Mohamed Farid, Chairperson of Egypt’s Financial Regulatory Authority (FRA), announced significant progress toward finalizing a regulatory framework to govern electronic platforms operating in the real estate sector.
Speaking at the Akhbar El Youm Real Estate Conference, Farid highlighted the FRA’s focus on supporting the real estate sector’s growth through diversified financing opportunities within the non-banking financial sector. He outlined tools such as stock exchange listings, securitisation bonds, sukuk, and real estate investment funds (REIFs) as vital instruments for unlisted companies and sector players to meet development goals.
The FRA has engaged in extensive dialogue with stakeholders, including real estate developers and operators of digital platforms offering fractional property ownership. These consultations informed the FRA’s vision to regulate such activities within existing non-banking financial laws. The Authority identified the real estate investment fund framework as the most suitable legal model, balancing market demand with structured oversight to protect investors and expand access to financial tools.
Farid noted that three electronic platform companies have formally applied to regularize their legal status by establishing separate entities to operate as real estate investment funds and to manage promotion, underwriting, and fund operations. This marks a growing commitment to legal compliance and formal oversight within the sector.
He emphasized the benefits of stock exchange listings, which help companies raise capital, enhance governance, and support expansion domestically and internationally. Additionally, he highlighted recent reforms in Egypt’s accounting standards, including a shift toward fair value asset assessments and improved financial reporting standards, which strengthen investment decision-making and financing options.
Farid reaffirmed the FRA’s dedication to continued engagement with market participants to foster sector development, protect stakeholder rights, and promote market stability.
