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Wednesday, 24 October 2018

Central Bank of Egypt sets a mandatory 10% active e-wallet quota for the banking sector

CBE sets a mandatory 10% active e-wallet quota for the banking sector: The central bank bank has set a September 2019 deadline for banks to ensure that 10% of their e-wallet customers are active users. A directive to banks in August (pdf) also mandates that banks grow their active e-wallet users by at least 30% annually. Banks that do not meet this quota must explain to the CBE their strategy to boost active user numbers. CBE Sub-Governor for Payment Systems and Business Technology Ayman Hussein tells Al Mal that the central bank knows the quota will be tough to meet.

Other policies to boost a non-cash transactions: The CBE is currently working on setting up a mechanism to allow mobile money transfers from abroad without requiring users to open a bank account in Egypt, as regulations stipulate today, Hussein said. The CBE is working with regional central banks to reduce restrictions on mobile transfers between countries. Hussein also said that the CBE is working on guidelines for banks to begin using interactive teller machines (ITMs) — new types of terminals that allow customers to interact with bank staff via video chat to perform a wide variety of transactions and services (this blog post here breaks it down nicely).

** #6 Is the central bank changing its mind on crypto? The CBE is also studying the possibility of having Egypt issue its own cryptocurrency, Hussein said at a banking conference on Tuesday, according to the newspaper. The newspaper included no further details. The CBE has issued repeated warnings against the use of cryptocurrencies and cautioned that using them in Egypt is illegal.

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