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Mortgage finance sector provides medium and long-term financing for the acquisition of real estate, whether for economic purposes or for the purpose of financing, repairing or maintaining houses. In general, this sector provides financial liquidity to the real estate development activity, which is the most important axis of economic activity in Egypt. Real estate development activity is related to many economic sectors that feed it directly (such as construction materials, contracting, and electricity) or indirectly (such as electrical appliances) in addition, real estate sector is labor intensive.

Mortgage operations are linked to and influenced by many financial services and instruments. These include financial leasing, securitization, insurance through insurance coverage for real estate or issues related to providing real estate as equity shares in corporate capital. This activity also contributes to the depth and breadth of financial markets through listing real estate companies at the Stock Exchange as well as real estate investment trust (REIT).


 It is worth mentioning that Mortgage finance activity is regulated by Law No. 148 of 2001 and its Executive Regulations. A comprehensive amendment to the law was introduced in 2014, followed by an amendment to the Executive Regulations in 2015.

Mortgage Finance Law allows the companies that carry out this activity to provide different forms of financing, such as: leasing system and financing through Ijarah and the beneficial ownership, lease-to-own (“lease purchase”) and partnership or Murabaha. Such financing is also made available through banks and non-banking institutions, both mortgage companies and mortgage refinancing companies. The Authority is the official regulatory body that regulates mortgage market in Egypt.

Moreover, Mortgage Finance Fund provides financing for limited incomes by providing subsidized housing and long-term payment facilities commensurate with their financial potential to achieve social justice and to ensure the stability of mortgage market. The Fund set standards to identify low-income people who can benefit from various forms of support provided by this Fund.


There was a remarkable development in mortgage finance activity during 2017. The total amount of financing granted by mortgage companies reached 8.5 billion EGP during the year compared to 7 billion EGP in the previous year, representing an increase of 21.4%. The number of beneficiaries reached more than 45,000 clients. The volume of mortgage refinancing granted by the Egyptian Mortgage Refinancing Company was 153 million EGP during the year compared to 132 million EGP last year, representing an increase of 16%