Arab African International Bank’s resources employment rate declines to 80.45% at 9M-22

Arab African International Bank, leading private sector lender, has been seen more conservative in utilizing its resources as its resources employment rate declined to 80.45 % at the end of September 2022 compared to 81.31% by the end 2021

The resources employment indicator, launched by First Bank, measures to what extent the bank is employing its traditional resources (deposits + equity) in loans and financial investments to Banks operating in the banking sector

The decline in the index indicates that the bank followed a contractionary or conservative policy in the employing its resources

Thus, the bank has invested 9.942 billion pounds of its traditional resources, which amounted to EGP 12.358 billion by the end of September 2022 into loans and financial investments. It invested EGP 5.529 billion into loans and EGP 4.412 million into financial investments

On the other Hand, it has invested EGP10.007 billion of its traditional resources, which recorded EGP12.307 billion by the end of 2021 into loans and financial investments. It has invested EGP4.535 billion into total loans, and 5.471 million pounds into financial investments

The bank's traditional resources were distributed at the end of September 2022 between EGP 10.188 billion into its deposit portfolio, and EGP2.170 million into share-holders equity By the end of the same period

In addition, deposits to loans ratio increased to 54.28% at the end Q3-22, compared to 53.82% at the end of 2021.  Deposits to Financial investment ratio slightly decreased to 43.31% at the end Q3-22, compared to 44.62% at the end of 2021

The continuing decline of resources employment index at AAIB keeps the bank further below the value of the index at the level of the banking sector, which recorded 89.86% at the end of September 2022 which means the bank maintained its conservative policy towards loans and financial investments