CGD pays €741 million in dividends to state

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State-owned bank Caixa Geral de Depósitos (CGD) is to pay €741 million in dividends to the Portuguese State in 2019.

The amount is up €326 million on 2018 which was the first year in which the bank paid dividends since 2010.

It means the bank is in a better shape than it was four years ago with its latest profits rising to around €120 million.

A report which accompanies the State Budget for 2019 delivered to parliament on Monday does not detail the amount of dividends the bank is paying to the Portuguese State but does say that dividends are up by €326 million on last year.

In 2018 the dividends from Portugal’s state-owned bank paid €415 million into state coffers.

“The perspective for dividends from Caixa Geral de Depósitos and dividends paid by the Bank of Portugal have contributed to an increase of 9.5% of other current account receipts,” states the report.

After net profits of €52 million in 2017, CGD saw profits increase to €194 million for the first half of 2018.

On 24 September, at the 31st Investors Relations & Governance Awards sponsored by Deloitte, CGD CEO Paulo Macedo told journalists that: “Caixa was meeting its strategic mission in terms of results and would present significant positive results as outlined in its plan”.