KUWAIT: NBK-Egypt – a member of NBK Group – reported EGP 1.666 billion in net profits (KD 30 million) for 9M2019 up 13.8% compared to EGP 1.464 billion for the corresponding period of last year. As of September 30, 2019, shareholders’ equity reached EGP 7.54 billion up 29.7% compared to EGP 5.81 billion by the end of September 2018. Total customers deposits grew by 8.2% for the same period, reaching EGP 56.15 billion, compared to EGP 51.90 billion for the corresponding period of last year.
Meanwhile net operating income stood at EGP 2.84 billion, up by 11.4% y-o-y compared to EGP 2.55 billion in the corresponding period of 2018. Shaikha Al-Bahar, Deputy Group CEO, National Bank of Kuwait and Chairman of NBK-Egypt, said that NBK Egypt’s outstanding growth solidifies its success in affirming its leading position in the Egyptian market, which represents one of NBK Group’s key growth markets, given its promising growth opportunities and positive outlook, as it contributes about third of the profits that the Group derives from its international branches.
Al-Bahar highlighted that the profit growth in 1H2019, mainly driven by operating income, also reflect the stability of the Egyptian economic environment as well as NBK Group’s insightful long-term investments strategies in the Egyptian market.
“We seek to transfer our FinTech expertise to the Egyptian market to capitalize on the promising investment opportunities and the exceptional growth witnessed in the region’s most populous markets, as part of our digital transformation strategy and our aim to improve product integration between NBK-Egypt and the Group to increase our competitive advantage and strengthen our position in the Egyptian market.” Al-Bahar commented.
Al-Bahar highlighted that NBK-Egypt plays an integral role in the bank’s diversification strategy, therefore it seeks to expand its geographical footprint as well as to grow its business activities, with special focus on achieving record growth in the retail sector and maintaining the Bank’s leadership in corporate finance.
Al-Bahar stressed that the Egyptian economy has begun reaping the benefits of its economic reform program that has been successfully implemented by the government over the past three years. That initiative included a wide array of economic and financial reforms, which led to substantial improvement in the macroeconomic and financial inclusion indicators, as confirmed by leading international institutions.
Meanwhile, Vice Chairman & Managing Director of NBK-Egypt, Yasser El-Tayeb highlighted that 9M2019 financial results reflect that NBK-Egypt has continued its growth and solid performance across most financial indicators, thanks to the prudent policy adopted by the Bank as a member of NBK Group and its business model based on diversifying and balancing its income sources and credit portfolio while offering flexible financing solutions and providing innovative banking products at the same time to cater to its customers actual needs based on detailed in-depth market studies.
This is in addition to the bank’s solid financial position, strong balance sheet, successful strategy and the experienced and accomplished team that brings comprehensive banking knowledge and expertise. El-Tayeb added that most of NBK-Egypt’s profits are driven by corporate credit services, with a highly diversified portfolio drawing on the diversification of the Egyptian economy itself. He also highlighted that NBK strives to strengthen its position in retail banking as well over the coming period and that it has made huge strides in presenting innovative services and products to its retail clients to fulfill the needs and requirements of various segments.
He further added that NBK-Egypt has a wide network of 50 branches spread over premium locations in various Egyptian governorates and cities including: Cairo, Giza, Alexandria, Delta, Sinai, Red Sea and Upper Egypt, in addition to the industrial zones in 6th of October and 10th of Ramadan cities. The bank is also privileged to be among the elite banks within the Egyptian market that hold an Islamic banking license in addition to its conventional licensing.
It has two Islamic branches, one in Cairo and the other in Alexandria, thus enabling the bank to offer a comprehensive selection of Sharia compliant products and services in addition to its traditional offerings. Moreover, NBK-Egypt has a wide network of ATMs spread across the country to service the bank’s clients around the clock. NBK- Egypt also provides a range of e-services that provide its clients with unique banking experiences, enabling them to execute many of their banking transactions anywhere anytime without having to visit the branch.
National Bank of Kuwait was incorporated in 1952 as the first local bank and the first shareholding company in Kuwait and the Gulf region. NBK continues to enjoy collectively one of the highest ratings among all banks in the Middle East from the three international rating agencies Moody’s, Fitch Ratings and Standard and Poor’s. The Bank’s ratings are supported by its strong financial indicators, asset quality, high capitalization in addition to its highly recognized and very stable management team, as well as strategic vision and stable funding base.
NBK was also named among Global Finance’s list of the 50 safest banks in the world for the Fourteenth consecutive time. NBK enjoys the widest banking presence with a local and international network exceeding over 150 branches and subsidiaries reaching 4 continents. NBK’s international presence spans many of the world’s leading financial centers including the United States of America, Europe, GCC, the Middle East, China as well as Singapore.