FRA amends resolutions to allow more entities to set up investment funds – Egypt Today

FRA amends resolutions to allow more entities to set up investment funds – Egypt Today

CAIRO – 17 December 2023: The Financial Regulatory Authority (FRA), led by Mohamed Farid, issued resolutions aimed at the development of investment funds.

The newly launched Resolution No. (223) of 2023 modifies Resolution No. (58) of 2018, which pertains to the regulations for licensing banks and specific non-banking financial companies to engage in investment fund activities either individually or in collaboration with others.

Furthermore, Resolution No. (224) of 2023 has been issued, amending Decision No. (52) of 2014, which focuses on the issuance of investment fund documents in batches.

This amendment enables closed investment fund companies to issue multiple batches of documents, streamlining the establishment and operational processes associated with investment funds.

These measures form part of the ongoing efforts by the FRA to enhance operational procedures within the capital market and foster an attractive environment for increased investment.

Resolution No. 223 introduces amendments with the objective of expanding the range of entities eligible to engage in investment fund activities. This includes financing companies catering to medium, small, and micro enterprises, as well as consumer finance companies. These entities are now able to participate in investment fund activities alongside banks, insurance companies, and investment banks.

Resolution No. 224 implements amendments that simplify the requirements for conducting