EGYPT – The central bank of Egypt has confirmed the appointment of Sherif Samy as non-executive chairman of Commercial International Bank (CIB bank), the biggest private bank in Egypt, adding that Samy should be well placed to address the central bank’s regulatory compliance concerns.
“The Governor of the Central Bank met with the Board of Directors of the CIB, who undertook to prepare a corrective action plan to remedy the supervisory notes of the CBE in particular with regard to internal control, credit risks and banking operations in a way that preserves the integrity of the bank’s financial position and the money of depositors,” according to a statement.
“The Central Bank will not hesitate to intervene under its supervisory powers whenever required within the framework of its commitment to protecting the funds of depositors in Egyptian banks in accordance with the provisions of the law and sound banking norms in order to preserve the stability and soundness of the banking system and its ability to achieve the state’s goals for financial stability and economic development.”
The central bank said in a statement it had approved Samy’s appointment, and that he should be “well-placed to work on addressing the Central Bank’s regulatory compliance concerns and governance concerns that had been communicated to CIB on several prior occasions”
He succeeds Hisham Ezz El-Arab who resigned from his position as a Chairman and Managing Director following a probe by the Central Bank of Egypt (CBE).
Ezz al-Arab, who was appointed chairman in 2002, is among the country’s leading bankers and a well-known figure in Middle Eastern finance.
In a statement on his Facebook page, Ezz al-Arab said he had planned to step down as chairman and managing director last year but was asked by shareholders to continue for another 12 months.
“In view of the current situation with the Central Bank of Egypt, I have decided the time has come to end my journey with CIB,” the statement said.
In addition, Paresh Sukthankar has been appointed as a Non-Executive Board Member by Fairfax Financial Holdings Ltd which owns a total of 6.55 percent of the bank, replacing Bijan Khosrowshahi who stepped down after concluding six years of service.
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