Egypt achieves record primary budget surplus of EGP 629bn despite sharp fall in Suez Canal revenues    Escalation in Gaza, West Bank as Israeli strikes continue amid mounting international criticism    Egypt recovers collection of ancient artefacts from Netherlands    Resumption of production at El Nasr marks strategic step towards localising automotive industry: El-Shimy    Egypt harvests 315,000 cubic metres of rainwater in Sinai as part of flash flood protection measures    Egypt, UNDP discuss outcomes of joint projects, future environmental cooperation    United Bank achieves EGP 1.51bn net profit in H1 2025, up 26.9% year-on-year    After Putin summit, Trump says peace deal is best way to end Ukraine war    Jordan condemns Israeli PM remarks on 'Greater Israel'    Egypt's Supreme Energy Council reviews power supply plans for 14 industrial projects    Egypt, Namibia explore closer pharmaceutical cooperation    Fitch Ratings: ASEAN Islamic finance set to surpass $1t by 2026-end    Renowned Egyptian novelist Sonallah Ibrahim dies at 88    Egypt's FM discusses Gaza, bilateral ties in calls with Saudi, South African counterparts    Egypt prepares to tackle seasonal air pollution in Nile Delta    Egyptian, Ugandan Presidents open business forum to boost trade    Al-Sisi says any party thinking Egypt will neglect water rights is 'completely mistaken'    Egypt's Sisi, Uganda's Museveni discuss boosting ties    Egypt's Sisi warns against unilateral Nile measures, reaffirms Egypt's water security stance    Egyptian pound closes high vs. USD on Tuesday – CBE    Egypt, Colombia discuss medical support for Palestinians injured in Gaza    Egypt, Huawei explore healthcare digital transformation cooperation    Egypt's Sisi, Sudan's Idris discuss strategic ties, stability    Egypt's govt. issues licensing controls for used cooking oil activities    Egypt to inaugurate Grand Egyptian Museum on 1 November    Egypt's Sisi: Egypt is gateway for aid to Gaza, not displacement    Greco-Roman rock-cut tombs unearthed in Egypt's Aswan    Egypt reveals heritage e-training portal    Sisi launches new support initiative for families of war, terrorism victims    Egypt expands e-ticketing to 110 heritage sites, adds self-service kiosks at Saqqara    Palm Hills Squash Open debuts with 48 international stars, $250,000 prize pool    On Sport to broadcast Pan Arab Golf Championship for Juniors and Ladies in Egypt    Golf Festival in Cairo to mark Arab Golf Federation's 50th anniversary    Germany among EU's priciest labour markets – official data    Paris Olympic gold '24 medals hit record value    A minute of silence for Egyptian sports    Russia says it's in sync with US, China, Pakistan on Taliban    It's a bit frustrating to draw at home: Real Madrid keeper after Villarreal game    Shoukry reviews with Guterres Egypt's efforts to achieve SDGs, promote human rights    Sudan says countries must cooperate on vaccines    Johnson & Johnson: Second shot boosts antibodies and protection against COVID-19    Egypt to tax bloggers, YouTubers    Egypt's FM asserts importance of stability in Libya, holding elections as scheduled    We mustn't lose touch: Muller after Bayern win in Bundesliga    Egypt records 36 new deaths from Covid-19, highest since mid June    Egypt sells $3 bln US-dollar dominated eurobonds    Gamal Hanafy's ceramic exhibition at Gezira Arts Centre is a must go    Italian Institute Director Davide Scalmani presents activities of the Cairo Institute for ITALIANA.IT platform    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Non-banking sector provides EGP 396bn in funding during 2022: FRA
Launch of derivatives market will soon be completed, says Farid
Published in Daily News Egypt on 26 - 10 - 2022

Mohamed Farid, Chairperson of the Financial Regulatory Authority (FRA), said that economic growth always needs financing which requires mobilizing savings.
This came during a session on mechanisms to enhance the role of the non-bank financial sector within the activities of the second day of the Egyptian Economic Conference 2022.
Farid noted that to achieve a growth rate of 7%, we need to increase the proportion of investments, explaining that investments require savings, and that comes through the banking financial sector, and the non-banking financial sector, whether through insurance companies or private and government insurance funds, and the authority is working hard to increase the volume of funds and savings existing in this sector.
Farid stressed the relative importance of the non-banking financial sector, as the total funding granted by the banking sector during 2022 amounted to 552 billion pounds, while the volume of funding directed to the private sector and individuals through the non-banking financial sector through its various channels, whether stock issuances, financial leasing, etc. , about 396 billion pounds, representing 40% of the volume of financing granted by the financial sector in Egypt, which illustrates the pivotal role played by the non-bank financial sector in providing the necessary financing to the private sector that is more productive of jobs and increasing its participation in economic growth.
He referred to the development of markets and products, as the Authority is working to complete the financial derivatives market within a few months so that the investor is able to hedge against the risks of price fluctuations, stressing that the Authority had the lead and leadership in this field.
He explained that the authority will conduct a comprehensive review of the rules for listing securities to help economic entities explore opportunities for growth and expansion through the stock market, noting that the main pillars of work during the next stage include creating a business environment and facilitating all necessary procedures for all economic entities to benefit from all financial activities. non-banking.
Farid indicated that the authority aims to strengthen insurance coverage mechanisms as one of the tools to enable the insurance sector to increase the percentage of contribution to the national product and explained that globally all professions have insurance, stressing the need to work to increase the insurance sector's contribution to the national product in a manner that is commensurate with the experience and strength of the sector, as well as The available growth space in the Egyptian market, stressing the importance of achieving financial, insurance and investment inclusion, which helps to easily enter larger percentages of investors into a young society through digital transformation and technological applications that support the state's efforts to increase national output.
Farid stressed the importance of developing regulatory frameworks based on technology, stressing that the Financial Supervisory Authority supervises and monitors the non-banking financial services sector, but it also takes into account the development dimension, as the authority works on developing and developing non-bank financial markets as a top priority while ensuring the safety of transactions, market stability and balance Customers' rights amid a favorable work environment.
Farid added that the microfinance sector and the financing of small and medium-sized companies plays a major role in achieving financial inclusion, transformation and digitalization and addressing the issue of the informal economy, adding that technological development for dealing in the non-banking financial sector is necessary to increase the volume of transactions, which requires accelerating the pace of adoption and availability. Various technological applications to facilitate citizens' access to financial and financing services, achieve financial inclusion, and support digital transformation.


Clic here to read the story from its source.