Regulatory Alerts2021-01-01
Financial Regulatory Authority Board Resolution No. 87 of 2021 Amending Resolution No. 58 of 2018 on Licensing Banks and Non-Banking Financial Companies to Conduct Investment Fund Activities
The Financial Regulatory Authority issued Resolution No. 87 of 2021 to amend Resolution No. 58 of 2018, requiring management service companies and licensed non-banking financial entities to prepare fund financial statements that disclose quarterly transactions with related parties and all paid financial obligations. This amendment expands the authorized activities of banks and certain non-banking financial companies to include conducting investment fund operations independently or jointly. The resolution takes effect the day after its publication in the Egyptian Gazette and on the official websites of the Authority and the Egyptian Exchange.
Financial Regulatory Authority
Chairman of the Authority
Financial Regulatory Authority Board Resolution No. (87) for the Year 2021 dated 6/6/2021 Amending the Financial Regulatory Authority Board Resolution No. (58) for the Year 2018 Regarding the Rules and Procedures for Licensing Banks and Certain Companies Engaging in Non-Banking Financial Activities to Conduct Investment Fund Activities Independently or Jointly
Board of Directors of the Financial Regulatory Authority
Having reviewed the Capital Market Law issued by Law No. (95) of 1992; and the Law No. (10) of 2009 regulating supervision over non-banking financial markets and instruments; and the Board Resolution No. (58) of 2018 regarding the rules and procedures for licensing banks and certain non-banking financial activity companies to conduct investment fund activities independently or jointly; and following the approval of the Authority's Board at its meeting held on 6/6/2021;
Resolved:
(Article One) A second paragraph is added to Item One of Article Eight of the Authority's Board Resolution No. (58) of 2018 regarding the rules and procedures for licensing banks and certain non-banking financial activity companies to conduct investment fund activities, with the following text:
(Article Eight - Item One - Second Paragraph): Management service companies are also required to prepare the fund's financial statements, with quarterly statements disclosing all transactions involving investment instruments and savings vehicles held by any related party, as well as all financial obligations paid to related parties.
(Article Two) This Resolution shall be published in the Egyptian Gazette and on the websites of the Authority and the Egyptian Exchange, and shall take effect from the day following its publication in the Egyptian Gazette, with any provision contradicting it being repealed.
Chairman of the Board of Directors of the Authority Dr. Mohamed Omran
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