The Financial Regulatory Authority (FRA), headed by Dr. Mohamed Farid, has issued two key decisions regarding the increase in maximum microfinance funding and insurance coverage limits for micro-insurance activities. This move is part of an ongoing effort to adapt to economic changes and implement the Unified Insurance Law.
Decision No. 17 of 2025 raised the maximum funding limit for micro-projects from EGP242,000 to EGP266,000, representing a 10% increase. This change aims to provide individuals, companies, and organizations with the necessary funding to start or expand micro-projects, and enhance competitivenes. The increase supports the government’s broader economic development plan.
In parallel, the FRA raised the maximum micro-insurance coverage limit to EGP 312,500 from EGP250,000, as per Decision No. 18 of 2025. This adjustment considers the economic factors and the enforcement of the Unified Insurance Law, which came into effect in July 2024.
These decisions reflect the FRA’s commitment to developing financial, insurance, and investment solutions suitable for all sectors of society. Micro-insurance, in particular, offers significant benefits by protecting low-income individuals, promoting investment in small and micro businesses, and contributing to broader economic development.
Dr. Mohamed Farid emphasized that the changes were made under the authority granted by the 2020 law, which amended the 2014 microfinance law. The FRA continues to refine its regulations to ensure sustainability, particularly in microfinance, which plays a crucial role in providing adequate funding for micro-projects and individuals.
