Regulatory Alerts2021-11-15
A circular dated November 14, 2021 regarding updating the rules for licensing and registration of banks and representative offices of foreign banks
Below is a concise summary of the provided text: 1. The Central Bank of Egypt (CBE) has the authority to revoke, amend or extend the license of foreign banks operating in Egypt at any time it sees fit. 2. All activities must adhere strictly to CBE regulations and laws. Failure to do so may result in temporary or permanent suspension of business operations, cancellation of licenses, or other legal consequences. 3. If a bank wishes to close its Egyptian branch, it should notify the CBE 30 days prior to the date set for closure. The CBE will then decide whether to grant approval within two weeks. 4. Foreign banks operating in Egypt may not engage in non-permitted activities or transactions that have negative economic or security implications. 5. If a bank is found to be violating any rules, regulations, conditions, or laws related to its license, the CBE can take necessary action, including temporary or permanent suspension of business operations, cancellation of licenses, or other legal actions. 6. The Central Bank reserves the right to request additional information and documentation from foreign banks at any time if it deems necessary. 7. If a bank decides to transfer its license to another party, it must obtain approval from the CBE before doing so.