الهيئة العامة للرقابة المالية

• This decree builds upon the existing regulatory framework for the Unified Insurance Law and seeks to address the needs arising from practical implementation
• Insurance and reinsurance companies have been granted a one-time extension to submit their financial statements to the Authority by March 13, 2025

FRA Board of Director chaired by Dr. Mohamed Farid, has issued Decrees No. 256 and 273 of 2024 to enhance the regulatory framework for private insurance funds, insurance companies, and reinsurance companies. These decrees aim to streamline the implementation of the Unified Insurance Law, which became effective in July 2024.

The said decrees align with the requirements that have emerged from the practical application of the previous regulations, given the varying fiscal year start and end dates among Egyptian and foreign companies. This has led to delays in certain company procedures over the past periods.

Specifically, Decree No. 256 of 2024 mandates that the fiscal year for private insurance funds commence on January 1^st  and conclude on December 31^st  of each year, effective from January 1^st , 2025.

The decree mandates that private insurance funds with a fiscal year commencing on July 1^st  shall prepare transitional financial statements for the period from July 1, 2024, to December 31, 2024, including comparative figures for the corresponding period from July 1, 2023, to December 13, 2023. These statements must be prepared in accordance with Egyptian Accounting Standards, audited by the Fund’s independent auditor and approved by the Fund’s General Assembly. These statements must include comparative figures for the corresponding period from July 1, 2023, to December 13, 2023. Furthermore, the funds are required to prepare annual financial statements for the period from January 1, 2025, to December 13, 2025, and comparative figures for the corresponding period from January 1, 2024 to December 13, 2024.

Additionally, FRA’s Board of Directors issued Decree No. 273 of 2024, establishing the fiscal year for insurance and reinsurance companies as commencing on January 1^st and ending on December 31^st . This decree mandates that these companies shall prepare quarterly financial statements beginning in 2025, with comparative figures from the corresponding period of the preceding year, adhering to Egyptian Accounting Standards. Company’s auditor must audit these statements. Companies have been granted a one-time extension to submit statement of financial position as of March 13, 2025.

Furthermore, the decree mandates that companies subject to its provisions prepare annual financial statements for the period from January 1, 2025, to December 31, 2025. These statements must include comparative figures from 2024, be audited by the company’s auditor, approved by the general assembly and submitted to the Authority within the specified timeframe.

The Authority is committed to develop the insurance industry and expand insurance coverage. Since the enforcement of the Unified Insurance Law in July 2024, the Authority has proactively issued several decrees to ensure that insurance companies operate in full compliance with the law.