HDB over five years: Investment expansion as corporates take a larger share

Translated & Edited by Aya Elsayed

Housing and Development Bank’s (HDB) standalone financial statements for the period ended 30 June 2026 showed a sharp expansion in its balance sheet over the past five years.

The bank's total assets rose 296.3 per cent to EGP 256.44bn from EGP 64.71bn at end-June 2021, an increase of EGP 191.73bn.

HDB continued to allocate the largest share of its asset base to financial investments, which accounted for 47.9 per cent of total assets at end-June 2026, up from 42.13 per cent five years earlier.

The financial investment portfolio surged 350.5 per cent over the period to EGP 122.83bn, from EGP 27.26bn at end-June 2021, reinforcing financial investments as the bank’s largest asset component.

Total customer loans

Net customer loans and facilities ranked second, accounting for 29.47 per cent of total assets at end-June 2026, compared with 32.74 per cent at end-June 2021.

The portfolio expanded 256.7 per cent over the five-year period, adding EGP 54.38bn to reach EGP 75.57bn, from EGP 21.18bn.

Cash and bank balances witg the Central Bank

Cash and balances with the Central Bank accounted for 10.92 per cent of total assets at end-June 2026, with a value of EGP 28.01bn, compared with 9.85 per cent and EGP 6.38bn at end-June 2021.

Balances with banks

Balances with banks represented a further 6.25 per cent of total assets, broadly stable from 6.21 per cent five years earlier. Their value rose to EGP 16.02bn from EGP 4.02bn, marking growth of 298.7 per cent.

Other assets accounted for 2.94 per cent of the balance sheet at end-June 2026, with a value of approximately EGP 7.55bn, compared with 2.51 per cent and EGP 1.62bn at end-June 2021.

HDB’s lending mix

The more significant structural shift appears within HDB’s loan portfolio.

Corporate loans increased their share of total customer loans and facilities to 54.95 per cent at end-June 2026, from 36.04 per cent at end-June 2021.

The corporate portfolio expanded 431.2 per cent over the five-year period, adding EGP 36.33bn to reach EGP 44.75bn, from EGP 8.43bn.

Retail loans, meanwhile, accounted for 45.05 per cent of total customer loans and facilities, down from 63.96 per cent five years earlier.

Even so, the retail portfolio more than doubled, rising 145.3 per cent to EGP 36.69bn at end-June 2026, from EGP 14.95bn at end-June 2021.

The figures point to a clear shift in HDB’s asset allocation over the past five years. Expansion was driven not only by strong growth in total assets and financial investments, but also by a pronounced rebalancing of the loan portfolio towards corporates.

Corporate lending increased from just over one-third of total customer loans in 2021 to more than half by end-June 2026, while retail lending continued to grow in absolute terms despite a decline in its relative share.

The result is a more diversified asset mix, combining a sizeable financial investment portfolio with a much stronger corporate lending base and a still-substantial retail business, reinforcing a broader and more balanced approach to asset deployment and balance-sheet growth.