الهيئة العامة للرقابة المالية

• After the Grace Period Ends… Non-banking financial Institutions banned from dealing with unregistered Debt Collection Companies.

• FRA currently reviewing registration requests from more than 30 debt collection firms.

FRA Board of Directors chaired by Dr. Islam Azzam, has issued Resolution No. 139 of 2026, granting non-banking financial entities an additional six-month grace period to align with new regulatory standards. Under the Resolution, the extended deadline will now expire on January 22, 2027. Once this period concludes, non-banking financial institutions (NBFIs) will be strictly prohibited from dealing with any debt collection agencies that are not formally registered in FRA’s newly established activity registry. This extension aims to provide market participants with adequate operational flexibility to fulfill compliance requirements, ultimately curbing unregulated practices and enhancing market oversight.

Under Board Resolution No. 278 of 2025, FRA has officially approved the registration of two debt collection firms, while actively reviewing applications from more than 30 additional companies seeking authorization to operate in the market.

Applicant companies are required to submit complete corporate data – including their legal structure, primary business purpose, corporate headquarters, executive officers, legal representatives and official contact channels to enable seamless verification of licensed entities.

 Additionally, these companies must submit formal requests with supporting documents, including the company’s Articles of Association, audited financial statements and prior collection service contracts. FRA will review and decide upon applications within 30 days of receiving complete documentation.

Debt collection companies must take a recognized commercial corporate form, explicitly list debt collection among their corporate objects, maintain a minimum issued and paid-in capital of EGP 10 million (or foreign currency equivalent), and hold minimum equity of EGP 20 million.

In cases where the EGP 20 million minimum equity requirement is not met, the applicant must have actively engaged in debt collection activities for at least three consecutive years prior to applying, provided that equity does not fall below paid-in capital under any circumstances.

To tighten market oversight and safeguard consumer rights, the Resolution obligates non-banking financial institutions to notify their clients of contracted collection agencies, provide verification methods for collectors’ identities and outline official communication channels. NBFIs are also required to monitor client complaints regarding collection agencies and implement necessary corrective actions.

Furthermore, the new Resolution grants FRA Chairman the right to impose appropriate administrative measures in the event of regulatory violations by registered companies. These measures range from formal warnings and temporary suspensions to permanent de-registration, ensuring full compliance and protecting consumer interests.