Arab News Headlines

Euromoney: Egypt’s financial sector is evolving fast

Egypt’s financial sector, not traditionally distinguished by its speed, is evolving fast backed by the reforms efforts made by the Central Bank of Egypt (CBE), the Euromoney Institutional Investor PLC said on Monday2/5/2022.

In a statement posted on its website, Euromoney said it will hold its 25th annual conference under the title of “The New Egypt: Investing in Sustainability”, set for September 26 in the New Administrative Capital.

The statement said: “Whilst the world slowed down, battling the economic headwinds of lockdowns and restrictions, Egypt went from strength to strength.

Before the pandemic, Egypt’s government initiated a major fiscal spending programme, investing in infrastructure: cities; roads; monorails; bridges; tunnels and more. The results of this investment were plain to see – the IMF forecasted 5.4% growth in 2022 and Egyptians looked set fair to benefit.”

“But, out of a clear blue sky, another huge geopolitical and supply-side storm has hit.” the statement added.

“Egypt has moved fast to manage the impact – it devalued the Egyptian pound and entered urgent talks with the IMF” the statement noted.

Egypt’s fintechs want more from the banks – more support, more partnerships and more funding – and there are clear signs that the industry is starting to deliver. Egypt’s financial sector, not traditionally distinguished by its speed, is evolving fast. It needs to, as the digital transformation of consumer finance in the country is well underway, the Euromoney statement noted.

The pandemic accelerated the adoption of fintech solutions worldwide, but Egypt’s government was already making good headway in its push for a cashless society and the provision of digital financial services before Covid-19 hit, according to the Euromoney statement.

“In its FinTech & Innovation Strategy gave shape and purpose to reform; and an entire chapter of Egypt’s new 2020 banking law focused on payment service providers and technology.” added the statement.

Source: State Information Service Egypt