Egypt was chosen among the top five banking markets in Africa in terms of growth and profitability, according to a study by management consulting firm McKinsey & Company.
The McKinsey report said that Egypt, Angola, Nigeria, South Africa, and Morocco account for 68% of the continent’s total banking revenues.
The report identified four archetypes among African banking markets: relatively mature, which includes countries such as Egypt and South Africa; fast-growing transition; sleeping giants; and nascent markets.
Relatively mature markets have higher branch penetration—17 branches per 100,000 adults versus the African average of five. They also have higher credit penetration: 22% of adults, double the African average.
The report predicted that around 60% of retail banking revenues in the continent over the next five years will come from Egypt, Morocco, South Africa, Ghana, and Nigeria.