CBE Deputy Governor Calls On Banks To Strengthen Capital Base

Gamal Negm, deputy governor of Central Bank of Egypt (CBE), called on banks to strengthen their capital base in order to comply with the international standards and avert potential credit risks in the future.

On the sidelines of the fifth annual conference held by the Egyptian Banking Institute (EBI), Negm stressed on the importance of regulating the relationship between CBE and the banking sector through imposing supervision conditions to control the market.

He also pointed to the necessity of improving banks’ liquidity management systems, especially after the repercussions of the global financial crisis that hit the banking sector, in addition to improving banking products.

CBE has played an important role on reforming the banking sector since 2004 through supervising mergers and acquisitions, adopting initiatives to reduce the reserve requirement ratio to 10%, supporting industrial, tourism and SME sectors as well as helping banks to apply Basel II regulations.

CBE has always been concerned with developing the banking sector which is now led by high skilled officials.