures accordingly, enhancing internal monitoring and control systems and raising employee awareness of AML/CFT requirements.

Notably, FRA will continue to organize similar workshops sequentially for entities under its supervision to reinforce compliance with AML/CFT standards across the NBFI sector, mitigate risks, maintain market stability, and protect stakeholders’ rights.