Abu Al-Naja: The race stimulates the cooperation of startups with banks and financial institutions
The Central Bank of Egypt, in cooperation with the Egyptian Financial Supervisory Authority, launched an innovation race to use financial technology solutions to address the challenges resulting from the COVID-19 pandemic, targeting entrepreneurs and emerging companies to create financial technology applications that meet the needs of banking and financial institutions in Egypt and help overcome the challenges that arise Facing it in light of the repercussions of the pandemic.
The competition is organized by the DFS lab – one of the investors of digital trade – and the incubator for emerging companies in the digital economy in Africa. In cooperation with the Central Bank, funding for the competition is granted in partnership with the UK government and FSD Africa.
The race will be held for a period of three days during the month of March 2021, as start-ups wishing to participate in the race from January 19 to February 19 2021 through the Fintech Egypt platform of the Central Bank, and a comparison is underway between applications and technological products to participate in the race based on their ability to provide Effective solutions to the problems and challenges facing banking and financial institutions in light of the Corona pandemic, which the Central Bank, in cooperation with a number of banks, had identified and put up on the FinTech Egypt platform and the related websites and online platforms.
“The initiative is in line with the objectives of the Central Bank of Egypt and the financial technology strategy that was announced in 2019 as part of Egypt’s efforts to transform into a regional center for financial technology in Africa, the Middle East and the Middle East,” said Ramy Abu El Naga, Deputy Governor of the Central Bank of Egypt. “This initiative represents a promising opportunity for entrepreneurs and emerging companies to present their products. Innovative technology for banks and financial institutions to contribute to facilitating the provision of banking and financial services to clients.
After the end of the application period according to specific criteria and under the supervision of the Central Bank of Egypt, entrepreneurs and representatives of emerging companies with creative and applicable ideas will be selected and then virtual workshops and discussions will be held via the Internet that brings them together with representatives of banks and banking institutions, with the aim of reaching prototypes for applications Doable.
The Financial Supervisory Authority said that the initiative to sponsor this competition came with the aim of inviting and urging multiple groups of companies to the DFS LAB platform to develop perceptions of interest to many non-bank financial bodies in Egypt looking for solutions to overcome the problem of social distancing and facilitate the granting and provision of financing in light of the emerging Corona virus pandemic COVID-19, as the DFS LAB platform displays many innovations that can be employed and expanded to support the national economy, as well as attract international and local innovators in designing products and services that will help the Egyptian financial sector adapt to the post-COVID-19 scene.
She added that her sponsorship of the competition is consistent with the project “to regulate and develop the use of financial technology in non-banking financial activities” that she submitted, in which she announced her vision on the rules and regulations for establishing, operating and managing electronic platforms for financing projects, directly or indirectly, and rules and controls for employing the use of technology fields. Financial in engaging in non-banking financial activities, as was previously verified in the electronic movable collateral registry as one of the successful applications of financial technology, which was applied beginning in March, where discussions focused on crowd funding platforms and their role in granting financing directly to the project in the form of lending or otherwise. Directly in the form of issuance of securities “shares – bonds”, and what electronic applications do to determine the suitability of projects and investors financing the controls set in advance electronically. Which affects the ability of non-bank financial services providers and defined them in managing the relationship with customers, and managing the relationship with partners Working, managing enterprise resources and remote work requirements, in addition to managing the relationship with the censor and compliance requirements, in order to reach innovative solutions to face them.
The companies applying in the competition after their selection will have the opportunity to cooperate with financial institutions and non-banking financial companies to present their products or solutions to the market, and the Financial Supervision Authority will coordinate with the Central Authority in the task of arbitration and choose the best solutions provided by innovators of financial technology with an impact to face challenges, and encourage the use of Those innovative solutions, and facilitate legislative requirements to be applied when needed.
The authority said that the “COVD-19 innovation race” initiative is expected to employ financial technology in the financial sector by many Egyptian banks and financial institutions that are looking for solutions to their challenges arising from COVID19 to be able to adapt to a new pattern of life in our societies, which is represented by social distancing. Or the national closure for long periods. It is worth noting that the initiative “the innovation race COVD-19” will be supported by the African FSD Fund, which plays the role of a development agency focusing on financial inclusion, with the aim of uncovering, developing and refining financial technology solutions that already exist and that directly address the problem of data Resulting from the pandemic in the banking and non-banking financial sector.
The article “Central” and “Financial Supervision” launch the financial technology race to address the challenges of the Corona pandemic, it was written in the Al-Borsa newspaper.