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ABC Egypt net loan portfolio at EGP 4.2bn at end of 2016 - Daily News Egypt

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ABC Egypt net loan portfolio at EGP 4.2bn at end of 2016

Bank achieved net profit of EGP 152.1m, growing by 19.9% from 2015, says Tinawi

The net loan portfolio of the Arab Banking Corporation Egypt (ABC Egypt) reached EGP 4.2bn at the end of 2016, marking a growth of 61.5%, compared to 2015. The growth of deposits at the bank reached 32.8% at EGP 10.3bn, according to CEO of the bank Akram Tinawi.

During a press conference held by the bank last week to present its financial results, Tinawi said that the bank realised a net profit of EGP 152.1m at the end of 2016, up from EGP 126.9m in 2015—marking a growth of 19.9%. This growth was achieved, even though the bank suffered losses of EGP 108m as a result of the flotation of the Egyptian pound, due to the presence of open hard currency positions.

The ordinary general assembly of the bank had adopted the bank’s financial statements for the fiscal year that ended 31 December 2016 at its meeting on 9 April.

According to Tinawi, the bank has achieved a 29.1% growth in its total financial position, which amounted to EGP 13bn. The bank has retained a safe rate of capital adequacy in accordance with Basel II at 15.9%, reflecting the strength of the bank’s capital base and its ability to expand in the future.

The bank’s capital is currently standing at EGP 1.2bn, after retaining earnings from last year.

The general assembly has reviewed all financial and analytical data for the bank’s activities and the growth of the banking market. The assembly also reviewed the strategic directions of the bank, which has been prepared based on that data, which ensures the continuation of the bank’s business growth supported by the efforts of cooperation and expertise of the parent group in Bahrain, according to Tinawi.

He explained that the bank’s strategy includes highlighting the safest financing opportunities, focusing on strategic industries and services, expanding in cash management activities for senior clients, providing all services to clients, offering new products, and expanding in granting loans and credit facilities to small and medium enterprises (SMEs) in accordance with the directives of the Central Bank of Egypt (CBE).

He added that the bank also aims to expand into the retail banking field, noting that the size of the retail portfolio of the bank amounted to EGP 960m at the end of 2016.

ABC Egypt aims to open its main headquarters in Fifth Settlement. The bank also intends to open new branches in Mohandessin, Nasr City, and Port Said, and to move the downtown branch to the new headquarters.

Tinawi said that the bank aims to continue its role in participating in the support of healthcare services, developing slums, and fighting corruption to meet the basic needs of the citizens.

Moreover, he added that the bank has recently signed a cooperation protocol with the Egyptian Cure Bank to support the medical convoy programmes to reach poor citizens in remote areas that do not enjoy healthcare services.

Tinawi noted that the bank has also donated to establish a model school in Upper Egypt in cooperation with Misr El Kheir Foundation, in addition to supporting the Magdi Yacoub Foundation, in the context of strengthening the role of corporate social responsibility, especially in Upper Egypt.

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