CIB>>Business>>Financial Institutions

Financial Institutions

The Financial Institutions Group (FIG) covers global relationships with credit institutions and serves as entry point and first contact for credit institutions with CIB. FIG manages CIB's business with local and foreign banking and non-banking financial institutions through 3 specialized Divisions: 

1. Correspondent Banking, 

2. Non-Bank Financial Institutions 

3. Finance Programs and Donor Funds. 

 

Correspondent Banking Division (CBD)
CB lies at the core of FIG acting as the focal point of contact for local and international banks working with CIB.  The Division is highly active in supporting and coordinating CIB's relationship with various correspondent banks and provides an array of products and services including trade finance, direct lending, international payments and tailored/structured solutions.  A number of factors underpin the Division's core competencies:

 

  • Experienced regional relationship officers
  • Specialized product managers
  • A diverse network of almost 200 global correspondent banks
  • Strong ties with multilateral financial institutions
  • Access to prime corporate and business banking clients
  • Proven track-record in delivering tailored credit and trade finance services

     The Division manages its correspondent credit relationships through dedicated and experienced relationship officers who are structured regionally as follows:

  • Americas & Europe team
  • Asia Pacific team
  • MENA region, Africa and Russia

     Complementing the activities of the Division is a "Trade & Cash Products Team" specialized in structuring products and services that meet unique needs of banks and clients as mentioned hereunder:
     
  • Without recourse financing or discounting of trade instruments (Forfaiting)
  • Letters of Credit refinancing
  • Risk participations
  • Bilateral loans and funding arrangements
  • Nostro and Vostro accounts management
  • Commercial and interbank payments and cash letter collection services

 

Key Achievements:

  • Achieved continuous growth in acquiring trade finance business.
  • Grew CIB's correspondent network in new markets like Asia, Africa and Latin America.
  • Maintained a well-diversified trade & forfeiting portfolio and continued expanding risk participations on both direct and contingent business focusing more on CIB and its clients.
  • Expanded the spectrum of trade and cash product offerings

Main Objectives:

  • Continue to explore and penetrate new markets. 
  • Focus on supporting Egyptian trade and business.
  • Introduce/innovate revenue-generating products and services.

 

Non-Banking Financial Institutions Division (NBFI)
NBFI is a credit-lending division under FIG providing a range of credit facilities, liability products and services to all types of non-bank financial institutions.  Targeted clients include leasing, insurance, securities brokerage, car finance, factoring, NGO's, Credit Insurance and investment companies.

 

Key Achievements:

  • Succeeded in controlling and maintaining portfolio risk at moderate levels and managed an effective collection of loan portfolio payments through the application of a well-controlled credit policy.
  • Established new limits for existing credit insurance companies and identified new accounts to accommodate contingent business targeted.
  • Increased cross selling of CIB retail products.
  • Engaged in securitization transactions with Debt Capital Markets Team.

 

Main Objectives:

  • Maximize share of wallet with existing relationships focusing on leasing, credit insurance and brokerage (clearing & settlements accounts) in terms of volume & number of accounts especially with top market players.  
  • Pursue aggressive marketing of CIB's liability products and cross-selling of GTS products and services.
  • Grow existing contingent business with NBFIs.

 

Finance Programs & International Donor Funds Division (FP)
FP is uniquely specialized in managing sustainable development funds and credit lines provided by government and international agencies that positively impact our community and environment. 

Through FP, CIB acts as an agent bank for many funds, grants and credit lines by providing an array of services & tailored operation mechanisms such as structuring new grants and concessional loans, creating disbursement & repayment mechanisms, securing investment of uncommitted funds, promoting funds to potential target groups, offering technical pre-loan assessment and post-loan monitoring.  CIB also acts as a participating bank financing clients on concessional terms giving it a competitive edge over peers. CIB also participates in guarantee mechanisms to increase SME accessibility to credit lines.  FP also adopts the direct microfinance model with a service company on service agreement basis to reach end users directly. This adopted is achieved in partnership with multilateral FIs and in coordination with the NBFI Division.  Moreover, FP provides Technical Assistance and Consulting Services through  an array of integrated and competitive consultancy services targeting developmental programs.

 

Key Achievements:

  • Since inception in the 1990's and with the collaboration of  Ministry of Agriculture and Land Reclamation, FP has played a role in the country's Agrarian Development through encouraging the Egyptian private sector in food and agriculture business.
  • FP continues to be engaged in various Environment and Pollution Abatement Projects that aim to assist companies in transforming into green operations. 
  • FP penetrated the Microfinance sector in collaboration with The Spanish government.
  • FP maintained CIB's leading position as Agent bank in the market and managed to disburse billions of loans towards agricultural development  through a network of 12 participating banks. 
  • Achieved continuous growth in microfinance lending.  
  • Cross Selling: The Division contributed to cross-selling CIB's various retail products, including credit cards, consumer loans, and other consumer and corporate bank products. The division also coordinated the signing of a USD $250 million agreement with a leading international government agency being a guarantee mechanism to support financing of Egyptian SME companies.


Main Objectives:
•Maintain CIB's leading position as Agent bank dominating donor funds
•Attract funds and participate in new developmental programs
•Increase CIB's market share of direct and indirect microfinance lending
•Focus on growing advisory services offerings to clients​