Egypt has mandated that non-banking financial institutions with capital exceeding EGP 100m must measure their carbon footprints and offset 20% of their annual emissions through the purchase of carbon credits, Minister of Investment and Foreign Trade Mohamed Farid said on Sunday. Farid emphasised that Egypt has implemented an integrated package of structural reforms across both the banking and non-banking financial sectors through cooperation between the Central Bank and the Financial Regulatory Authority (FRA). The real starting point for sustainable finance involved establishing precise regulatory and legislative frameworks to govern the issuance of sustainability-linked debt instruments, according to Farid. The minister explained that building an accurate and integrated database on carbon emissions served as the “cornerstone” for developing the sustainable finance system. Farid also highlighted that the FRA’s decisions requiring non-banking financial institutions to prepare periodic reports on their carbon footprints and offset a portion of their emissions via the carbon trading market reflect a clear direction to integrate environmental considerations into the core of financial and investment activities.

Source: Daily News Egypt February 15, 2026 19:02 UTC