The state-owned National Bank of Egypt (NBE) has prepared a medium-term strategy, with a period of three years starting from 2014, in order to better face the market competition, deputy chairman of the bank Sherif Elwy said Friday.
The strategy involved growing the retail banking and small and medium enterprises (SMEs) sectors due to the fact that the growth rate of these sectors is faster than of the big companies’, according to Elwy.
Elwy added the strategy included reducing the relative weight of financing large companies from 70% of the bank’s loan portfolio to 40%, besides diversifying the remained share on financing individuals and SMEs.
Elwy stated that the bank’s deposits are growing with robust rates during the 2013/2014 fiscal year (FY) and are expected to reach EGP 387bn by the end of June, compared to EGP 313bn during the same period last year. This represents an EGP 74bn increase.
Elwy revealed that the bank is targeting the launch of 50 new branches during the coming three years, indicating that the demand on Islamic branches is the controlling standard for such a move. This will sum the bank’s branches to 417 by the end of 2017.
The deputy chairman of NBE automated teller machines (ATMs) reached 1,750 by the end of April, adding that the bank is aiming to increase them by 500 new ones and exchange 400 old ones by the end of 2015.
Elwy stated that the number of ATMs will reach 2,350 by 2015, an increase of 34%. Elwy pointed out that the bank relies on sophisticated and equipped machines that allow banking services, such as phone cash.
Elwy added that the bank will increase the Point of Sale machines (POS) to reach 15,000 machines by the end of 2015, compared to 11,000 which will be registered by the end of 2014.