Egypt's fintech sector surged fivefold in five years, Entlaq report reveals
Egypt's fintech sector has expanded 5.5 times in the past five years, driven by digital payments, lending, and B2B marketplaces, according to Entlaq's latest report, which was launched in collaboration with the Netherlands Enterprise Agency (RVO) and the Embassy of the Netherlands in Egypt.
Government initiatives and the Fintech & Innovation Strategy are fostering financial inclusion and digital transformation.
According to the report, regulatory complexities, digital literacy gaps, and cybersecurity risks remain key obstacles to sustainable growth.
Press release:
Entlaq, in collaboration with the Netherlands Enterprise Agency (RVO) and the Embassy of the Netherlands in Egypt, is proud to announce the launch of an insightful and data-driven Fintech Report that highlights Egypt's rapidly evolving financial technology landscape. The report provides a strategic overview of the sector, analysing its growth potential, key market trends, challenges, and opportunities for both local and international stakeholders.
The event was hosted at the embassy and featured notable speakers, including H.E. Mr. Hossam Heiba, President of GAFI; H.E. Dr. Mohamed Farid, Chairman of the Financial Regulatory Authority (FRA). Followed by an expert roundtable discussion titled "Scaling Fintech in Egypt: From Startups to Global Impact', this insightful session brought together Ahmed Yehia, CEO of FinTech and Digital Lifestyle, e& Egypt; Ahmed Wady, CEO of Money Fellows; Mohamed Mounir, Deputy CEO of valU; Mohamed Ehab, CEO of Entlaq ; and Ahmed Khalifa, Executive Director, Regulatory Sandbox & Chief Data Officer. The discussion was moderated by Karima El Hakim, Country Director of Plug & Play Egypt.
'Fintech is more than just technology; it's about empowering people and businesses with the financial tools they need to succeed in a digital world. As the landscape report reveals, the rapid growth of Egypt's fintech sector presents a great opportunity to drive financial inclusion, economic resilience, and digital innovation. This report highlights both its huge potential and the challenges ahead. Fintech also opens new doors for women, enabling greater access to financial services, entrepreneurship, and economic independence. We, as the Netherlands, are proud to support this journey by fostering collaboration, sharing expertise, and strengthening partnerships. Together, we can drive financial inclusion, innovation, and sustainable economic growth for all."- Peter Mollema , Ambassador of the Kingdom of the Netherlands in Egypt.
With over 177 fintech startups and payment service providers shaping Egypt's financial ecosystem, the country has emerged as a regional leader in digital financial services. The Fintech Report comprehensively examines the factors driving this transformation, including regulatory frameworks, public and private sector initiatives, and the increasing demand for digital financial solutions among Egypt's youthful and tech-savvy population.
Speaking on the launch, Omar Rezk, Co-founder and Managing Director of Entlaq, stated, 'The economic impact of fintech in Egypt has been substantial. Egypt's fintech sector is at a pivotal moment of transformation. With a 5.5-fold increase in fintech companies over the past five years, driven by lending, digital payments, and B2B marketplaces, Egypt has solidified its position as a leading fintech hub in the MENA region. This report not only highlights the immense potential of the industry but also identifies key challenges such as regulatory complexities, digital literacy gaps, and cybersecurity concerns that must be addressed to ensure sustainable growth. We believe this research provides invaluable insights for policymakers, entrepreneurs, and investors looking to navigate and thrive in Egypt's dynamic financial technology landscape.'
The report also provides a deep dive into the policy and regulatory landscape, detailing the Fintech & Innovation Strategy and government initiatives that are fostering financial inclusion and digital transformation. These policies aim to create a more conducive environment for startups and investors in the fintech space.
Despite these advancements, the sector faces challenges such as regulatory complexities, digital literacy gaps, and cybersecurity concerns. Addressing these issues is critical to sustaining growth and ensuring that fintech solutions reach underserved communities across the country. On a more positive note, opportunities for further fintech expansion, investment, and innovation abound. With increased access to funding, support from international development agencies, and rising consumer adoption of digital financial services, Egypt's fintech ecosystem is well-positioned for continued success.
Additionally, the report offers strategic recommendations for governments, international organisations, investors, and startups. These insights are designed to help stakeholders collaborate effectively in accelerating fintech growth and sustainability in Egypt.
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