The general assemblies of the National Bank of Egypt (NBE) and Banque Misr (BM) approved their financial statements of the two banks, revealing that they collectively achieved profits before taxes that amount to EGP 102.6bn, with NBE bringing in EGP 66bn and BM EGP 42.6bn from July 2020 to December 2021.
The statements also indicated that NBE achieved net profits after taxes of EGP 29.7bn, as the bank paid EGP 36.3bn in taxes to the state treasury.
According to the financial statements of the NBE, the total financial position of the bank exceeded EGP 3 trillion in December 2021, compared to EGP 2 trillion in June 2020, and property rights increased by about EGP 60bn to record EGP 182bn.
They also showed that customer deposits increased to EGP 2.4 trillion by the end of December 2021 — an increase of EGP 790bn compared to June 2020 — reaching about EGP 2.8 trillion in June 2022. Moreover, the business results demonstrated that the number of the bank’s customers exceeded 17.8 million, compared to about 14.3 million.
The bank’s total loan portfolio also increased by 63%, as it recorded EGP 1.172 trillion at the end of December 2021, compared to about EGP 720bn in June 2020, to continue growing to reach EGP 1.393 trillion in June 2022.
The bank’s large corporate loan portfolio also increased by about EGP 362bn to reach EGP 903bn in December 2021 — a growth rate of 67%. Furthermore, it exceeded EGP 1.073 trillion by the end of June 2022. The bank also granted financing to small and medium enterprises amounting to EGP 110bn in December 2021 that increased to EGP 132bn by the end of June 2022, compared to EGP 77bn in June 2020.
According to the bank, it granted new credit limits of about EGP 2.7bn to support the tourism sector, reaching EGP 4.1bn in December 2021, compared to EGP 1.4bn in June 2020. This is in addition to granting new credit limits worth EGP 33.4bn to support the industrial sector, reaching about EGP 47.8 1bn in December 2021, compared to EGP 14.4bn in June 2020.
In the field of retail banking, the loan portfolio grew to reach EGP 159bn in December 2021 — an increase of EGP 57bn with a growth rate of 56% compared to June 2020 — achieving about EGP 188bn by the end of June 2022.
The bank also granted loans worth EGP 11.5bn to 105,500 customers within the initiative of the Central Bank of Egypt (CBE) for real estate financing.
Furthermore, the number of the bank’s branches increased to 613 in June 2022, including 17 electronic branches.
The number of automated teller machines (ATMs) also increased to about 5,347 in December 2021 — an increase of 635 machines over June 2020 — reaching 6,037 in June 2022. The number of PoS machines increased as well in December 2021 to about 334,800, compared to about 120,000 in June 2020, and reached over 397,000 in June 2022.
Additionally, the bank has managed to attract about 3.5 million new customers in the field of internet banking, bringing the total number of customers subscribed to Al-Ahly Net since its launch to 6.2 million customers in December 2021, compared to 2.8 million customers in June 2020.
Moreover, the number of subscribers to the phone cash wallet increased to 1.78 million in December 2021, compared to 1.68 million in June 2020, to continue growing to reach about 1.81 million wallets by the end of June 2022.
In the field of non-performing debts, the NBE made settlements for about 1,802 non-performing clients whose total debts amounted to about EGP 11.3bn, bringing the percentage of non-performing loans down by 1% of the total loans in December 2021, compared to 1.3% in June 2020.
Within the framework of the bank’s contributions in the areas of social responsibility, the value of these contributions amounted to EGP 2.8bn within 18 months, bringing the bank’s contributions to this vital file to over EGP 9.3bn in the last six years.
The bank is focused on supporting three main axes — the health sector, the education sector, and the field of slum development and combating poverty, in addition to supporting women who support their families financially and people with disabilities.
Shifting gears to BM, the bank’s total financial position amounted to about EGP 1.6 trillion by the end of December 2021, compared to EGP 1.2 trillion in June 2020 — a growth rate of 29%.
The bank’s total profits before taxes also increased to EGP 42.6bn with a growth rate of 76% and EGP 19.1bn paid in taxes, bringing the net profit for the fiscal period ending on December 31, 2021, to EGP 23.5bn — a growth rate of 113% — thus achieving the largest monthly average profit in its history.
The average monthly profit amounted to EGP 1.3bn, compared to EGP 900m in June 2020 — a growth rate of 42%.
Furthermore, the balance of net direct loans to customers jumped by 76%, reaching EGP 590.6bn, compared to EGP 335.4bn in June 2020 as a result of the growth of loans for individuals, small enterprises, and microfinance by 60%.
Loans for large and medium enterprises also grew by more than 79%, and deposits of customers witnessed growth by 33%, bringing their balance to EGP 1.2 trillion, compared to EGP 0.9 trillion in June 2020.
BM is one of the banks with the largest branch network in Egypt with about 800 branches and units across the country, in addition to its regional and global presence with branches in the UAE and France, affiliated banks in Lebanon and Germany, and representative offices in China, Russia, South Korea, and Italy.
The bank plans to expand in Africa and the MENA region through the implementation of projects for foreign branches in Saudi Arabia, Djibouti, and Somalia, in addition to a representative office in Kenya, which will be converted into a branch within three years of operation, along with a wide network of correspondents covering all countries of the world.
Moreover, BM has a lead in the field of Islamic banking, as it is the first public sector bank to establish Kinana branches for Islamic banking transactions, which amount to 51 branches.
The bank also has an advanced network of ATMs with more than 4,620 banks by the end of April 2022, in addition to about 13 million payment cards, most of which operate using the smart chip system.
Furthermore, BM is adopting a strategy to transform from a traditional bank to a bank that leads the digital transformation in the banking sector in Egypt.
In the field of social responsibility, the bank spent about EGP 1.5bn in donations in the field of community development from July 2020 to December 2021.