Eurobank plans to double profits from international operations

Eurobank is planning careful steps to further strengthen its activities with the aim to more than double the contribution of its international network to the group’s profitability, the bank’s deputy CEO Stavros Ioannou said on Tuesday. The bank hopes to increase profits from 100 million euros at present to more than 200 million euros annually, taking advantage of its strong and very promising international presence in five countries, Ioannou said.

Presenting the bank’s international strategy in Nicosia, Cyprus, Ioannou said Eurobank quickly responded to the serious repercussions of the crisis on the Greek banking system and the commitments made to the European Union’s DG Comp. The bank acted early, which combined with a successful capital increase plan from private funds during the latest capital increase scheme allowed it to emerge as the only Greek bank with a strong international presence in countries with a large number of Greek enterprises, such as Bulgaria and Serbia.

“We decided to remain in countries with strong growth rates, where we have a strong presence, among the four, five strongest banks in local economies, to play a leading role. We left countries such as Poland and Turkey, large markets, because further growth to play a leading role demanded investments not allowed as a result of the crisis and we sold our business to take profits,” Ioannou said.

The Greek banker said Eurobank’s international activities were not armoured against external factors and were operating efficiently and independently, contributing to the Group’s profitability. Eurobank expects increasing profitability to continue.

Eurobank plans to set up a shipping department in Cyprus, as the island is emerging as a shipping center, Mihalis Louis, Eurobank Cyprus CEO, said. He stressed that Eurobank remains focused on strengthening its leading presence in asset management, international banking, corporate banking and capital markets.

Eurobank has established activities in Bulgaria, Cyprus, Serbia, Luxembourg and the UK with a branch network of more than 285 units, total assets of 10.8 billion euros, a loan portfolio of 5.8 billion euros and deposits of 8.9 billion euros. Net profits from international operations totaled 99 million euros at the end of September 2017.