الهيئة العامة للرقابة المالية

• FRA has raised the maximum investment portfolio for youth aged 15 to 40,000 Egyptian pounds, up from the previous limit of 10,000 pounds. The new regulations allow an annual increase of 10% in the investment limit.
• This decree aligns with Egypt’s Civil Status Law No. 143 of 1994, amended in November 2022, which stipulates the issuance of national ID cards at the age of 15.
• FRA aims to enhance financial inclusion and empower youth by making it easier for them to invest in listed securities.
• The new regulation mandate that securities companies shall provide educational resources and awareness programs to empower young investors with the knowledge and skills necessary for informed investment decisions.

FRA Board of Directors has issued Decree No. 286 of 2024 amending decree no. 23 of 2023 and allowing youth aged 15 and above to invest in the Egyptian Exchange. This amendment aims to encourage young people to invest their funds through secure financial channels with amounts that are commensurate with current economic conditions.

The decree permits youth aged 15 to 21 who possess a national ID card to invest in the Egyptian Exchange. This is an expansion from the previous age limit of 16. Investments are limited to funds earned from their own work or received for personal expenses. Additionally, 18-year-olds who have obtained permission from their guardians, a court, or have legally acquired funds to manage their own finances can also participate, subject to the legal provisions stipulated in the Civil Law and Guardianship Law.

FRA Board of Directors has set a maximum investment portfolio limit of EGP 40,000 for individuals within the specified age group, an increase from the previous limit of EGP 10,000. These investments are restricted to buying and selling of listed securities on the Egyptian Exchange and exclude specialized activities such as margin trading and short selling. The Board reserves the right to increase this limit by up to 10% annually.

FRA Board of Directors, in accordance with the latest amendment to the Civil Status Law No. 143 of 1994, issued in November 2022, which mandates that all Egyptian citizens aged 15 must apply for a national ID card within six months of reaching this age, has authorized youth aged 15 to 21 who possess a national ID card to invest in the Egyptian Exchange. The maximum investment limit for this age group has been set at EGP 40,000.

The said Decree mandates that securities brokerage firms, portfolio management companies, and investment funds shall issue a specialized guide for those young investors. This guide must specifically outline the benefits of investing in the Egyptian Exchange, including direct buying and selling, investing in portfolios managed by licensed companies and investing in mutual funds.

Decree no. 23 of 2021 previously permitted youth aged 16 to 21 to invest in the Egyptian Exchange. These investments were limited to funds earned from their own work or received for personal expenses. Additionally, 18-year-olds who had obtained permission from their guardians, a court, or had legally acquired funds to manage their own finances were also eligible to invest in the Exchange, subject to the legal provisions stipulated in the Civil Law and Guardianship Law.

This decree aligns with the Authority’s ongoing efforts to expand access to non-bank financial services, promote financial inclusion among youth, and facilitate their investments in listed securities. It aims to enhance financial literacy among young people of various ages by introducing them to non-bank financial activities and the benefits of investing in them