On 24 February 2026, EGY FRA issued rules on securities lending operations
- EGY FRA issued Resolution 365 of 2026 regulating securities lending operations for the purpose of short selling.
Overview
- Establishes a comprehensive framework governing centralized securities lending through Misr for Central Clearing, Depository and Registry (MCDR).
- Defines key participants, borrowing client, lending client, brokerage firm, custodian, and the centralized lending system.
- Requires brokerage firms to obtain prior FRA approval and meet capital adequacy conditions.
- Provides detailed mechanisms for settlement, margin monitoring (mark-to-market daily), corporate actions treatment, and termination scenarios.
- Repeals FRA Decisions 268/2019 and 1601/2019.
Effectiveness
- Effective from the day following publication in the Official Gazette, on 25 February 2026.
