Egypt’s Financial Regulator approves 1st SME funding licence in NBFC sector

Egypt’s Financial Regulator approves 1st SME funding licence in NBFC sector

Egypt's Financial Regulatory Authority (FRA) has agreed to grant the first licence for small and medium enterprise (SME) funding to a company operating in the microfinance sector. 

This licence allows the company to provide financing to SMEs for the first time in the non-banking financial sector (NBFC). 

This implements the latest legislative amendment issued in October 2020 by Law No 201 of 2020, allowing for the financing of SMEs by companies, associations, and civil institutions licenced to engage in microfinance activity by the authority.