NBE holds 29% of deposits, 21.2% of retail loans in Egyptian banking sector

Hossam Mounir
4 Min Read

Vice Chairperson of the National Bank of Egypt (NBE), Yehia Aboul Fotouh, revealed an increase in total customer deposits to EGP 1,186bn at the end of June 2019, up by 17% from June 2018, and marking a market share worth 29%, which is the highest in the Egyptian banking sector.

Aboul Fotouh pointed to the bank’s success in attracting 1.3 million new customers from outside the banking market during the past fiscal year (FY), thus exceeding 12.3 million customers in total.

The NBE is, hence, the largest in terms of customer base in the Egyptian banking sector in general.

Aboul Fotouh added that the total volume of retail banking loans in the bank amounted to about EGP 73bn in June 2019, up by 59% from June 2018, with a market share of 21.2%, up by 4.1% compared to the previous year.

He pointed out that this development is what enabled the NBE to win the Best Egyptian bank in the field of retail banking by the Asia Banker in 2019, which the bank has retained for many years.

According to Aboul Fotouh, the personal loan portfolio holds the largest share of the retail banking loan portfolio, where the bank granted new finances worth EGP 39bn to 255,000 clients in the last FY alone, to bring total personal retail loans to EGP 52bn, accounting for 70% of total retail loans.

He pointed out that the bank’s credit card portfolio exceeded EGP 5bn to 1.085m, which represent 7% of the retail loans portfolio and a market share of 27%, which is the largest in the Egyptian banking sector.

The NBE is the pioneer of electronic payment card market in Egypt, as the first to issue credit cards in Egypt in 1994.

Chief Executive Officer of Retail Banking and Branches, Alaa Farouk, said that the bank is strongly involved in issuing the Aman Insurance Certificate, with sales worth EGP 183.2m to the end of June 2019 to 156,000 clients.

He added that the bank has put forward the future savings account with a total of EGP 205.9m at the end of June 2019 to support financial inclusion, where it opened accounts of a minimum balance of EGP 500 without annual fees and with a free insurance from the age of 16 until 50 years, with a minimum of EGP 5,000 and a total of EGP 100,000 according to the account balance.

According to Ayman Gamgoum, head of the bank’s branch group, the bank has 483 branches and units, adding that 38 branches were opened in the last FY, in addition to bringing up the number of ATMs to 4,097 machines with a market share of 33%, which is also the highest in the banking sector.

He noted that the bank also opened four electronic service branches, with plans to reach 25 branches by the end of 2020.

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