Interview with ⁢Mohamed Farid, ‍Chairperson of the Financial Regulatory ‍Authority (FRA)

Question: Could you start by ⁢discussing​ the recent decision by the FRA regarding the investment rules for insurance and reinsurance companies?

Mohamed Farid: ‍Certainly. The ​Financial Regulatory Authority has ⁣issued decision No. 2 of 2025, which outlines new rules and controls for the investment ratios of insurance and reinsurance companies’ funds. This move aims ​to provide a more flexible regulatory framework that enhances ‍investment efficiency while supporting the financial stability of the⁢ insurance sector.

Question: This sounds like a important step towards simplifying and ⁢stabilizing the sector. Can you elaborate ⁤on the specifics of⁤ this⁢ decision?

Mohamed Farid: Absolutely.‍ The new regulations‍ are designed to give these companies more⁢ flexibility in their⁢ investments, which in turn can lead to better⁢ efficiency⁤ and⁤ stability. ​By allowing more ​dynamic and strategic investment options, ⁤we ‍hope to help insurers and reinsurers‍ manage their funds more effectively, ensuring both short-term liquidity ⁣and long-term⁣ growth.

Question: How‌ dose​ the FRA expect these new⁣ regulations to benefit the‍ insurance and reinsurance⁣ sectors?

Mohamed Farid: We foresee ⁣several benefits. Firstly, by enhancing investment efficiency, companies ‍can better⁢ serve ‌their clients and offer more competitive premiums. Secondly, the financial​ stability ensured by these rules will build ⁢trust among global and regional investors,​ promoting more capital inflows.⁣ This, in⁣ turn, has the potential to grow the sector⁢ and support overall economic development.

Question: Could​ you tell‍ us more about the ⁣Unified Insurance Law and ⁢its ⁣implications for the sector?

Mohamed Farid: the new Unified Insurance Law is indeed a significant advancement for the Egyptian insurance sector. One of its key provisions includes delaying the submission of financial statements ⁣by insurance​ companies, private insurance funds, or other entities subject to‍ the Law. This adjustment allows companies ⁢more‌ time to finalize their financial statements and report accurately, ⁣fostering better financial planning and compliance.

Question: What motivated the FRA to include this particular provision in the new law?

Mohamed Farid: The motivation behind this provision‍ is to reduce‌ the stress on companies by ‍giving them more time to carefully prepare their financial reports. This is intended to ⁣improve openness and accuracy,as companies will have⁣ sufficient time to‌ ensure ‍their data is reliable and‍ their statements are thorough. Ultimately,this provision aims to enhance the credibility of financial reports⁤ and the overall‌ integrity of the sector.

question: How do you see‌ the overall outlook for the Egyptian insurance sector in the⁤ coming⁢ period?

Mohamed Farid: The Egyptian insurance sector ‍is well-positioned for significant growth, driven by⁢ innovation, improvements in customer experience,​ and more ‍efficient pricing.We ​expect⁤ to see manny ‍integration and ⁤acquisition ​deals in the coming period. Such as, Delta Insurance ⁣Company has recently announced it has ⁢received two separate acquisitions from AXA ‍Egypt investment and loyalty Insurance,‌ which are ⁤indicative of the increasing market activities ‌and complexities.

Question: ‍ Thank you, Mohamed Farid, for this insightful ‍interview. ⁣Is ⁤there⁤ anything‌ else you​ would like⁤ to add?

Mohamed Farid: I would like to emphasize that the FRA remains committed to continuously improving and ‌enhancing the framework in which the insurance sector operates. Our ⁣goal is to ensure that the ‍sector thrives,delivering value to ‌both consumers and investors.‌ With the implementation of these new regulations and ​the new insurance law, we are confident about the radiant‍ future of the Egyptian insurance industry.

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