The Egypt Financial Regulatory Authority’s chairman, Mohamed Farid, participated in the House of Representatives’ Economic Affairs Committee discussions on a government-proposed law to regulate certain provisions of state ownership in companies that the state owns or in which it holds stakes. He positioned broader ownership through the securities market as a key mechanism to support the state ownership policy framework, including increasing private sector participation and strengthening transparency and governance in state-linked companies following offerings. Farid linked prospective offerings to past periods of market activity associated with large-scale government listings, citing early 1990s privatisation activity and the 2004 wave that included companies such as Telecom Egypt, AMOC, and Sidi Kerir. He argued that expanding ownership under disciplined procedures could attract new investor segments, increase liquidity, turnover and market capitalisation, support foreign investment, deepen and strengthen the competitiveness of the securities market, raise Egypt’s weight in global indices, and improve listed companies’ financial, operational and governance performance after listing.
Egypt Financial Regulatory Authority 2025-05-26
Egypt Financial Regulatory Authority supports draft law on state ownership rules and promotes stock market listings to widen ownership in state-owned firms
The Egypt Financial Regulatory Authority's chairman, Mohamed Farid, discussed a proposed law on state ownership in companies, emphasizing broader ownership via the securities market to enhance private sector participation and transparency. Farid highlighted past government listings and argued that disciplined ownership expansion could attract investors, increase market liquidity, and improve company performance.