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Wednesday, 20 May 2020

CIB to push ahead with expansion plans -Hisham Ezz El Arab

With ample liquidity, Egypt’s leading private-sector bank looks to push ahead with expansion plans: CIB is committed to pushing ahead with its expansion strategy once it finalizes its recent acquisition of a 51% stake in Kenya’s Mayfair Bank, Chairman Hisham Ezz El Arab told Bloomberg TV (watch, runtime: 8:08). The bank currently has ample capital and more local currency liquidity than required by the Central Bank of Egypt. “I don’t see any use for the excess capital we have, unless we carry on with our expansion policy,” the CIB chairman said. The bank is also “well-placed” to pay out dividends, but noted this isn’t on the corporate agenda until 1Q2021; CIB has declared dividends once per year since 2011.

Africa expansion plans still on course: CIB sees plenty of possibilities for Egypt in Africa, and believes that the country can provide benefits to its neighboring countries through cooperation, Ezz El Arab said. Africa has been at the heart of CIB’s expansion plans — in addition to its majority stake purchase in Mayfair Bank. CIB, Egypt’s largest private-sector bank, opened a representative office in Ethiopia last April.

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