• FRA Fintech Forum 2025 highlights Egypt’s accelerating push to digitize non-banking financial services and support fintech-driven innovation.
• FRA issued key decisions and laws enabling robo-advisors, digital IDs, e-contracts, and startups with EGP 15M capital.
• A new regulatory sandbox and hackathons aim to test fintech tools and scale digital solutions in a controlled environment.

FRA Fintech Forum 2025

Dr. Mohamed Farid, Chairman of the Financial Regulatory Authority (FRA), presented the authority’s efforts to digitize non-banking financial services at the FRA Fintech Forum 2025. 

Dr. Farid stressed the importance of digital transformation to economic progress. With 64% of global consumers using digital services in their daily lives and nearly 80% of adults relying on digital financial services, demand for digitization is soaring. He further notes that more than 60 countries have launched digital finance regulatory platforms and thus, Egypt must keep pace with this momentum. 

Digitization Efforts

Dr. Farid emphasized that digitization efforts aim to maximize the benefits for customers and citizens using non-banking financial services.

The FRA began regulating digital activity with Decision No. 122/2014 on the online distribution of standard insurance policies. This was followed by Decision No. 316/2014 on tech infrastructure in NBFS and Decision No. 1005/2013 on cybersecurity requirements for brokerage firms.

Recent years have seen acceleration with the passage of Law No. 5 of 2022, which created a legislative framework for the use of fintech in NBFS. This was followed by several key decisions:

• Decision 69: digitizing and linking insurance company databases with FRA’s systems
• Decision 58: regulating company licensing and establishment
• Decision 139/2023: setting standards for IT infrastructure, security, and fintech usage
• Decision 140/2023: covering digital ID, contracts, and records, and specifying e-KYC requirements
• Decision 141/2023: regulating outsourcing in fintech and enabling electronic client onboarding
• Decision 57: regulating robo-advisory services
• Decision 268: allowing startups with a capital of EGP 15 million to offer NBFS using fintech

Dr. Farid adds that the rapid and transformative pace of AI requires institutions and markets to strengthen their capacities. He further states that the FRA has started its own digital transformation. This is through forging partnerships to enhance its technological infrastructure. This includes the launch of a digital professionals platform and a central registry for digital contracts and electronic signatures.

The results: 

• 70 NBFS companies have begun digitizing their operation
  • 24 are currently offering their services digitally
  • 46 are completing compliance requirements
• 7 companies are currently providing outsourcing services
• 120,000 digital verification processes have been conducted, 60% of which are in the capital market. 
• 80,000 digital contracts have been issued

FRA Sandbox

To support tech-driven non-banking financial services (NBFS) startups, Egypt’s Financial Regulatory Authority (FRA) has launched a regulatory sandbox under Decision No. 163/2024. 

The sandbox allows licensed NBFS providers and fintech outsourcing firms to test digital financial innovations. Furthermore, it gives them an opportunity to test new business models and tools in a controlled and safe environment. 

The first hackathon will launch this August, offering prizes of up to USD 300,000, in collaboration with Mercatura Forum. Additionally, the FRA will launch a separate InsurTech Hackathon with AUC Venture Lab on September 1.

What’s next? The FRA has ambitious plans for the future, including:

• New regulations for digital investment platforms (starting with REITs, followed by stocks and fixed income)
• Simplified procedures for participation in venture capital firms and funds
• Streamlining of settlement for unpaid investment documents
• Legal amendments to allow broader legal structures for investment funds