Egypt Financial Regulatory Authority holds first regulatory sandbox advisory committee meeting after granting 5 preliminary approvals

The Egypt Financial Regulatory Authority has convened the first meeting of the advisory committee for its fintech applications regulatory sandbox, nearly a year after the sandbox was launched. The meeting formalizes external expert input into the sandbox’s development and reinforces its role as a supervised environment for testing digital solutions in non-banking financial activities while seeking to protect customers and preserve market stability. The authority reviewed the sandbox’s first-year activity, which included five preliminary approvals for innovative fintech projects to be tested within the supervised environment, 13 memorandums of understanding with market participants and regulatory guidance provided to 37 entities. It also reiterated the admission framework for applicants: projects must present genuine innovation in Egypt’s non-banking financial sector, be ready for implementation, and show potential to improve market efficiency and consumer outcomes. Applications are then reviewed and tested before a final decision is made to approve, extend the testing period or reject the project. For the next phase, the advisory committee agreed to expand the number of companies and projects using the sandbox, support solutions linked to artificial intelligence, fintech and digital finance, deepen cooperation with regulators and international institutions, and develop tools to measure the economic and social impact of financial innovation. The committee’s remit also includes advising on regulatory and policy frameworks, knowledge sharing and capacity building, with a stated focus on widening the sandbox’s reach including across Africa.