Tarek Amer: Egyptian Economy Is Able To Grow Again
Tarek Amer, Chairman of Federation of Egyptian Banks and National Bank of Egypt, said that Egyptian economy has all capabilities and mechanisms to achieve high growth rates when political and security statues become stable by the second half of the current year.
This statement came during the meeting held yesterday at the sidelines of the Arab banking Conferences 2012 in Abu Dhabi in the presence of Mohamed Barakat, chairman of Banque Misr; Mohamed Nasr Abdeen, CEO of National Bank of Abu Dhabi and Tamer Mansour, Egyptian ambassador in Abu Dhabi as well as 400 representatives of Arab and Egyptian banks and Egyptian businessmen working in gulf countries introducing for them the real indicators of the Egyptian economy and marketing “Masri dollar certificates of deposit” launched yesterday in Arab countries.
Amer affirmed that the results of the fourth quarter of 2011 prove the strength of Egypt’s economy as the volume exports improved in the third quarter as it registered US$ 6.4 billion in the period of July-September 2011, compared with US$ 6.1 billion in July-September 2010.
Amer said that the transfers of Egyptians abroad reached US$ 4 billion, expecting them to increase to US$ 8 billion. In addition, direct foreign investment registered US$ 440 million in the period from December 20th to last March, which is equivalent to the total value of direct foreign investments in 2003.
As some recommended launching Egyptian dollar certificates of deposit for Egyptians abroad after the presidential elections, Amer affirmed that the date of launching the certificates is appropriate. Amer informed that the certificates are with a fixed return of 4% semiannually, to be disbursed each 6 months. The dollar CDs will not compete with the platinum ones as the first is a good investment instrument for Egyptians living abroad and a way for diversifying investment portfolios.
The dollar certificates of deposit are guaranteed by the Egyptian government and will be offered in National Bank of Abu Dhabi and Banque Misr in United Arab Emirates; Arab National Bank in Saudi Arabia; National Bank of Kuwait in Kuwait; Ahli United Bank in Qatar and Bahrain; and Arab Banking Corporation in Tunisia.
National Bank of Egypt and Banque Misr, the largest financial institutions in Egypt, are offering these CDs with being guaranteed by the Egyptian government, meaning that these CDs are riskless.
International credit rating agencies lowered Egypt’s rating many times despite the positive indicators of the Egyptian economy because these agencies are working according to assumptions not real criteria.
Tamer Mansour, Egyptian ambassador in Abu Dhabi, hailed Egyptian delegation encompassing Tarek Amer, chairman of Federation of Egyptian Banks; and Mohamed Barakat, chairman of Banque Misr, on their efforts in encouraging Egyptians to invest in the high-yield Egyptian dollar certificates of deposit.
