Regulatory Alerts2023-01-01
Decision of the Board of Directors of the Authority No. (93) for 2023
The General Authority for Financial Supervision issued Decision No. 93 of 2023 to amend the licensing framework for medium and small enterprise financing companies by mandating a minimum paid-up capital of seventy-five million Egyptian pounds (or foreign currency equivalent). Licensed entities must align their financial status within one year of the decision's effective date, with the Board authorized to grant a two-year extension upon receiving valid justifications. The regulation takes effect the day following its publication in the Egyptian Gazette and on the Authority's electronic website.
Egyptian Gazette – No. 91, Part (A) dated April 19, 2023
17 General Authority for Financial Supervision Decision of the Board of Directors of the Authority No. 93 for 2023 dated April 12, 2023 amending Decision of the Board of Directors of the Authority No. 164 for 2020 regarding the rules and procedures for licensing companies wishing to conduct medium and small enterprise financing activities, and companies wishing to conduct medium and small enterprise financing activities and micro-enterprise financing The Board of Directors of the General Authority for Financial Supervision, Having reviewed Law No. 10 of 2009 regulating supervision over non-banking financial markets and instruments; Having reviewed Law No. 141 of 2014 regulating the conduct of medium, small, and micro-enterprise financing activities; Having reviewed Decision of the Board of Directors of the Authority No. 164 of 2020 regarding the rules and procedures for licensing companies wishing to conduct medium and small enterprise financing activities, and companies wishing to conduct medium and small enterprise financing activities and micro-enterprise financing; And having approved the decision by the Board of Directors in its meeting held on April 12, 2023; Has decided:
(Article One) The text of Item (1) of Article Three of the aforementioned Decision of the Board of Directors No. (164) for 2020 is replaced with the following: (Article Three – Item "1"):
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- The issued and paid-up capital of the company shall not be less than seventy-five million Egyptian pounds in cash, or its equivalent in foreign currencies at the exchange rate issued by the Central Bank of Egypt.
Egyptian Gazette – No. 91, Part (A) dated April 19, 2023
18 (Article Two) Licensed companies conducting medium and small enterprise financing activities are required to align their status in accordance with the provisions of this Decision within a period not exceeding one year from its effective date, and the Board of Directors may extend this deadline by up to two years based on valid justifications submitted by the company.
(Article Three) This Decision shall be published in the Egyptian Gazette and on the Authority's electronic website, and shall take effect from the day following its publication in the Egyptian Gazette.
Chairman of the Board of Directors General Authority for Financial Supervision Dr. Mohamed Fared Saleh