Chapter 1: Establishing a Department for Financial Inclusion in Banks

In the context of the interest that the Central Bank of Egypt attaches to financial inclusion as one of the pillars of sustainable development and its close relationship with financial stability and enhancing economic growth, and in the context of the ongoing effort to remove the basic causes and obstacles that prevent banking services and products from reaching all segments of society, especially financially marginalized women, and given that achieving this requires greater institutional commitment from banks, the Central Bank has deemed it necessary for each bank to establish a dedicated Financial Inclusion Department that reports to the Executive Director or his deputy within the Business Sector. This department shall be responsible for internal coordination within the bank from the perspective of the main interface between departments and units, and the Central Bank from the other side, regarding financial inclusion. The tasks entrusted to it shall include, at a minimum, the following:

1. Preparing a medium-term strategy (3-5 years) for financial inclusion in coordination with the relevant departments within the bank, to be approved by the Bank's Board of Directors or, for foreign bank branches, by their headquarters.

2. Preparing an annual operational plan that must include: a. Geographic expansion and presence in cities and remote areas. b. Coordination with relevant departments within the bank to develop suitable products and services to meet the needs of financially marginalized customer segments, especially women and children. c. Expanding the provision of financial services, particularly electronic services such as mobile wallets and prepaid cards. d. Financial literacy and protection of customers. e. Supporting entrepreneurs and gathering innovative groups.

3. Monitoring the implementation of the bank's projects related to financial inclusion, monitoring the implementation of the strategy and the annual operational plan, and identifying gaps and corrective measures taken to address them.

4. Providing recommendations and proposals to the Central Financial Inclusion Department at the Central Bank of Egypt based on the bank's practical experiences.

5. Coordinating the implementation of financial inclusion activities.

Letter from the Deputy Governor of the Central Bank of Egypt dated March 5, 2020

6. Determining the number of employees and academic qualifications required for staff in the departments, while ensuring the provision of necessary training for them, in addition to ensuring the existence of a qualified technological infrastructure to handle the various products and services of financial inclusion.

7. Promoting sustainable development in all its aspects.

8. Preparing periodic reports on: a. The results of the strategy and the annual operational plan. b. The results of financial inclusion activities. c. The beneficiaries of financial inclusion products and services and measuring the impact on the bank's operations.