Digital transformation of the non-banking financial sector in Egypt is a step towards a sustainable economy
Digital transformation of the non-banking financial sector in Egypt is a step towards a sustainable economy
In light of the rapid transformations that the world is witnessing at the economic and technological levels, it has become necessary to think about new tools that guarantee growth without neglecting the principles of sustainability. In Egypt, attention is increasingly turning to the non-banking financial sector as one of the promising paths to building a sustainable economy, and digital transformation in this sector is an essential step that seeks to reshape the financing system, ensuring justice, transparency, and expanding access opportunities for all groups.
The Egyptian capital, Cairo, witnessed the holding of the Financial Technology Forum (2025 FRA Fintech Forum), which was organized by the Financial Regulatory Authority with the participation of an elite group of officials, decision-makers, investors and entrepreneurs, at a very sensitive time regionally and internationally, as the need for flexible economic models that achieve balanced growth rates and provide smart and sustainable financing methods is growing.
Digital transformation enhances productivity
Amid this scene, the Egyptian state’s efforts in the digital transformation of the non-banking financial sector have emerged as a pillar for building a national economy capable of achieving empowerment, justice, and inclusion. These efforts are gaining increasing importance because of their direct connection to the economic dimension of sustainable development, which calls for enhancing competitiveness, expanding investment opportunities, and providing a stimulating environment for entrepreneurship.
In his speech during the Financial Technology Forum, Dr. Mohamed Farid, Chairman of the Financial Regulatory Authority, stressed that the digitization of non-banking financial services has become an urgent necessity in light of the transformations in the global economy, as 80% of adult individuals now use digital tools in their financial transactions, and more than 60 countries have begun to regulate this vital field. Which makes it necessary for Egypt to keep pace with this accelerating rhythm.
These transformations are directly reflected in the sustainable economy in Egypt, as digital transformation aims to raise the efficiency of the market and improve the productivity of companies, in addition to maximizing the benefit that accrues to the citizen by facilitating access to financing tools, ensuring the security of transactions, and achieving greater transparency. Perhaps among the most prominent tools of this transformation are artificial intelligence technologies, which are used today in analyzing big data, discovering risks, and providing financial products that are more accurate and appropriate to customer needs.
Digital legislation that supports a sustainable economy
The Financial Regulatory Authority not only announced its intentions, but actually began preparing the necessary legislative and regulatory infrastructure to achieve complete digital transformation in the non-banking finance sector. A series of decisions were issued from 2013 until mid-2025, including decisions regulating the technological infrastructure, digital identification of customers, and the digital registry, which reflects a deep understanding that a sustainable economy cannot grow in a regulatory vacuum.
This intensive reform path is considered a foundation for enabling emerging companies to enter the market and enhancing their innovation capabilities, which opens the way for more diverse financing models adapted to the needs of different groups. These laws also provide a stable and attractive environment for investment, and help the state reduce the financing gap.
Financial innovation and artificial intelligence are two pillars of startups
One of the most prominent events of the Financial Technology Forum is the launch of the Regulatory Laboratory for Technological Applications, which is an experimental platform that allows emerging companies to test their smart solutions before applying them in the actual market. Dr. Muhammad Farid indicated that this laboratory constitutes a fertile environment for innovation, especially in the use of artificial intelligence and machine learning tools in developing more efficient and fair financial solutions.
The launch of the laboratory’s website was also announced, in addition to the launch of the first “Hackathon” competitions at the national, regional and global levels, which are intense competitive technical events that bring together programmers, designers and entrepreneurs to develop innovative digital solutions within a short period of time. To solve realistic challenges in the financial sector.
These steps come within a strategic direction to build a knowledge-based digital financing system that works to attract investments and increase productivity, thus enhancing the path of transformation towards a sustainable economy.
Launching the Startup Charter in Egypt
In her speech during the Financial Technology Forum, Dr. Rania Al-Mashat, Minister of Planning, Economic Development and International Cooperation, explained that the government is working to build an integrated system to support startup companies, starting with developing a unified definition for them, and launching an electronic platform for registration and licensing, all the way to providing a “startup company classification certificate,” which will be granted to these companies in order to facilitate access to sources of financing and markets.
The Minister referred to the launch of the “Egypt Startup Charter,” which includes more than 70 measures developed in coordination with 19 government agencies, and these efforts help enhance the ability of entrepreneurs to contribute to the sustainable economy by providing new job opportunities and stimulating investment, especially in sectors that combine technology and societal empowerment, including the economic empowerment of women.
Towards a flexible and attractive financial environment
Dr. Muhammad Farid indicated that about 70 companies in the non-banking financial sector have already begun providing their services digitally, and 80,000 digital contracts have been issued and 120,000 electronic verification processes have been implemented, 60% of which are in the capital market. Which reflects that digital transformation is no longer an experimental project, but has become a reality.
As this digital infrastructure expands, opportunities to direct development financing – which has exceeded $15.6 billion since 2020 – increase to sectors that support the achievement of Sustainable Development Goals (SDGs), and financial technology companies are among the sectors that benefit most, which consolidates the position of the digital economy as a pivotal pillar in building a sustainable economy capable of interacting with global transformations.
In conclusion, theThe Earth Guards Foundation confirms that the accelerated steps Egypt is witnessing in the digital transformation of the non-banking financial sector are an extension of a more comprehensive vision that seeks to build a sustainable economy based on knowledge and technology. Digital transformation – supported by artificial intelligence technologies – is not only a development of work tools, but rather represents a shift in the philosophy of growth itself, from an economy based on resources to an economy based on smart solutions, speed of response, and market flexibility. This transformation – despite the legislative and technological challenges it poses – gives Egypt a real opportunity to build a new development model that is more comprehensive and fair.
