ADCB Egypt Investment Strategy by June-2023end
First Bank
The separate financial statements of Abu Dhabi Commercial Bank - Egypt, ending on June 30, 2023, revealed that Bank's asset portfolio, recorded EGP 83.619 bn by the end of June 2023, compared to EGP 86.2 bn by the end of December 2022.
Analyzing the investment trends of ADCB Egypt by the end of June 2023:
The bank continued to allocate the majority of its funds to granting loans rather than financial investments, This is evident from the relative weight of loans and facilities to customers compared to the relative weight of financial investments, by the end of June 2023.
Loans and Facilities to customers
The relative weight of net customer loans increased to account for the largest share of ADCB Egypt's investment trends, reaching 36.93% of the bank's total assets by the end of June 2023, compared to a relative weight of 34.56% of the bank's assets by the end of December 2022.
Bank's customer loan portfolio witnessed an increase achieving a growth rate of 3.70% with an increase of EGP 1.102 bn during the first half of current year, to record EGP 30.883 bn by June 2023end, compared to EGP29.781 bn by the end of December 2022.
Total Financial Investments and T-Bills
Ranked second in terms of the bank's investment Trend, despite an decrease in its relative weight, as recorded 30.76% of the bank's total assets by the end of June 2023, compared to a relative weight of 35.76% by the end of December 2022.
Total financial investments portfolio at ADCB Egypt decreased during the first Half of current year to record EGP 25.724 bn by the end of June 2023, compared to EGP 30.815 bn by the end of December 2022.
Balances with Banks
Accounted for the third largest share of ADCB Egypt's asset portfolio, with 17.66% by the end of June 2023, compared to a relative weight of 13.72% by the end of December 2022.
ADCB Egypt's balances with banks reached EGP 14.764 bn by the end of June 2023, compared to EGP 11.823 bn by the end of December 2022, jumping by a growth rate of 24.88% and an increase of EGP 2.941 bn.
Cash and Balances with CBE
the relative weight of Cash and Balances with CBE, acquired a relative weight of 12.16% of the bank's total assets by the end of June 2023, compared to a relative weight of 13.88% by the end of December 2022.
Its total value amounted to EGP 10.172 bn at the end of June 2023, compared to EGP 11.957 bn at the end of December 2022.
Other Assets
The relative weight of other assets Increased to reach 1.73% of the bank's total assets by the end of June of 2023, recording EGP 1.448 bn, compared to 1.37% and a value of EGP 1.179 bn at the end of December 2022.
Bank's Trends in the Loan Market
By examining the components of total loan portfolio, it is evident that the bank tends to grant credit to Corporates more than retail, given the higher relative weight at the end of the first Half of 2023.
Corporate Loans
Total Corporate loans accounted for a relative weight of 76.16% of the bank's total customer loans by the end of June 2023, compared to 74.71% of the bank's total customer loans by the end of December 2022.
Total Corporate loan portfolio at the bank increased by a growth rate of 5.45% and an increase of EGP 1.279 bn during the first Half of the current year, reaching EGP 24.741 bn by the end of June 2023, compared to EGP 23.462 bn at the end of December 2022.
Retail Loans
While the relative weight of the bank's retail loan portfolio witnessed a slight decline to reach 23.84% of the bank's total customer loans by the end of June 2023, compared to a relative weight of 25.29% of the bank's total customer loans by the end of December 2022, Bank's total retail loan portfolio recorded EGP 7.743 Bn by the end of June 2023, compared to EGP 7.942 bn by the end of December 2022.
