Egypt’s investment funds assets hit EGP471b

Egypt’s investment funds recorded a 14.7 per cent increase in net asset value to 471 billion Egyptian pounds across 224 funds by the end of the second quarter, while fund units reached 44 billion, with individuals accounting for 75 per cent.

The figures were highlighted during a meeting between Prime Minister Moustafa Madbouly and Financial Regulatory Authority (FRA) Chairman Islam Azzam on Wednesday to review developments in the non-banking financial sector and efforts to strengthen its contribution to the economy.

The meeting covered recent FRA regulatory measures to improve the capital market, insurance, and non-banking finance while protecting market participants.

Azzam highlighted measures to strengthen responsible financing, including requiring one-time passwords (OTP) for customer verification, real-time integration with the credit information company, and behavioural assessments for consumer finance customers.

He said ongoing integration between the FRA and companies under its supervision would provide real-time and daily market data and enable advanced analysis using artificial intelligence.

The meeting also covered the planned application of Basel III standards to the non-banking finance sector from January, as well as new rules for credit and guarantee insurance policies.

Officials also discussed recent and upcoming Egyptian Exchange (EGX) offerings, particularly state-owned companies targeted for listing, and preparations to launch short selling alongside margin trading to boost trading and attract new investors.

The number of new coded investors on the Egyptian Exchange exceeded 171,000 by the end of the second quarter, while trading values surpassed 6.4 trillion pounds, up 78.3 per cent year-on-year.