Aggregated News From Investment Management Regulators

Approving the first license to practice consumer finance activity – Wednesday 22/4/2020


Please complete the required fields.

Dr. Mohammed Omran – FRA’s Chairman announces that Connect Finance Co. – an Egyptian joint stock company – obtains the first license to practice consumer finance activity. He adds that the company is no longer subjected to the provisions of Law No. 159 of 1981 and now it is subjected to consumer Finance  Law and FRA’s BOD decisions on regularization of the entities which practice the activity before the issuance of Consumer Finance  Law. He points out that Article VI of the said Law gives these entities a period of six months to regularize their status starting from the date of applying the provisions of the Law.

FRA’s Chairman also adds that FRA’s BOD has issued decision no. 494 of 2020 on approving the second license for Aman Financial Services to be a consumer finance provider besides its main activities.

it is worth mentioning that Article 1 of the Consumer Finance Law defines consumer finance providers as producers or distributors of goods who are involved Consumer finance activity. The Law required consumer finance providers whose main activity is to distribute or sell the goods to obtain a license from the Authority and to be registered at FRA’s registry  whenever their annual financing exceeds the limit set by the Board of Directors of the Authority, provided that it does not exceed 25 million pounds.

Dr. Omran confirms that putting finance consumer activity under FRA’s supervision will have many advantages at the level of national economy. He emphasizes that investments and operating rates will increase, competitiveness within the national economy will improve, leading to higher efficiency, lower prices and an increase in domestic demand. In addition to creating a sound and accurate database that helps the state adopt appropriate policies and allows investors to make investment decisions.

On the other hand, the biggest beneficiary of Consumer Finance Law and creating a real control over the consumer finance activity is the ordinary citizen (consumer) himself.  Such Law will ensure that there are clear controls and sound professional rules that will be the base of calculating installments. Also, it provides a regulator who shall protect the consumer from harmful practices and receive any complaints from him.

Source link

Regulator Information

Abbreviation: FRA
Jurisdiction: Egypt

Recent Articles

Directive for the beneficial ownership register of express trusts and similar legal arrangements

See the Press Release published by the Cyprus Securities and Exchange Commission (CySEC CY) here: Source link


Attention! The FMA warns investors against concluding transactions with: RichmondSuper (Link to external page. Opens in new window.) [email protected] [email protected] [email protected] [email protected] [email protected] (Link to external page. Opens in new window.) This provider...

Hardson Becker Global

Attention! The FMA warns investors against concluding transactions with: Hardson Becker Global with its registered address apparently in Hangzhou, China This provider is not authorised to carry...

“Let’s talk about money” – money laundering: how illegal assets are given a legal appearance

In the latest edition of its consumer information series, “Let’s talk about money” the Austrian Financial Market Authority (FMA) explains about the term money...

Chair Powell will host town hall with educators August 2, 2021 at 4 p.m. EDT

Please enable JavaScript if it is disabled in your browser or access the information through the links provided below.

Get the latest from Regulatory.News in your inbox!