NBE launches Dollar CDs For Egyptians Abroad
The National Bank of Egypt (NBE), The country’s leading bank with assets exceeding $50bn, announced the launch of ‘Masri Dollar Certificates,’ a new US dollar-denominated certificate of deposit.
The certificates, designed exclusively for Egyptians living abroad and beneficiaries of remittances, offers a 4% annual return, paid semiannually, considered one of the highest rate of return for US-dollar certificates in the region.
The Masri Dollar Certificates are fully backed by the Egyptian government.
National Bank of Egypt, which serves 5 million clients, has a international presence through global subsidiaries, branches and offices in China, the United Kingdom and New York as well as representative offices in Johannesburg, Addis Ababa, and Dubai. NBE also enjoys an extensive correspondent network around the globe, Egypt’s leading commercial partner.
The CDs are being distributed under arrangements with the National Bank of Abu Dhabi and Bank Misr in the Emirates; with ANB in Saudi Arabia; through NBK in Kuwait; Ahly Bank in Qatar and Ahly United Bank in Bahrain. Egyptians living in Tunisia will be served by ABC Bank, while recipients of remittances from Egyptians abroad can purchase CDs at NBE branches in Egypt.
Egyptian citizens living outside our nation’s borders may also invest in Masri CDs at any NBE or Banque Misr agencies.
The Masri US Dollar Certificate is a unique fixed-income investment solution for Egyptians living abroad seeking superior returns despite the uncertainty that characterizes the global economy. Masri CDs offer investors the chance to securely lock in an outstanding rate of return on their US-dollar savings. Moreover, investors will know that their deposits are being put to work, here at home, forming an important new pool of foreign currency liquidity for the Egyptian economy.
Investors can have confidence in the guarantees of the Government of Egypt. The National Bank of Egypt recorded its third consecutive year of strong profits, with $770m in earnings before tax and $350m in net earnings in the most recent fiscal year, reflecting its financial strength and market coverage.
Foreign currency deposits stood up to $8.3bn as of June 2011, which reflects $750m increase over January 2011 figures. The bank successfully issued in 2010, its first international bond, attracting 158 international investors (predominantly European) who expressed appetite for $2.2bn in bonds.
Despite Egypt’s political developments since January 2011, the Central Bank of Egypt has met all of the country’s international obligations promptly and honored investors need to repatriate dollars, which exceeded $15bn in addition to regular payment of its international obligations and ongoing country requirements.
The minimum purchase for a Masri CD is $1,000, with no ceiling for individuals. The three-year certificates are not redeemable in the first six months.
First interest is counted starting the month following purchase and is due after six months.
Press Release
