Al Ahli Bank of Kuwait – Egypt Achieves 100% Net Profit Growth in the First Quarter of 2023

Al Ahli Bank of Kuwait – Egypt (ABK-Egypt) continues to build on its success as one of the fastest growing banks in the Egyptian market despite a challenging economic landscape, delivering very strong results in all key performance indicators in the first quarter of the year 2023 and fortifying its market position with outstanding growth ratios in business volume and profitability.

Demonstrating this notable growth, ABK-Egypt’s Net Profit doubled in the first quarter of the year to reach EGP 1.1 billion compared to EGP 551 million over the same period in 2022. Net Interest Income increased by 40% recording EGP 841 million, compared to EGP 603 million over the same period last year, and Net Operating Profit increased by 63% in the period ended 31 March 2023 to reach EGP 779 million, compared to EGP 478 million in March 2022.

The Bank’s Total Assets mounted to EGP 79.8 billion in March 2023, a 5.6% increase compared to 75.6 billion in December 2022. Total Customer Deposits increased by 3.3% to reach EGP 68.3 billion, compared to EGP 66.2 billion in December 2022 and the Total Gross Loans Portfolio increased by 6.64% to reach EGP 38 billion compared to EGP 35.6 billion at the end of 2022.

Commenting on the Bank’s performance, Mr. Ali Marafi, Chairman of ABK-Egypt, said, “Recording outstanding profits over the first quarter of the year is a fulfilling accomplishment for us as it accords with our seventh year of operations in the Egyptian market. Our focus has always been to ensure sustainable success and throughout this fruitful yet exhilarating journey, the Bank managed to demonstrate its strong presence with positive ratios across all its key performance indicators, whilst adhering to prudent risk management practices to face the challenging market conditions.”

Mr. Marafi added, “Our long-term business strategy reflects our commitment to supporting Egypt’s economic development and we will continue to seize business opportunities in response to changing market conditions and improve the efficiency of our business model to maintain a competitive edge in the market.”

Reaffirming the Bank’s solid position, Mr. Khaled El Salawy, CEO & Managing Director of ABK-Egypt, said, “These strong results, with Profit before Tax recording EGP 1,249 million in the first quarter of the year compared to EGP 698 million, confirm the resilience of our strategy and operating model as well as the effective role played by our team in achieving balanced growth in terms of market share and profitability.”

In continuation of the optimistic outlook for the year 2023, Mr. El Salawy added that the Bank’s strategic direction will continue to prioritize its efforts in digital transformation with the clear vision of offering customers best-in-class digital experiences that ensure maximum speed and convenience. Over the course of the year, several important steps were taken towards enhancing digital solutions and the portfolio of offerings, and upgrading the service level to provide a distinguished banking experience across all channels and maximize value to customers.

El Salawy concluded, “Despite the turbulent market scene, we remain positive and committed to serving the best interest of our shareholders, customers, and employees. We also confirm our commitment to supporting all efforts endeavored by the Egyptian government and Central Bank of Egypt towards achieving economic stability and growth.”

In addition to its vital role in supporting the Egyptian economy and providing the best banking services and products, ABK-Egypt endeavors to continue to enhance its role in social responsibility, which is an integral part of its strategy.

It does so by continuously participating in various social initiatives and events organized by government and private sectors, as well as non-profit organizations concerned with healthcare, women empowerment, environment, education, sports, supporting people with special needs, and more. This, in turn, contributes to strengthening the Bank’s presence and position.

Furthermore, ABK-Egypt is committed to promoting its social responsibility by providing full support to the most vulnerable individuals in society. This is achieved through its contributions to development projects and sponsoring a range of social initiatives that aim to enhance and improve the standard of living.

These initiatives vary from providing financial aid and shelter to those in need to supplying food and medical care, educational opportunities, as well as assisting children, individuals with disabilities, and the most in-need families across Egyptian governorates.

ABK-Egypt also plays an important role in achieving sustainable development by supporting various sectors. This is done by financing small and medium-sized projects and providing various multipurpose financing solutions and tools that meet the needs of these sectors, enabling the companies to achieve their operational objectives.

As such, ABK-Egypt continues to invest in technology and innovation to serve its customers as a key part of its digital transformation strategy and growth objectives. The Bank has made several improvements to its digital banking channels and endeavors to remain in the lead in terms of its digital advancements

This is in addition to the Bank’s interest in financial inclusion and promoting financial literacy in society by participating in and supporting the initiatives of the Central Bank of Egypt, and leading entities in this field, in order to spread awareness regarding banking and financial products and services to all segments of society.