Kuwait Finance House Expands Operations into Egypt with Acquisition of Ahli United Bank
Kuwait Finance House has launched operations in Egypt following the acquisition of Ahli United Bank, transforming into a Sharia-compliant institution. The rebranding to KFH Egypt signifies its commitment to Islamic banking principles, incorporation of innovative solutions, and expansion in the financial sector. Exceptional financial growth was reported in 2024, establishing KFH Egypt’s robust market presence and promising contributions to Egypt’s economy.
Kuwait Finance House (KFH) has commenced operations in Egypt with the acquisition of Ahli United Bank Bahrain, finalizing its transformation into a Sharia-compliant institution in December 2023. The merger with Ahli United Bank Kuwait took place in February 2024, marking a significant expansion into the Egyptian market. Following this, Ahli United Bank – Egypt was rebranded as KFH Egypt, integrating fully into the KFH Group and affirming its commitment to Islamic banking principles.
KFH Chairperson Hamad Al-Marzouq expressed excitement regarding the bank’s entry into Egypt and its new identity. He remarked, “We are delighted to establish our presence in Egypt, a key market… this landmark step will strengthen the country’s Islamic banking sector and contribute to economic growth.” Al-Marzouq also noted KFH’s standing as Kuwait’s largest bank and a leading entity in global Islamic banking.
The acquisition of Ahli United Bank Bahrain has allowed KFH to ensure a smooth transition into a fully Islamic banking institution. Al-Marzouq indicated that this transformation is crucial for fostering innovation and operational efficiency, stating, “This transformation represents a pivotal milestone for KFH Egypt, driving innovation, operational efficiency, and enhanced customer experience.” The bank is committed to superior Sharia-compliant products that aim to exceed customer expectations.
Hala Sadiq, the CEO of KFH Egypt, emphasized that the rebranding goes beyond a mere name change, demonstrating a complete integration into the KFH Group. She stated, “We are dedicated to delivering exceptional banking services while focusing on innovative, Sharia-compliant financial solutions…” KFH Egypt seeks to expand its market presence and attract a diverse customer base to enhance its competitiveness in Islamic finance.
In 2024, KFH Egypt reported notable financial growth, achieving a 65% increase in net consolidated profits to EGP 5.5 billion. Additionally, total assets surged by 29% to EGP 144 billion, showcasing strong financial performance. The bank’s commitment to Sharia-compliant financing will contribute significantly to Egypt’s economic development, addressing the growing demand for Islamic banking products and services.
Kuwait Finance House (KFH) is a leading institution in Islamic banking, recognized for its extensive global operations and commitment to Sharia-compliant financial solutions. The acquisition of Ahli United Bank facilitates KFH’s expansion into Egypt, a market identified as key for further growth. This integration not only enhances KFH’s presence in the region but also showcases its strategy to improve Islamic banking services while also focusing on economic contributions in various countries where it operates.
The transition of KFH into the Egyptian market through the acquisition of Ahli United Bank represents a substantial milestone in the growth of Islamic finance in the region. This move is expected to lead to enhanced services and contributions to the Egyptian economy, alongside significant financial growth for KFH Egypt. With a dedicated focus on innovation and customer service, KFH is positioned to become a leading player in the Islamic banking sector.
Original Source: www.dailynewsegypt.com
