UAB: Egypt has 3rd best banking system in Arab world as for assets, deposits, loans

By Nada Ali On Jan 1, 2023

An old fashioned Bank sign on a building exterior. Photo Credit: Getty Images

The Union of Arab Banks (UAB) said that Egypt has third best banking system in Arab world in terms of assets, deposits, and loans, according to its statement on Tuesday.

UAB added the size of the banking sector in Egypt tripled during the past five years between August 2017 and 2022, as the volume of the sector’s combined assets increased from 10.511 trillion Egyptian pounds.

This increase was from EGP 4.587 trillion pounds, achieving a growth rate of 130 percent and reached a 130 percent growth rate that no other Arab banking sector has achieved.

UAB continued that it is necessary to point out the large relative size of the banking sector in Egypt compared to the size of its economy, as the sector’s combined assets constitute about 135 percent of its GDP.

Even in light of the spread of the coronavirus pandemic, Egyptian banks continued to achieve very high growth rates, as the total growth rate of the sector exceeded 20 percent during 2020 and 2021, UAB stressed.

While for liquidity, the UAB noted that Central Bank of Egypt’s data indicate that the expansion of credit by Egyptian banks was not at the expense of their liquidity from 208.3 percent to 231.8 percent between June 2017 and June 2022.

Central Bank of Egypt (CBE)coronavirus pandemic Egypt Egyptian banking system egyptian banks Union of Arab Banks Union of Arab Banks (UAB)