Egyptian Banks Report EGP 426.911 Billion in Net Profits for 2024

The Central Bank of Egypt reports that the banking sector earned EGP 426.911 billion in net profits in the first nine months of 2024. The top ten banks accounted for 79.73% of profits with substantial contributions from the leading five institutions. Overall, the banks demonstrate stable returns on equity and assets, showcasing the health of Egypt’s banking landscape.

The Central Bank of Egypt (CBE) has reported that banks operating within the nation achieved net profits amounting to EGP 426.911 billion during the first nine months of 2024. The overall net return for these banks totaled EGP 669.365 billion, with net revenues from their activities reaching EGP 828.556 billion. Total expenses for the sector were recorded at EGP 401.645 billion during this period.

The CBE indicated that approximately 79.73% of the sector’s profits, or EGP 340.411 billion, were generated by the top ten banks in Egypt. The leading five banks contributed significantly, accounting for about 65.06% of total profits, which is equivalent to EGP 277.749 billion. Notable institutions leading this performance include the National Bank of Egypt (NBE), Banque Misr, and the Commercial International Bank (CIB).

As of September 2024, the net return for the ten leading banks neared EGP 521.694 billion, with their net activity revenues amounting to EGP 650.077 billion and expenses recorded at EGP 309.666 billion. In June 2024, the top five banks reported a net return of EGP 434.524 billion, with corresponding net activity revenues of EGP 545.96 billion and expenses of EGP 268.227 billion.

The report also outlined that the return on average equity for the Egyptian banks remained steady at 32.2% as of September 2024, matching figures from June and March of the same year. The return on average assets held at 2%, and the net return margin was registered at 5.2%. For the top ten banks, the return on average equity was slightly elevated at 33.6%, while the return on average assets stayed at 2%, and the net return margin was recorded at 5%. Among the top five banks, these figures were 33.1% for average equity, 1.8% for average assets, and a net return margin of 4.8%.

These findings emphasize the robust performance of Egypt’s banking sector, largely driven by a few dominant institutions contributing significantly to the overall profitability.

In conclusion, the report from the Central Bank of Egypt highlights the impressive financial standings of banks within the country, indicating a significant profit margin and consistent revenue streams. The continuing stability in return on equity and assets further illustrates the strength of the banking sector. Major banks, particularly the top five, play a pivotal role in sustaining economic growth and profitability in this sector.

Original Source: www.dailynewsegypt.com