Piraeus Bank Egypt is to increase its capital by €35 million ($43 million) to expand its credit portfolio.
The bank, almost fully owned by Greek group Piraeus Bank, will raise its capital by 24 percent over the next 70-75 days, chief executive Nayera Amin told reporters.
"This capital increase shows that the mother bank in Greece sees Egypt as a promising and growing market even during Greece’s debt crisis," Amin said on Monday.
Just 10 percent of the 77 million population in Egypt, which has largely shrugged off global financial turmoil, uses banks.
Analysts say this percentage will grow, with some government entities moving their payroll operations to banks.
Piraeus Bank also planned to increase its share of Egypt’s banking sector to 5 percent over the next 3-5 years from 1.3 percent now, Amin said.
The bank finances LE 5 billion ($880 million) worth of loans and holds LE 9 billion worth of deposits.
