Egypt's EDBE profit dips, proposes capital increase

CAIRO, Sept 7 (Reuters) - Export Development Bank of Egypt (EBDE) (EXPA.CA) said net profit for the year to end-June dropped 26 percent and it was proposing to increase its capital, the stock exchange reported on Tuesday.

The exchange had suspended trade in the bank's shares earlier in the day until it sent its financial results for the year.

EDBE's board of directors on Monday approved a plan to increase the bank's capital by 240 million pounds ($42.1 million) by using reserves and retained earnings, it said in a statement sent to the exchange.

The board will ask shareholders to approve the increase at an extraordinary shareholders meeting whose date has yet to be announced.

Net profit reached 194.6 million Egyptian pounds ($34 million), down from 264.6 million in the year to end-June 2009. No other financial details were given.

Shares in the bank, which is owned 77 percent by the government, last traded at 11.95 pounds each. (Writing by Patrick Werr; Editing by David Holmes) ($1=5.704 Egyptian Pound)