• Dr. Omran: The proposed amendment allows the Investor Protection Fund to purchase securities listed on the Egyptian Stock Exchange for a maximum of (???) from the funds available at the (IPF).
• Dr. Omran: The proposed amendment to the (IPF’s) investment policy allows the injection of funds to increase the capital of Misr Al Mostakbal Fund Management Co. or to purchase new certificates
In order to complement the precautionary measures applied by the Egyptian state to reduce the impact of Coronavirus on the economy , and as there is a need to find mechanisms to maintain the stability of the Egyptian capital market, Dr. Mohammed Omran, FRA’s Chairman reveals that FRA’s BOD approves a draft amendment to Article 18 of the ministerial decree no. (????) of ???? on regulating the Investor Protection Fund (IPF). The said amendment allows – after obtaining FRA’s approval- the (IPF) to purchase securities listed on the Egyptian Stock Exchange that do not exceed (???) of the funds available in the (IPF). Also, it allows the (IPF) to inject funds so as to increase the capital of Misr Al Mostakbal Fund Management Co. or to purchase new certificates. Moreover, the said amendments stipulate that the Fund’s Board of Directors shall set the executive procedures in this regard. These procedures shall be applied after gaining FRA’s approval. FRA’s Chairman said that the proposal will be sent immediately to the competent authority to take the necessary procedures for its issuance.
Dr. Omran said that in October last year, the Ministerial Decree No. (????) of (???) was issued to regulate the Investor Protection Fund, adding that Article 18 of the Decree defined aspects of investing funds of the (IPF) and what is prohibited to do or invest in.