2023-03-12 | CBE12.4Added · Updated
These rules establish the regulatory framework for banks and mobile application providers offering services on the Instant Payment Network (IPN) to facilitate instant transfers and electronic payment tools. The document defines key entities including Issuer Banks, Payment Service Provider (PSP) Banks, Acquirer Banks, Payment Service Providers, and Technology Service Providers, while also defining technical terms such as Instant Payment Address (IPA) and Secure Library (SL). The regulations apply to all banks operating in the Arab Republic of Egypt and set the minimum standards for risk management and service provision through the IPN.
In the context of the Central Bank of Egypt's plan to achieve financial inclusion and provide banking services to all members of society, and in light of the Central Bank's plan for digital transformation and the need to increase the number of electronic transactions and provide various payment and collection methods to meet customer needs, these rules aim to define a framework for banks and mobile applications for service providers on the Instant Payment Network. This enables customers and banks to perform instant transfers through electronic payment tools and provide appropriate banking services for all segments of society.
| Term | Definition |
|---|---|
| Instant Payment | The completion of the transaction by debiting the sender customer's account and crediting the beneficiary customer's account instantly. |
| Electronic Payment Tools | Electronic banking tools made available by issuing banks for use through the Instant Payment Network. |
| Instant Payment Network (IPN) | The inter-bank operating network among various banks that enables the completion of instant transfer transactions and many other additional services mentioned in these rules, for banks and their customers around the clock and throughout the week. |
| Issuer Bank | The bank responsible for managing the customers' accounts and verifying financial transactions through electronic payment tools issued by the bank and according to the work procedures approved by the Instant Payment Network. |
| Payment Service Provider (PSP) Bank | The bank responsible for contracting with and operating payment service providers and making their services available to customers of the Instant Payment Network, in addition to activating its own electronic distribution channels, such as the bank's internet and mobile banking. |
| Acquirer Bank | The bank responsible for contracting with and operating partners/merchants through the Instant Payment Network to enable partners/merchants to accept payments from customers of the Instant Payment Network through approved payment acceptance means by the Network. |
| Payment Service Provider | A company licensed to work with the Payment Service Provider Bank to provide payment services through its own mobile applications according to the rules of the Instant Payment Network, for its individual and merchant customers after obtaining approval from the Central Bank of Egypt. |
| Instant Payment Network Service Provider | A company to provide various technological services on behalf of banks, specifically regarding Instant Payment Network services, after obtaining approval from the Central Bank of Egypt. |
| Technology Service Provider | A secure library specifically for the Instant Payment Network and responsible for encrypting sensitive customer data related to the Instant Payment Network. |
| Secure Library (SL) | An address created by the customer for each issued account and defined on the Instant Payment Network through the Payment Service Provider to enable customers to receive financial transactions by reference (Instant Payment Address - IPA). |
| Instant Payment Address (IPA) | Negative Lists: Include lists of terrorist entities and designated terrorists under Law No. 8 of 2015 and its amendments, and lists issued by the Security Council of the United Nations related to terrorism and its financing and the financing of the proliferation of weapons of mass destruction, and any other lists deemed necessary by the bank or others to refer to. |
The following words and phrases have the meanings indicated below wherever they appear in these Rules:
1-1 These rules apply to all banks operating in the Arab Republic of Egypt, and these rules and controls are considered the minimum required for the provision of services by banks and payment service providers authorized by the Central Bank of Egypt through the Instant Payment Network. All banks must not rely solely on this and must ensure taking all necessary measures regarding risk management associated with providing services through the Instant Payment Network.
1-2 The Central Bank of Egypt reserves the right to amend these rules and controls at any time, and such amendments shall be binding on all banks and payment service providers operating through the Instant Payment Network.
1-3 These rules shall come into force on the date of their issuance.
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