Fintech company Lumin Soft, known for providing software products and solutions that serve the public sector and corporates in both Egyptian and global markets, recently received preliminary approval from the North African country’s Financial Regulatory Authority (FRA) to join the latter’s “FinTech Regulatory Sandbox,” becoming the third company to receive such approval since the initiative’s launch.
Through the sandbox, the Egyptian government wants to promote the widespread adoption of fintech, expanding digital services in non-banking financial activities. Lumin Soft specialises in digital identity solutions, electronic verification and digital contracting technologies. It recently submitted a project that would verify the identity of non-Egyptians using electronic passports (e-passports) through Near Field Communication (NFC) technology, enabling the creation of an integrated digital pathway for identity verification via smartphone devices.
Islam Azzam, Chairperson of the FRA, told the Daily News Egypt that such digital mechanisms represent an important step toward facilitating the entry of foreign investors into the North African country’s market, enabling them to access non-banking financial services.
“Simplifying procedures for identifying and verifying investors’ identities through secure digital channels would help strengthen foreign investment flows into Egypt,” the senior official stated further.
Lumin Soft’s project relies on reading and verifying e-passport data in accordance with the International Civil Aviation Organisation Public Key Directory (PKD) standards, ensuring both data security and reliability throughout the verification process.
Azzam further added that adopting advanced technological solutions in financial services aligns with the government’s broader strategy to position Egypt as a regional fintech hub.
“Supporting digital innovation and strengthening the technological infrastructure of the financial sector will enhance the competitiveness of the Egyptian market and attract more fintech companies,” he noted.
The regulatory sandbox launched by the FRA serves as a key regulatory tool, not only in terms of supporting innovation in the financial sector and providing a supervised testing environment that allows companies to trial innovative business models and technological solutions before bringing them to the market.
“Through its participation in the sandbox, Lumin Soft will be able to conduct live testing of its business model within the regulatory framework. This includes creating digital identities using e-passports and integrating with the Azimut Investments Egypt platform, enabling investors to access financial products within a regulated supervisory environment,” Daily News Egypt reported.
Ahmed Khalifa, Executive Director of the FRA’s regulatory sandbox, said the project will help non-Egyptians access investment services across various asset classes in the Egyptian market while enhancing the efficiency and competitiveness of the non-banking financial sector (NBFC).