الهيئة العامة للرقابة المالية

Mohamed Farid – FRA Chairman:

• Market stability, robust regulatory frameworks, effective risk management, financial technology and climate finance initiatives are key topics to enhance the role of exchanges in comprehensive  development

Dr. Mohamed Farid, FRA Chairman and Vice Chair of the IOSCO Board and Chair of the Growth and Emerging Markets Committee (GEMC) participated in IOSCO Board meeting in Madrid, Spain.

The meeting included a presentation by Chair of the CER on the Committee’s 2024-2025 risk report. The presentation highlighted three key trends shaping the risk outlook: digital technology, market dynamics, and climate and sustainable finance. Additionally, the Affiliate Members Consultative Committee (AMCC) presented its market report which focused on regulatory disclosure requirements, operational resilience and investor risks arising from potential misunderstandings of transition finance and sustainability.

Dr. Farid, Vice Chair of the IOSCO Board emphasized FRA’s commitment to market stability and investor protection. He highlighted the Authority’s efforts to create a favorable environment for non-bank financial institutions, aiming to achieve financial stability, inclusion, and robust regulatory frameworks. Additionally, Dr. Farid underscored the importance of collaborative efforts to enhance financial stability, promote sustainable finance, and develop effective regulatory frameworks to address emerging financial technology issues within capital market.

On the other hand, Chair of Fintech Task Force (FTF) provided an update on the team’s recent activities, including advancements in artificial intelligence. The presentation also highlighted the board’s directives on data encryption to strengthen security measures.

Regarding sustainable finance, Chair of the IOSCO Sustainability Task Force presented the final report on voluntary carbon market practices and transition plans. This included an analysis of the IAASB standards aimed at ensuring sustainability, as well as plans for cooperation with the World Bank and participation in the upcoming UN Climate Change Conference (COP29) in Baku , Azerbaijan.

In this context, Dr. Farid emphasized the importance of the Voluntary Carbon Market as a step towards achieving carbon neutrality, inviting the private sector to contribute to climate action. He added that the market offers new investment opportunities and fosters the development of sustainable finance products. Also, Dr. Farid highlighted market’s commitment to governance standards, ensuring high levels of integrity and transparency. He pointed out that the Authority’s multi-dimensional approach, combining regulation, guidance and market development, complements this effort. Mandatory climate risk disclosures for non-bank financial institutions, aligned with TCFD standards, are part of the Authority’s regulatory framework. This includes reporting on climate-related risks, opportunities, and governance structures.

Egypt, represented by Dr. Mohamed Farid, FRA Chairman, has been re-elected to lead the GEMC, the largest Committee within the IOSCO that represents over 75% of the IOSCO’s ordinary membership, for the 2024-2026 term.

The GEMC is the largest committee within IOSCO, comprising over 90 members and 24 associate members, including major emerging economies and G20 members.

IOSCO is the world’s leading international organization of securities regulators, with nearly 95% of securities regulators worldwide as members. It works to ensure fair, transparent, and efficient markets and effective risk management.