AAIB advances sharply among leading Arab lenders

Translated & Edited by Aya Elsayed

First Bank’s ranking of the 100 largest Arab banks by loans at end-June 2026 showed a marked improvement in Arab African International Bank’s (AAIB) position.

The bank climbed four places to 66th from 70th at end-2025, strengthening its standing among the region’s major lenders.

The advance was supported by strong loan growth, with AAIB’s net loan portfolio rising 19.5 per cent to approximately USD 6.34bn at end-June 2026, from USD 5.31bn at end-2025, an increase of more than USD 1bn.

Notably, the expansion was accompanied by an improvement rather than a deterioration in asset quality. The bank’s non-performing loan ratio declined to 1.15 per cent at end-June 2026, from 2.11 per cent at end-2025, signalling a clear improvement in loan portfolio quality as the portfolio expanded.

This combination represents one of the key drivers behind AAIB’s advance in the Arab ranking. Its rise was not driven by loan growth alone, but by the bank’s ability to deliver strong credit expansion while simultaneously reducing its non-performing loan ratio, strengthening its competitive position among the region’s major lenders.

Alongside loan growth, AAIB delivered strong performance during the first half of 2026. Net profit rose 26.6 per cent to USD 202.84mn, from USD 160.17mn in the same period of 2025, an increase of USD 42.67mn.

Net interest income increased 17.9 per cent to USD 346.17mn in H1 2026, from USD 293.51mn in the corresponding period of 2025, an increase of USD 52.66mn.

On the balance sheet, total assets rose 5.2 per cent during the first half to USD 21.05bn at end-June 2026, from USD 20.01bn at end-2025. AAIB’s official website reports total assets of approximately USD 21.1bn as of June 2026.

Customer deposits increased 4.3 per cent on a half-year basis to USD 15.02bn at end-June 2026, from USD 14.40bn at end-2025.