The National Bank of Egypt, with its establishment dating back to June 25, 1898, stands as Egypt’s oldest commercial bank. With a starting capital of £1 million, the bank has witnessed a series of evolutions in line with Egypt’s shifting economic and political landscapes.
Throughout the 1950s, the bank took on the responsibilities of the central bank. Post its nationalization in the 1960s, it functioned as a commercial bank, while also performing central bank duties in regions where the central bank lacked branches. By the mid-1960s, the National Bank of Egypt was entrusted with issuing and managing government investment certificates.
Financial Performance
Between July 1st, 2020, and December 31st, 2021, the bank reported remarkable performance metrics. The total financial position by the end of December 2021 stood at EGP 3.3 trillion, marking a 60.2% growth since June 2020. This growth meant that the bank’s total assets made up 37.5% of all Egyptian banks’ assets. By the end of June 2022, this figure further increased to EGP 3.6 trillion.
Deposits also saw a significant rise, reaching EGP 2.4 trillion by the end of December 2021, a 50% growth from June 2020. This growth was attributed to the introduction of diverse deposit packages in both local and foreign currencies. By June 2022, deposits had further grown to EGP 2.8 trillion, reflecting the trust customers place in the bank.
The bank’s commitment to supporting various economic sectors was evident in its financing schemes. By December 2021, the retail loan portfolio was worth EGP 159 billion, marking a growth of EGP 57 billion since June 2020. Of this, EGP 11.5 billion was extended to 105,000 customers as part of the Central Bank of Egypt’s mortgage finance initiative. By June 2022, retail loans had increased to EGP 188 billion.
In the realm of large corporate finance, the bank’s portfolio surged by 66.7% to reach EGP 904 billion by December 2021, and this figure touched EGP 1 trillion by June 2022.
Supporting small and medium-sized enterprises (SMEs) has been a priority for the bank. By December 2021, the SME loan portfolio was EGP 110 billion, growing to EGP 132 billion by June 2022.
The bank’s efforts culminated in a pre-tax profit of EGP 66 billion, with a net profit of EGP 29.7 billion between July 2020 and December 2021.
Recognition and Achievements
National Bank of Egypt’s commitment to excellence hasn’t gone unnoticed. In the first half of 2022, the bank was ranked first in both Egyptian and African markets for roles such as finance agent, lead arranger, and book runner for syndicated loans. It managed 13 finance deals exceeding EGP 54 billion.
Mr. Hisham Okasha, the bank’s Chairman, was honored as the best banking CEO in Egypt for 2022 by the World Economic magazine. The bank also received accolades like the Best Trade Finance Provider in Egypt for 2022 and was recognized as Egypt’s Best Retail Bank in 2021 by “The Asian Banker”.
Digital Transformation and Social Responsibility
In 2022, the bank unveiled a strategy emphasizing digital transformation, artificial intelligence, and omni-channel marketing. A collaboration was initiated with the Ministry of Communication and Information Technology (CIT) in March 2022 to establish a training academy focusing on advanced technology trends.
The bank’s contributions to social responsibility have been significant, with EGP 9.3 billion invested over six years in areas like healthcare, education, and cultural preservation.
Global Presence and Services
The National Bank of Egypt boasts an expansive network of 615 branches and banking units across Egypt, serving nearly 17.8 million customers. Internationally, the bank has a presence in the UK, Sudan, South Sudan, the USA, China, South Africa, UAE, and Ethiopia.
With a commitment to financial inclusion and digitalization, the bank has introduced several online banking services, catering to millions. The bank remains a leader in retail cards, issuing millions of prepaid and debit cards.
A Legacy of Trust
The National Bank of Egypt’s journey, from its inception to its current stature, underscores its commitment to serving its customers and the nation. With a legacy built on trust, the bank continues to lead the local banking market, offering top-quality services and products.