Eight years of expansion reshape ADIB–Egypt under Mohamed Aly

Translated & Edited by Aya Elsayed

Abu Dhabi Islamic Bank – Egypt (ADIB Egypt) underwent a significant transformation during Mohamed Aly’s tenure, expanding from a relatively limited banking base into one of the leading players in Egypt’s Islamic banking market.

This transformation went beyond balance-sheet expansion, reshaping the business mix as corporates took on a larger role in both financing and deposits, while the bank strengthened its ability to generate higher returns from an expanded asset and equity base.

The period under review shows a broad-based growth trajectory, combining greater scale with a clear shift in the business mix and stronger profitability indicators. ADIB–Egypt’s transformation over the period was therefore not defined by becoming larger in scale alone, but also by its growing ability to translate that expansion into stronger returns.

ADIB–Egypt scales up from EGP 37bn to EGP 414bn

The bank’s assets rose from EGP 37.42bn at end-2017 to EGP 414.30bn at end-June 2026, growing 1,007 per cent, while deposits increased from EGP 29.83bn to EGP 332.09bn over the same period, up 1,013 per cent, according to the consolidated financial statements.

Financing also increased from EGP 20.65bn at end-2017 to EGP 197.92bn at end-June 2026, growing 858 per cent, while financial investments surged from EGP 14.78bn to EGP 119.44bn over the same period, up 707 per cent.

These movements reflect simultaneous expansion in both funding and deployment. During Mohamed Aly’s tenure, the bank significantly broadened its business base and strengthened its market position, becoming Egypt’s largest Islamic bank and one of the 10 largest banks operating in the country.

This transformation went beyond balance-sheet growth, supported by a broader deposit base and continued expansion in financing and financial investments, further strengthening ADIB–Egypt’s position within the Egyptian banking sector.

Corporates reshape ADIB–Egypt as deposits outpace financing

The shift in the business model is clearer when comparing corporate and retail activity. Corporate financing rose from EGP 11.86bn at end-2017 to EGP 139.20bn at end-June 2026, up 1,073 per cent, while retail financing increased from EGP 8.78bn to EGP 58.72bn over the same period, growing 568 per cent.

As a result, corporates’ share of total financing increased from around 57.5 per cent to 70.3 per cent over the period under review.

On the funding side, the shift was even greater, as corporate deposits surged from EGP 9.37bn at end-2017 to EGP 184.13bn at end-June 2026, growing 1,864 per cent, while retail deposits increased from EGP 20.46bn to EGP 147.96bn over the same period, up 623 per cent.

As a result, corporates’ share of total deposits rose from around 31.4 per cent to 55.4 per cent.

More significantly, corporate deposits grew at a much faster pace than corporate financing, approaching 20 times their end-2017 level, compared with financing rising more than 11-fold.

This reflects an expansion in the funding base at a pace exceeding the growth in deployment, giving the bank greater room to manage liquidity and allocate its resources between financing and financial investments.

From scale to returns: profitability underscores the quality of expansion

The bank’s expansion was accompanied by a marked improvement in profitability. Net profit rose from EGP 631.6m in 2017 to EGP 12.60bn in 2025, while Return on Average Assets (ROAA) increased from 1.79 per cent to 4.15 per cent and Return on Average Equity (ROAE) climbed from 32.24 per cent to 43.74 per cent.

This increase does not merely reflect balance-sheet expansion, but also points to an improvement in the bank’s ability to generate returns. The return generated from its asset base increased, alongside improved efficiency in deploying shareholders’ equity to generate profits.

The growth in equity further supports this trajectory. Equity rose from EGP 2.29bn at end-2017 to EGP 34.63bn at end-2025, before reaching EGP 43.61bn at end-June 2026, while the bank maintained a high ROAE. This points to expansion accompanied by stronger efficiency and profitability indicators.

Net interest income drives ADIB–Egypt’s 2026 profit growth

The bank maintained profit growth in the first half of 2026, with net profit rising 21.1 per cent to EGP 7.55bn, from EGP 6.23bn in the corresponding period of 2025, an increase of EGP 1.32bn.

The increase was driven primarily by stronger core banking income. Net income from funds rose 28.2 per cent to EGP 12.25bn, from EGP 9.56bn a year earlier, adding EGP 2.69bn and emerging as the main driver of profit growth during the period.

Profit growth in 2026 was driven primarily by higher net interest income, while an improvement in the cost of risk provided additional support to the bottom line. With ROAA at 4.0 per cent and ROAE at 38.6 per cent in the first half of the year, the bank maintained strong return levels despite the continued expansion of its asset and equity base.

Looking across Mohamed Aly’s tenure, ADIB–Egypt’s transformation was defined not by scale alone, but by a clear shift in the nature of its growth. The bank expanded its assets, funding and financing base, while corporates took on a larger share of both financing and deposits. At the same time, ROAA and ROAE improved.

The figures therefore point to a bank that has become larger, more corporate-focused and more effective at converting the expansion of its business base into stronger profitability and returns.