In brief The Central Bank of Egypt (CBE) recently published regulations setting out the licensing and regulatory framework for digital banks in Egypt (“Digital Bank Regulations”) which came into force on 12 July 2023. The Digital Bank Regulations will effectively allow for the establishment and operation of digital banks in Egypt, thus taking a significant step in aligning the country with global trends in financial technology and catering for the needs of the growing Egyptian…
In brief The Financial Regulatory Authority (FRA) recently issued Decrees No. 139, 140 and 141 (“Decrees”) completing and complementing the Financial Technology (Fintech) Law No. 5 of 2022 (“Fintech Law”) which sets out the framework for the development and use of Fintech in non-banking financial services (NBFS). The Decrees, which came into force on 11 July 2023, come as part of the FRA’s continuing efforts to transition the Egyptian financial markets towards digitization by encouraging…
In brief The Central Bank of Egypt (CBE) recently published regulations pertaining to payment cards tokenization on electronic device applications (“Tokenization Regulations”) which came into force on 8 March 2023. The Tokenization Regulations will effectively allow for contactless payments through mobile applications including some operated by major mobile payment service providers. The said regulations impose regulatory and licensing requirements on banks and non-bank parties participating in the provision of tokenization services for payment cards. Key…
In brief The USD LIBOR interest rate benchmark, used globally in a range of financial instruments, will cease to be available from 30 June 2023. Recommendations USD LIBOR transition involves working through new loan pricing structures, updating operating and IT systems, considering tax and accounting implications, staff training, and customer education and outreach. Any new loan documentation due to mature after the end of June 2023 should provide for the use of an alternative rate…
In brief The Egyptian Parliament has approved amendments to the Law number 3 of 2005 on the Protection of Competition and the Prohibition of Monopolistic Practices (ECL), introducing for the first time a mandatory pre-merger notification regime in Egypt (“Amendments”). Until now, the ECL had only a post-merger notification system which did not give the Egyptian Competition Authority (ECA) any powers to assess, approve or block a transaction. The Amendments are expected to be published…