Egyptian banks reported net profits of EGP 426.911 billion for the first nine months of 2024, with the top 10 banks generating the majority of these profits. Key performance indicators, including return on average equity and net return margins, remained stable, reflecting an overall resilient banking sector.
The Central Bank of Egypt (CBE) has reported that banks operating within Egypt recorded net profits amounting to EGP 426.911 billion in the first nine months of 2024. The total net return across all banks reached EGP 669.365 billion, while net activity revenues amounted to EGP 828.556 billion. The total expenses incurred by the banking sector were EGP 401.645 billion during this timeframe.
According to the CBE, the top 10 banks in Egypt accounted for roughly 79.73% of the total sector profits, generating approximately EGP 340.411 billion. The leading five banks contributed significantly, accounting for 65.06% of the overall profits, which translates to EGP 277.749 billion. Notable banks leading this performance include the National Bank of Egypt (NBE), Banque Misr, and the Commercial International Bank (CIB).
As of September 2024, the net returns of the top 10 banks were nearly EGP 521.694 billion, with net activity revenues totaling EGP 650.077 billion. Their total expenses were reported at EGP 309.666 billion. Meanwhile, for the top five banks, the posted net return was EGP 434.524 billion, with net activity revenues of EGP 545.96 billion and total expenses of EGP 268.227 billion as of June 2024.
The report indicates a consistent return on average equity across all banks in Egypt, fixed at 32.2% as of September 2024, mirroring figures from both June and March of the same year. Additionally, the return on average assets has remained stable at 2%, while the net return margin is recorded at 5.2%. Notably, the top 10 banks demonstrated a slightly higher return on average equity at 33.6% and a net return margin of 5%. For the top five banks, their return on average equity was 33.1%, the return on average assets at 1.8%, and the net return margin stood at 4.8%.
These statistics reflect the continued robust performance of Egypt’s banking sector, which is primarily driven by a select group of major banks that play a critical role in reinforcing the overall profitability of the sector.
In summary, the banking sector in Egypt has showcased strong financial performance in the first nine months of 2024, with significant profits driven by the leading banks. The Central Bank’s report highlights the substantial contributions of the top 10 banks and appraises stability in key financial metrics such as return on average equity and net return margins, underscoring the sector’s resilience and profitability despite market challenges.
Original Source: www.dailynewsegypt.com
