FRA hosts Omani delegation to strengthen regulatory cooperation, exchange expertise

The Financial Regulatory Authority (FRA), chaired by Islam Azzam, received a delegation from Oman’s Financial Services Authority (FSA), headed by its Executive Vice-President, Ahmed bin Ali Al-Maamari, and comprising officials responsible for financial supervision and stability, disclosure, trading surveillance and risk analysis.

The visit aimed to strengthen bilateral cooperation, facilitate the exchange of expertise and information, and advance areas of collaboration outlined in the memorandum of understanding (MoU) signed between the two authorities.

The two-day visit provided an opportunity to review key developments in both countries’ financial markets, exchange experiences in developing regulatory frameworks, enhance supervisory and technical cooperation, and learn from practices implemented in Egypt and Oman.

These efforts aim to improve regulatory performance, enhance financial market efficiency and strengthen investor protection.

During discussions with the Omani delegation, Azzam outlined the FRA’s efforts to develop Egypt’s capital market and modernise its legislative, regulatory and operational frameworks.

He highlighted the regulation and introduction of futures and financial derivatives markets, the activation of short selling, and the development of electronic trading surveillance systems to improve market efficiency, enhance transparency and trading integrity, and safeguard investors’ rights.

Azzam stressed that cooperation between regulatory authorities, the exchange of expertise and the dissemination of knowledge are essential to developing financial markets and keeping pace with rapid changes in investment instruments and financial technology.

He also highlighted the growing importance of using data and analytics to improve supervisory efficiency, identify potential risks and respond to them effectively.

For his part, Ahmed bin Ali Al-Maamari, Executive Vice-President of Oman’s FSA, expressed his appreciation for the visit, emphasising its importance in strengthening bilateral cooperation in regulation, supervision and capital market development.

He underscored the need to make capital markets more resilient and efficient and maintain communication between specialised technical teams to maximise the mutual benefits of exchanging regulatory and supervisory expertise.

During the technical sessions, FRA representatives highlighted regulatory and operational developments relating to the financial derivatives market, particularly futures contracts and their role in providing investors with instruments to hedge against price fluctuations and manage risks.

They also discussed how derivatives can support a broader range of investment strategies and contribute to deepening the capital market.

The FRA also reviewed ongoing preparations to introduce short selling under the new regulatory framework established by FRA Board Decision No. 155 of 2026.

The mechanism allows investors to sell borrowed securities in accordance with applicable rules and safeguards, helping to improve price discovery and enhance market liquidity.

The authority outlined the regulatory and operational requirements for implementing short selling, including the role of technological infrastructure and connectivity among market participants in ensuring the integrity of trade execution and settlement.

The sessions also covered electronic trading surveillance systems, mechanisms for monitoring transactions and detecting unusual trading patterns, and the use of technology and data analytics to strengthen regulators’ ability to identify and address potential violations.

A dedicated session examined the regulation and supervision of auditors and audit firms, mechanisms for maintaining professional standards and quality control, supervisory practices, and coordination with relevant professional bodies and associations.

The Omani delegation was briefed on the technical and regulatory aspects of these developments, including supervisory frameworks, implementation mechanisms and risk-monitoring procedures.

The discussions reflected the responsibilities of the relevant departments within both authorities and formed part of broader efforts to exchange expertise in disclosure, trading surveillance and financial stability.

At the conclusion of the visit, both sides agreed to continue cooperation under their existing MoU, supporting the development of regulatory and supervisory frameworks in both countries and strengthening integration among Arab financial regulatory authorities.