Regulatory Alerts2016-01-01
Decision of the Board of Directors of the Authority No. (79) of 2016
The Egyptian Financial Supervisory Authority issued Decision No. (79) of 2016 to amend Decision No. (3) of 2010 regarding the operational controls of the deposit bank for Egyptian deposit certificates. The amendment introduces Article 13 bis, which mandates that Egyptian investors wishing to convert deposit certificates into shares must register the shares in the deposit bank account as the registered owner and sell them on foreign exchanges through the Central Depository and Registration Company's accounts with international custodians. Additionally, the Central Depository and Registration Company must remit all sale proceeds or monetary entitlements to the investor via a bank supervised by the Central Bank of Egypt, a procedure that equally applies to the delisting of these certificates from the Egyptian Exchange.