Alhi United Bank Eyes to Open EGP10bln Letters of Credit for 2 Sectors

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 Alhi United Bank (AUB) is aiming to open letters of Credit worth EGP10 billion in petroleum and food sectors to implement import and export operations during the last quarter of this year.

An official source in AUB told Amwal Al Ghad that the bank has opened letters of credit with EGP7 billion within the first 8 months of this year to several firms operating in food and grains along with EGP1.5 billion letters of credit for petroleum sector during the same period of this year.

The source said the duration of opening short-term letters of credit is ranging between 3-6 months, adding that the bank succeeded to expand in open Letters of guarantee and letters of credit and collection documents benefited from the bank’s virtue of network correspondents abroad.

The bank supported several vital sectors including foodstuff, medicine and petroleum products, stressing that the bank succeeded in alluring major customers to the trade market especially the finance of foreign trade helps to enlarge the marketing capacity through launching new markets inside the local products.

The total value of foreign transactions reached around EGP20 billion at the end of 2013, registering EGP6.3billion increase in compared to the bank’s foreign transactions in 2012 that were EGP13.7 billion, source added.

The foreign transactions’ management attained EGP50 million profits in 2013 from the total profits of the bank which reached EGP285 million, the source noted.

Furthermore, the financial statements of National Bank of Egypt (NBE) and Banque Misr revealed that net profits rose by 14% to reach EGP189.1 million by the end of June 2014, compared to EGP165.8 million at the end of June 2013.