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The “Central” and “Financial Supervision” are preparing a draft law to regulate

2019 Million dollars the volume of investments in Egyptian financial technology companies 2021

The Central Bank said that it is currently working on preparing a new law to regulate alternative financing activities, and to regulate the use of financial technology related to banking services, in cooperation with the Financial Supervisory Authority.

Among the activities to be regulated by the prospective law are peer lending, crowdfunding, savings and loan associations, other newly emerging digital finance activities, and banking-related fintech activities.

(He added in the first report of the financial technology platform, that this law defines the legislative framework for regulating digital platforms for alternative financing in the Egyptian market; This contributes to the provision of various new financing services within the Egyptian market, with the aim of meeting the needs of the target groups of customers, and regulatory and supervisory rules will be established as soon as the law is issued.

The Central Bank said that the volume of investments in financial technology In Egypt during the past year, it amounted to 2019 one million dollars during the last year in 35

“Fintech Egypt”: 112 An Egyptian startup working in the field 24 Including expanded regionally and globally

added in a report issued by the Fintech Egypt platform His affiliate said that the past twelve months witnessed an increase in investments by more than 300%, which indicates the development and expansion of emerging financial technology companies working in the field of financial technology.

The report said that these numbers are a jump when compared to the year 2017, which witnessed 3 deals with investments of only one million dollars.
“Fintech Egypt” issued its first report to provide a comprehensive overview of the unprecedented growth witnessed by Egypt in the field of technology

The report sheds light on emerging companies, fintech entrepreneurs and the sectors that feed them, in addition to financial technology institutions such as business incubators and accelerators specialized in this field, and investors in various fields Financial technology, with the aim of providing a full understanding of the capabilities and needs of these companies, in addition to identifying aspects of joint cooperation between the authorities concerned with financial technology. steadily, as its number increased from only two start-up companies in the year 2014 to reach 35 companies by End of a year 2017 in more than 14 technology sub-sectors Innovative financial services such as payments and remittances, business markets, lending and alternative financing, etc.

The report said that Egypt is the fourth largest country in Africa in terms of financial technology investments, and the second largest in the Middle East and North Africa region. in terms of Fintech investments accounted for 35% of the total transactions, and it is also the second in the region in terms of the volume of financial technology investments with a percentage of 21 % of the total investments.

It was also highlighted what Egypt is rich in from the promising young talents and cadres. in all fields; Especially in the field of financial technology, where the report indicated that most of the Egyptian financial technology companies were established by young people ranging in age from 35 to 35 years. Moreover, the report highlighted the role of the young talents founding these companies, as they are a promising investment for the future in achieving many gains for the Egyptian market. By expanding in this field at the regional and international levels, it has gained a significant presence in the Middle East and North Africa, the Gulf Cooperation Council countries, and Europe.

Ramy Abul-Naga, Deputy Governor of the Central Bank of Egypt said: The Financial Technology Perspective Report 2019 comes within the framework of the efforts made by the Central Bank to promote the financial technology industry since the launch of the FinTech and Innovation Strategy in 2019 , as part of Egypt’s vision 2022, in the light of which the regulatory laboratory for innovative financial technology applications was launched, and a series of discussion sessions were held to identify areas of market demand, as well as support and encourage financial technology cadres through customized and targeted educational programs For this purpose.”

Ayman Hussein, the first deputy governor of the Central Bank for the information technology sector, said, “The efforts made to promote financial technology have resulted in creating A promising future for a promising group of financial technology entrepreneurs, start-ups and Egyptian investments in the field of financial technology, and it is expected to witness significant growth during 2019, supported by the launch of the Financial Technology Center (Grid). In addition to the investment fund that was established by the National Bank of Egypt, Egypt and Cairo, with a capital exceeding one billion three hundred million Egyptian pounds, which is expected to become the largest directed investment fund focused on the financial technology sector in the region.”

Rasha Negm, Deputy Governor of the Central Bank for Financial Technology and Innovation added, “This report is the initial step to present an integrated vision for all parties to the financial technology system in Egypt, especially highlighting the unprecedented growth that Egypt has witnessed in the field of financial technology over the past few years. The report is a result of surveys that include basic data received from 2017 emerging financial technology companies and their feeding sectors, and 2017 is one of the institutions supporting this field, and it is expected that this will be The report stimulates innovation in the future, and supports cooperation between the parties of the financial technology system.”