ALD.L Share News (ALD)

* Outgoing CEO says very optimistic about future

* FirstRand H1 profit growth slows to 6 pct vs 14 pct

* Shares up 1.3 pct, lags rivals and broader market

* Incoming CEO says won't tinker with strategy(Adds incoming CEO comments in paragraph 13-14)

By Tiisetso Motsoeneng

JOHANNESBURG, March 6 (Reuters) - FirstRand gave acautiously optimistic outlook on Tuesday, joining other SouthAfrican businesses pinning their hopes on the country's newpolitical leadership.

Companies in South Africa are banking on President CyrilRamaphosa to follow through on promises to kick-start theeconomy, fight corruption and bring policy certainty.

Banks like FirstRand have largely borne the brunt of astagnant economy and political uncertainty relating tocorruption allegations surrounding former president Jacob Zuma,who denies any wrongdoing.

"We are very optimistic about the future but we need tobalance that with the fact that it would take time to fix someof the structural issues," FirstRand's outgoing chief executiveJohan Burger told Reuters by telephone.

Zuma was replaced last month after a nine-year tenure ofwhat analysts called economic mismanagement that led two creditrating agencies to downgrade the country's debt to junk as aweak economy hit investment and consumption spending.

"In the short to medium we're still going to have relativelylow economic growth rate," Burger added after First Rand, thecountry's biggest lender, reported a 6 percent increase inhalf-year diluted headline EPS, a key profit measure in SouthAfrica, to 224 percent, a substantial slowdown from a year ago.

CONFIDENCE RISING

FirstRand, along with its rivals, has struggled to growlending at a faster rate, as a stagnant economy and highpersonal debt levels have hit both investment and spending.

Finance minister Nhlanhla Nene, part of Ramaphosa's newteam, said this week that 2018 economic growth estimate -forecast to grow by 1.8 percent in a Reuters poll - would berevised upward by October due to improved business confidence.

While higher, the rise in FirstRand's EPS was less than halfthe 14 percent rise posted in the same period a year before,while net interest income, a key measure of lendingprofitability, increased 7 percent to 23.7 billion rand ($2.01billion), it said in a results filing.

Burger's strategy has included reducing its reliance onSouth Africa and it has been looking at developed markets forgrowth, while scaling up branches elsewhere in Africa.

FirstRand said it had secured regulatory approval for its1.1 billion pound ($1.52 billion) acquisition of British bankingnewcomer Aldermore.

Burger will step down at the end of the month and bereplaced by his deputy Allan Pullinger, a 20-year companyveteran. Pullinger said he would not fiddle with strategicpriorities that also include growing the company insurance,savings and asset management offering.

"I have been part of the strategic thinking for many yearsnow and we've received feedback which tells us we're onto a goodstory," Pullinger said. "What you're going to see is increasedfocus on the execution of that strategy."

Shares in FirstRand rose 2.49 percent to 76.05 rand as of1152 GMT, lagging a 3.08 percent rise in the sector and thebroader market.($1 = 0.7232 pounds)(Editing Biju Dwarakanath and Alexander Smith/Mark Heinrich)