Treasury & Capital Markets
The Treasury & Capital Markets Group aims to maximize Banque Du Caire’s profits, provide innovative investment solutions to clients, and hedge clients as well as the bank’s exposure against expected volatility.
- Term Deposits for periods starting from 1 week up to 1 year to suit different customers’ needs.
- Term Deposits are issued in any of the following currencies; EGP, USD, EUR, GBP, or SAR.
- Other FCY long term saving schemes are also available at Banque du Caire such as CDs, in addition to Belady CDs in USD, EUR & GBP tenor from 1 year up to 3 years.
- Providing competitive exchange rates either against EGP or foreign currencies.
Providing a variety of financial derivatives to hedge customer’s potential exposure like Interest Rate Swap (IRS) and FX Forward Contracts:
- Interest Rate Swaps:
- Interest Rate Swaps “IRS” is the exchange of a fixed interest payments rate for floating rate payments, or vice versa.
- Under the IRS, customer’s floating rate obligations will be exchanged with fixed-rate obligations through paying a fixed interest to the bank.
- IRS is usually contracted to secure the future commitments of customers through:
- Fixing the interest rate of each instalment; therefore, avoiding the fluctuations of the interest rate market
- Fully assessing future commitments
- Optimum certainty of the outgoing cash flow at different commitment dates
FX Forward Contracts:
A Forward Exchange Contract is a special type of foreign currency transaction. Forward Contracts are agreements between two parties (the bank and the client) to exchange two designated currencies at a specific time in the future. Such a product helps the client to protect against potential fx fluctuations.
The Ministry of Finance issues Treasury Bills auctions for different tenors (3,6,9&12 months ) and Treasury Bonds auctions for different tenors (2,3,5,7,10& 15 years) , which are used to finance the internal government’s debt.
Banque du Caire is an authorized bank to act as a primary dealer on behalf of the Ministry of Finance which enables the bank to subscribe immediately to the auctions for its own portfolio or the bank’s clients upon their orders. Banque du Caire is also an active player in the Secondary Market.
Sales Desk Direct Access
- Real time quotations and pricing for all Treasury products
- Hedging customers portfolios and maximizing their returns
- Evaluation of customer’s cash flow precisely according to business needs
Research and Analysis
A daily “Morning Brief” is prepared by the Treasury Group. The Morning Brief contains information such as; FX rates, LIBOR, Deposits rates, latest market bulletins and news, major commodity rates, top stock exchanges indices and other useful information.
The Treasury & Capital Markets group is maintaining a leading role as one of the largest exporter/ importer of cash banknote serving the entire banking system in Egypt.