Regulatory Alerts2022-01-01
Law No. 18 of 2020 (Updated 2022) on Regulating Consumer Finance Activities
The Financial Regulatory Authority of Egypt issued Law No. 18 of 2020 (updated in 2022) to comprehensively regulate and supervise consumer finance activities, defining licensed entities, prohibiting deposit-taking, and establishing strict operational and governance standards. The legislation mandates that consumer finance companies and providers obtain specific licenses, maintain minimum capital requirements, adhere to rigorous marketing and contracting controls, and submit regular financial and operational reports to ensure market stability and consumer protection. It establishes an independent Egyptian Association for sector oversight, assigns jurisdiction to economic courts for disputes, and imposes stringent administrative, financial, and criminal penalties for non-compliance, fraud, or unlicensed operations.