EFG-Hermes to cut bonuses, appoints Gulf executive

Egyptian investment bank EFG Hermes said it was cutting back bonuses to reduce costs by more than 20 per cent this year.

"As part of a strategy to make the organisation leaner and with a target of cutting costs in 2011 by over 20 per cent, the firm has elected to be aggressive with cuts to its bonuses in 2010," it said.

EFG Hermes also said it had appointed Seif Fikry, who has worked for the Cairo-based investment bank for 14 years, as chief executive for the Gulf Arab states excluding Saudi Arabia.

Fikry's new role will cover five countries: Oman, the United Arab Emirates, Qatar, Bahrain and Kuwait.

He has previously served as managing director and head of securities brokerage in the United Arab Emirates and Oman and has spearheaded the company's brokerage business for five years in the five Gulf states. He will replace Philip Southwell.

EFG Hermes shares were down 0.2 per cent at 0915 GMT with the broader stock market up 1.4 per cent.