ABK-Egypt's corporate loans jump by 27.04% during 2022

Al Ahli Bank of Kuwait - Egypt has strengthened its interest in corporate finance for SMEs, believing in their importance to support economic development, which is clearly reflected in the bank's figures.

Al-Ahli Kuwait-Egypt’s corporate finance portfolio jumped by 27.04%, reaching EGP22.42 bn at the end of 2022, compared to EGP17.65 bn at the end of 2021, an increase of EGP4.77 bn.

This strong performance was mainly driven by the growth of debit current accounts, which jumped by 36.36%, to record EGP 6.43 bn at the end of 2022, compared to EGP 4.72 bn at the end of 2021, an increase of EGP 1.72 bn.

Debit current accounts acquired about 28.69% of the corporate total loans by the end of 2022.

The value of debit current accounts during 2022 was distributed among the various sectors, constraction sector had the largest share of them, as the bank’s financing reached EGP1.88 bn, thus acquiring 29.26% of total debit current accounts with the bank, outperforming the industrial sector, which was acquiring on the largest share of accounts by the end of 2021.

The bank’s financing for industrial activities reached EGP 1.47 bn, thus acquiring 22.81% of total debit current accounts by the end of 2022, while the commercial activity obtained financing estimated at EGP826.26 mn, and financial corporates at EGP638.78 mn, as for real estate companies, they obtained financing of EGP478.8 mn by the end of the same year.

While the rest of debit current accounts were divided during 2022, on the energy sector, which received financing of EGP 263.31 mn, and public companies that obtained financing of EGP134.36 mn, while the agricultural sector received financing of EGP86.52 mn, the transportation sector obtained financing reached EGP 50.58 mn, Tourism reached EGP1.26 mn, and the remaining value of EGP603.12 mn was distributed to other sectors.

Direct loans also contributed to an increase in the portfolio of corporate loans, which increased by 27.30%, to reach EGP14.24 bn at the end of 2022, compared to EGP11.19 bn at the end of 2021, an increase of EGP3.05 bn.

Direct loans constituted about 63.51% of the bank’s total corporate finance by the end of 2022.

The value of direct financing during 2022 was distributed among many sectors, in which industrial activities acquired the largest share, as its share reached 25.68% of the total direct financing, after recording EGP3.66 bn, while financial corporates obtained financing estimated at EGP2.87 bn. The bank's financing for commercial activity reached EGP2.11 bn, as for the energy sector, it obtained loans of EGP 856.76 million pounds.

While the rest of the direct loans were divided during 2022, on the constraction sector, which obtained direct financing of EGP680.97 mn, as for real estate companies, the bank’s financing reached EGP447.91 mn, while public companies obtained direct loans of EGP275.86 mn, and the transportation sector at EGP229.78 mn, and Tourism sector about EGP 85.29 mn, and the remaining value of EGP2.37 bn was distributed among other sectors.

co-financing was a key factor in the increase in its corporate loan portfolio, as it jumped from EGP 1.44 bn at the end of 2021 to EGP1.65 bn at the end of 2022, achieving a growth rate of 14.95%, and an increase of EGP214.53 mn.

Syndicated loans acquired about 7.36% of total corporate loans by the end of 2022.

During 2022, co-financing was distributed among many sectors, in which industrial corporate acquired the largest share, reaching 44.23%, after recording EGP729.67 mn, while public companies obtained syndicated financing of EGP 640.08 mn, and real estate companies with EGP98.14 mn. As for the bank’s syndicated financing for the energy sector, it reached EGP 75.40 mn, while the bank’s syndicated loans of financial corporates reached EGP72.83 mn, and the remaining value of EGP33.46 mn was distributed to other sectors.

While the bank's other loans recorded EGP 99.57 mn at the end of 2022, compared to EGP309.68 mn at the end of 2021.

Corporate sector contributed about 64.71% to the bank’s total finance portfolio, which jumped to EGP34.65 bn at the end of 2022, compared to EGP26.84 bn at the end of 2021, a growth rate of 29.10%, and an increase of EGP7.81 bn.