Fawry for Banking Technology and Electronic Payments has received approval from the Financial Regulatory Authority to establish Fawry Microinsurance Company, marking a significant step in the company's ongoing expansion in the financial services sector. With a capital of 60 million EGP, Fawry holds a 90% stake in the new company.
The initial phase of the company's operations will focus on offering essential protection products, such as health insurance, life insurance, and personal accident coverage, in addition to asset insurance. This initiative comes at a time when demand for insurance services is increasing in the Egyptian market.
Event Details
Fawry has clarified that the distribution of insurance products will be facilitated through its robust infrastructure, which includes over 350 branches of Fawry Plus and a network of 375,000 points of sale, along with the My Fawry application. This strategy aims to make insurance services more accessible to various segments of society.
In another context, the ordinary general assembly of Fawry has decided not to distribute cash dividends to shareholders for the year 2025, opting instead to distribute a share of profits to employees and carry over the remainder to shareholders. The financial statements and the company's activities for the fiscal year ending last December were also approved.
Background & Context
Founded in 2010, Fawry has achieved remarkable growth in the electronic payments sector. It is considered one of the leading companies in this field, constantly striving to expand its service offerings to meet the growing market demands.
Last year, Fawry's profits increased by 78%, reaching 3.1 billion EGP, compared to 1.74 billion EGP in 2024. The company's revenues also rose to 8.65 billion EGP, reflecting the success of its expansion strategies.
Impact & Consequences
The establishment of Fawry Microinsurance Company represents a strategic move aimed at strengthening the company's presence in the financial market. This expansion is expected to create new job opportunities and boost the local economy.
Moreover, increasing awareness of the importance of insurance among citizens may lead to improved financial protection for individuals and families, resulting in a positive impact on society as a whole.
Regional Significance
Fawry's initiative to establish a microinsurance company serves as a model in the Arab region, where there is a growing need for affordable insurance services. This initiative could inspire other companies in the region to offer similar services, contributing to enhanced financial stability for individuals.
In conclusion, the establishment of Fawry Microinsurance Company is an important step towards achieving sustainable development in the financial sector, reflecting the company's commitment to meeting the changing needs of the market.