Egyptian Cabinet approves consumer finance law

The Egyptian cabinet approved consumer finance law drafted by The Egyptian Financial Supervisory Authority.

The new law is to expand funding options for consumers and businesses of all sizes, it includes 30 articles to applied on companies operating in financial non-banking markets.

Consumer financing is when a business offers financing to their customers. This allows consumers to get an advance or loan to spend money on products or services for family, household or personal uses repaid at a specified future date. Retailers, department stores, banks, and other financial institutions offer consumer financing.

Consumer financing will be the seventh non-banking financing activities to be introduced by the Egyptian Financial Supervisory Authority (EFSA), Mohamed Omran said.

EFSA has put the proposal to the community dialogue at the end of  last year.