According to the statement, Barclays will carry out its functions with the local financial adviser, “CI Capital”, with the aim of ending the process of exit of the Central Bank of Egypt from the ownership of The United Bank.
United Bank is one of 3 banks offered by the government as part of a bid program involving 32 companies and banks.
Egypt is looking to sell stakes in assets held by the government and military to prop up dollar sources at a time when the country is experiencing a shortage of hard currency and the high cost of imports, with the devaluation of the pound more than once, which pushed the dollar to around 31 pounds in the banks, while it breaks above the 36 pounds level on the black market.
The Central Bank said this step comes “in light of the Egyptian government’s recent announcement of its ambitious bid program, with the aim of increasing and strengthening private sector participation in the Egyptian economy, and pave the way for more comprehensive economic growth”. led by the private sector. »
The government’s bid program is of great importance to Egypt and the International Monetary Fund, which late last year approved a $3 billion loan for the country, which is seeking to sell equity investments in public companies to help fill the financing gap.
It should be noted that the Central Bank created the United Bank in 2006, as part of the banking sector reform strategy, through the merger of three banks: the United Egyptian Bank, the Nile Bank and the International Islamic Bank for investment and development. .
United Bank has 68 branches in Egypt and employs 1,730 employees. The bank’s total assets were £60 billion and its total capital was £10.7 billion as of December 2022, and its capital base is reflected in the capital adequacy standard up to 21 %, according to the Central Bank statement.
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