Resources employment rate for Emirates NBD has declined to 78.18% by June 2023 end
First Bank
Emirates NBD continued its conservative approach this year, reflected in the decrease of resource employment rate to 78.18% by the end of June 2023, compared to 79.59% at the end of 2022.
This shift comes after pursuing an expansionary policy in 2021 when the resource employment rate was 92.67% at the end of that year.
This indicator, introduced by the research center affiliated with First Bank, measures the traditional resource employment (deposits + ownership rights) in (loans + financial investments) for banks operating in the Egyptian banking sector.
The decline in this rate during the first half of 2023 indicates ENBD's continued conservative approach to resource employment during this period.
The bank has employed EGP 82.75 bn of its traditional resources, which recorded EGP105.86 bn at the end of the first half of 2023, with EGP31.29 bn for financial investments and EGP51.47 bn for total customer loans.
Meanwhile, it employed EGP 74.60 bn of its traditional resources, which recorded EGP93.73 bn at the end of 2022, with EGP28.2 bn for financial investments and EGP46.40 bn for total customer loans.
Regarding Emirates NBD's traditional resources, they were distributed at the end of June 2023 as follows: EGP95.86 bn in deposit portfolio value and EGP9.996 bn in ownership rights value at the end of the same period.
As for the deposit employment rate for lending by the bank, it slightly declined to 53.69% by the end of June 2023, compared to 54.45% at the end of 2022.
The percentage of deposit employment for financial investments also decreased to 32.64% at the end of the first half of 2023, compared to 33.09% at the end of 2022.
The decline in the bank's employment index during the first half of 2023 further separates it from the average of the Egyptian banking sector, where the employment index for the banking sector was approximately 91.92% at the end of March 2023, according to the latest data from the Central Bank of Egypt.
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