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ABN repeats Egypt,Lebanon bank ratings

CAIRO: ABN AMRO reiterated its "buy" rating for three Egyptian banks and one Lebanese bank, based on actual figures for 1999 and revised earnings forecasts for 2000, it said in a research note on Monday.

Ghassan Medawar, ABN's Middle East and North Africa bank analyst, said that ABN maintained its "buy" rating for Egypt's Commercial International Bank (CIB) He forecast net profit to grow by more than 12 percent to 393.4 million pounds ($114 million) in 2000.

ABN repeated its "buy" rating for National Societe Generale Bank "We are positive about the fact that NSGB has one of the lowest dividend pay-out ratios in its peer group," the note said. It expected the bank's equity to grow by 18 percent in 2000.

ABN said Egyptian American Bank remained a "buy" and was expected to maintain its status this year as Egypt's fastest growing bank among the four leading Egyptian banks. It forecast earnings per share to grow in excess of 20 percent in 2000. ABN said EAB was the cheapest Egyptian bank, but liquidity was limited as the state owned 36 percent.

The research reiterated a "hold" rating for Misr International Bank It forecast net profit growth of 18 percent in 2000, "driven mainly by strong growth in net interest income". It said the bank was considered a net interbank lender.

ABN repeated its "buy" rating and a $30 per GDR target price for Lebanon's Banque du Liban et D'Outre Mer. It forecast 11 percent earning growth and 12 percent asset growth.

ABN maintained its "hold" rating for Banque Audi with a $22 per GDR fair value. It forecast a four percent earning growth in 2000, owing to "Lebanon's tough operating environment, with sluggish economic growth". -Reuters