The Egyptian Exchange (EGX) obtained the approval of the Financial Regulatory Authority (FRA) to launch a clearing and settlement company for futures contracts, in preparation for the launch of the futures exchange.
Rami El-Dokany, Chairperson of the EGX, said that the Egyptian Exchange Holding Company for Markets Development has completed the procedures for establishing a futures contract settlement company under the name “Tasweyat Clearing Services Company”. The company will be established with an issued capital of EGP 100m.
El-Dokany told Daily News Egypt that the new company is 100% owned by the Egyptian Exchange Holding Company for Market Development, explaining that the paid-up capital of the company amounts to EGP 100m and has been paid in full.
He added that the step of establishing the company is the most important, indicating that the futures exchange will be launched within the next few months.
The EGX chairperson told DNE that the company’s first founding assembly was held on Sunday, in addition to the formation of the first board of directors which includes several capital market experts.
“The Egyptian Exchange desires to give a strong impetus to the new company, as it represents a large and qualitative addition to the infrastructure of the Egyptian capital market.”
He revealed that Sameh El-Torgoman will assume the position of Chairperson of the new company, while members of the Board of Directors will include Maged Shawky, Yasser Al-Qalaili, Dalia El-Baz, Hanan Abdel Meguid, and Mohamed Abu El-Magd. The CEO and Managing Director will be Khaled Amer.
El-Dokany stated that he did not join the board of directors so that the company’s operations would be independent, and to enhance the concepts of governance, transparency, non-conflict of interests, and confirmation of the company’s independence.
Tsawyat Clearing Services Company seeks to possess the necessary technological and knowledge infrastructure that enables it to activate clearing and settlement operations for futures contracts on commodities, which is one of the company’s future expansion opportunities, according to El-Dokany.
