BANQUE DU CAIRE MOST IMPORTANT ACHIEVEMENTS

The Bank has continued during FY 2004 / 2005 to pursue

a modernization and development through several axes to be

implemented in parallel. Perhaps most importantly keep abreast of modern technology, together with the upgrading and development of staff skills.

     1.      Technology                                                                                             

• A key strategy of BDC is to introduce the best  and most sophisticated banking technology to meet customers’ requirements
• Implementing a new global banking system called Flexcube as the  main software platform for banking operations with the new system being rolled   out across the branch network. In March 2006, 114 branches were connected to the system up from 96 branches in January 2006 and 48 branches in June 2005.
• The SWIFT system was extended to cover all the branches applying  Flexcube.
• The internal communications network now links all the bank’s branches and departments online.
• Spreading the service of Any Branch Banking (A.B.B) that enables customers to transact on their accounts regardless of which branch they visit.
• Expansion of its ATM network in the country to total 177 machines in June 2005 with a growth rate of 13% .

      2.      Retail  Banking and Credit Cards                             

• Expanding the application of electronic services and products  to satisfy  customers’ needs. 
• Issuance of Credit Cards (Visa and MasterCard) as well as Debit Cards and the introduction of the Prepaid  Cards such as the Payroll Card and the Money Transfer Card (El Fawri) .

§         The above schedule reflects a solid cards business performance as follows:

      -       A 44% growth rate for Active cards.

-       Issued ATM cards totaled 341,000 cards in June 2005 as against 236,000 cards  in June 2004 with a growth rate of 44% .

-       Forex proceeds rose by 74% in June 2005 compared to the same period last year .

-       Net activity after excluding cost of funds recorded a rise of EGP 5.2 million up from EGP 4.6 million, with an increase of EGP 651,000 or 14% .

-       Issued ATM cards reached 407,000 cards in the 1^st half of FY 2004/2005 meeting as such the targeted plan . Also the Forex proceeds  recorded US$ 24622 thousand during the same period, and net activity after excluding cost of funds  totaled EGP 3.3 million.

     3.      Customers Cash Management

• BDC commenced  its customers cash management services on January 9, 2005 in line with its policy to develop new products and services in the face of intensifying competition.
• Despite the short period, noteworthy results were realized as follows:

-          Attraction of 17 new companies as business partners.

-          Activating the business relationship with (9) companies of the bank’s customers .

-          Customers cash management transactions totaled EGP 495 million during this period.

-          Total achieved revenue amounted to EGP 358 thousand .

-    Companies dealing with the bank rose to 4 companies at the end of December 2005   

       and the volume of their transactions totaled EGP 2692 million recording a total  

       revenue of EGP 4.4 million .

      4.     Human Resources

• Special attention was paid to training employees who form the basis for the successful development of the bank.
• The bank’s HR strategy mainly focused on restructuring personnel to develop and retain qualified and performance oriented employees.
• 904 training courses were organized and attended by 8354 staff members  from different levels. Various subjects were covered dealing with the most updated banking trends and technologies.

      5.      Activating The Capital Market

• BDC continued its role in line with the state’s policy aiming at expanding the ownership base and activating the Capital Market.
• The bank had a firm belief in the importance of backing the capital market which is a key tool for gathering savings and financing projects . And as such was keen on investing part of its resources in successful projects for the benefit of  the national  economy in general and its own benefit in particular and to be released as well from the circle of limited interest income to the horizon of the unlimited investment and  capital revenues.
• BDC is accordingly engaged in the following activities :-

-          Appraising feasibility studies of projects submitted to the bank for equity participation taking into consideration the national importance of these projects and their foreign currency revenue.

-          Optimizing the management of the bank’s portfolio of trading investments.

-          Conducting the sale and purchase of shares and bonds through its branches .

-          Carrying out all procedures required for establishing new companies and promoting them.

-        Organizing the process of receiving the subscription applications in newly established  companies and increasing the capital of the existing ones.

-         Carrying out Initial Public Offerings (IPOs) for shares and promoting them locally and abroad especially in the Gulf countries .

-          Promoting the products of major companies through the branches inside Egypt and abroad.

-          Providing various financial consultation and  services .

      6.      Micro Lending Program

• BDC launched its micro lending program in July 2001 to finance micro and small enterprises that play an important  role in creating new job opportunities, serving as such the national economy.
• The bank achieved striking results in its program and was ranked the first in the Middle East in terms of volume and performance  .
• The micro lending program was specially tailored to meet the needs of small business enterprises and to suit their payment capabilities. The  loan procedures were simplified and the loans were granted without collateral.

o     The following schedule marks the results achieved :-

o          Loans at the end of June 2005 rose to 239946 loans compared with 137301 loans at the end of  June 2004 with a growth rate of 75%.

o          Loans value totaled EGP 785.9 million, with an increase of EGP 396 million or 89% growth rate.

o          The program’s total interest income recorded EGP 74.6 million as at 30/6/2005 with an increase of EGP 40  million or 115.6% growth rate .