Board of Directors Decision No. 12 of 2022

Financial Regulatory Authority
Board of Directors Decision No. 12 of 2022
Dated 23/1/2022

Amending Board of Directors Decision No. 111 of 2015 Regarding the rules and standards for practicing real estate finance activity

Board of Directors of the Financial Regulatory Authority Having reviewed the Real Estate Finance Law issued by Law No. 148 of 2001 And its Executive Regulations; And Law No. 10 of 2009 regulating supervision over non-banking financial markets and instruments; And Board of Directors Decision No. 111 of 2015 regarding the rules and standards for practicing real estate finance activity; And after the approval of the Authority's Board of Directors at its meeting held on 23/1/2022;

Decided:

(Article One)
The text of Item (Firstly - First Paragraph) of Article Eight of the Authority's Board of Directors Decision No. 111 of 2015 regarding the rules and standards for practicing real estate finance activity shall be replaced with the following text:

(Article Eight - Firstly - Item "1" First Paragraph): Firstly - Real Estate Finance for Residential Purposes:
The financier, when granting finance for residential purposes, shall adhere to the following controls:
1- Financing shall not exceed ninety percent of the value of the unit or the collateral provided, as the case may be. In cases of construction, renovation, or improvement, financing can be for the full value, provided it does not exceed ninety percent of the value of the unit or the collateral provided.

The financier may grant financing at a rate of (100%) of the property value in cases of financing under the Ijara system.

(Article Two)
This Decision shall be published in the Official Gazette (Al-Waqai' al-Misriyya) and on the Authority's website, and shall come into force from the day following its publication in the Official Gazette.

Chairman of the Authority's Board of Directors Dr. Mohamed Omran