Egyptian Saudi Finance Bank changes name
Economic growth has fuelled expansion
Cairo (Reuters) Bahrain's Al Baraka Banking Group (ABG) said it had changed the name of Egyptian Saudi Finance Bank and will invest 3.4 billion Egyptian pounds (Dh2.25 billion) to expand its operations.
The Cairo-based Islamic bank, in which ABG has a controlling stake, will now be known as Al Baraka Egypt Bank. ABG CEO Adnan Yousuf told a news conference the bank had been encouraged by Egypt's economic growth over the past year.
Al Baraka Egypt Bank will set up a 100 million pound Sharia-compliant real estate fund to finance plot purchases by middle-income clients. It may later increase the fund by 500 million pounds to meet demand.
It would also establish a second, similarly sized fund, to finance consumer goods like cars or household appliances.
"The Egyptian economy ... is witnessing an ongoing series of economic and financial reforms which were well-received and praised by concerned international institutions," Yousuf said.
"The bank's philosophy is to be a main player in the national economy and offer retail products to a wide customer base," said Ashraf Ghamrawy, head of Al Baraka Egypt.
Branches to be doubled
Ghamrawy said Al Baraka Egypt planned to double its branches in Egypt to 50 by 2015. The Cairo-based bank's assets rose 10 per cent in 2009 to $2.12 billion (Dh7.78 billion), investments were up 16 per cent to $1 billion, financing activities grew 4 per cent to $815.6 million and deposits rose 13 per cent to $1.87 billion.
Net profit jumped 224 per cent to $13.56 million.
