Back to the complete issue
Sunday, 27 September 2020

Banking Act signed into law

LEGISLATION WATCH- The Banking and Central Bank Act is now the law of the land after President Abdel Fattah El Sisi ratified legislation that gives the Central Bank of Egypt more regulatory oversight of the sector, including e-payment, fintech and cryptocurrencies, according to the Official Gazette (pdf). The long-awaited legislation, which has been in the pipeline since 2017, was approved by the House of Representatives in July. Banks now have 1-3 years to comply with the law.

Need a refresher on the law’s key provisions? We have the rundown on the entire process since legislators began drafting the law three years’ ago: a 1% industry-wide tithe on profits for a bailout fund; new capital requirements and the exemption of SME lenders and digital banks from them; bank bailouts and licenses for credit risk guarantee companies; the scrapping of a controversial article that would have introduced term limits on managing directors at private-sector banks; and a whole list of new provisions here.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Etisalat Misr (tax ID: 235-071-579), the leading telecoms provider in Egypt; and Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt.