Investment Outlook for saib by June 2023 end

The financial statements of saib ending in 30 June of the Current year, revealed a total bank asset growth rate of 21.54%, achieving an increase of EGP 18.63 bn during the first half of the current year, reaching EGP 105.109 bn by the end of June 2023, compared to EGP 86.478 bn by the end of December 2022.

Analyzing saib's investment trends by the end of the first half of 2023:

The bank continues to focus on allocating the majority of its funds to granting loans to customers, as evident from the difference in the relative weight of each portfolio at the end of the analysis period.

Loans and Facilities to customers:

loans and facilities to customers portfolio at the bank received the largest share of its investment focus, accounting for 41.93% of the bank's total asset portfolio by the end of June 2023, compared to a relative weight of 45.37% of total assets by the end of December 2022.

Net customer loans and facilities portfolio at the bank experienced a growth rate of 12.34% during the first half of the current year, reaching EGP 44.075 bn by the end of June 2023, compared to EGP 39.234 bn by the end of December 2022, with an increase of EGP4.841bn.

Total Financial Investments:

The relative weight of the total financial investments portfolio at the bank decreased at the end of the analysis period. Despite this, it ranked second in the bank's investment focus, accounting for 27.67% of the bank's total assets by the end of June 2023, compared to 26% by the end of December 2022.

Total financial investments portfolio at the bank increase with a growth rate 29.35%, amounted to approximately EGP 29.081 bn by the end of June 2023, compared to EGP22.482 bn by the end of December 2022, an increase of EGP 6.600Bn.

Balances with Banks:

saib's total balances with other banks constituted the third-largest component of its asset portfolio, accounting for a relative weight of 22.20% of the bank's total assets by the end of June 2023, compared to 18.31% by the end of December 2022.

Total cash and balances with CBE increased by a growth rate of 47.32% during the first half of the current year, reaching EGP23.329bn by the end of June 2023, compared to EGP 15.835 bn by the end of December 2022, with an increase of EGP 7.493 bn.

Cash and Balances with CBE:

The relative weight of cash and balances with the Egyptian Central Bank decreased to 4.08% by the end of June 2023, compared to 7.22% by the end of December 2022.

saib's balances with the Egyptian Central Bank declined to record EGP4.289 bn by the end of June 2023, compared to EGP6.246bn by the end of December 2022.

Other Assets:

The category of other assets accounted for a relative weight of 2.21% of the bank's total assets by the end of June 2023, compared to 1.72% by the end of December 2022, with a total value of EGP 1.489 bn, compared to EGP 2.318 bn at the end of the analyzed periods.

Bank Loan Market Trends:

Examining the components of the total portfolio of customer loans and facilities, we find that the bank leans more towards extending credit to corporates due to their significantly higher relative weight, at the expense of financing granted to individuals by the end of June 2023.

Corporate Loans:

The total corporate loans at saib rose as accounted for a relative weight of 75.83% of the total customer loans and facilities portfolio by the end of June 2023, compared to 73.80% by the end of December 2022.

The total corporate loans portfolio at the bank increased by a growth rate of 14.80%, registering an increase of EGP 4.574 bn during the first half of the current year, reaching EGP 35.473 bn by the end of June 2023, compared to EGP 30.900 bn by the end of December 2022.

Retail Loans:

The portfolio of retail loans at the bank accounted for a relative weight of 24.17% of the total customer loans and facilities by the end of June 2023, compared to 26.20% by the end of December 2022.

Total portfolio of retail loans at saib experienced a growth rate of 3.05%, with an increase of EGP 334.5 mn during the first half of the current year, reaching EGP 11.304 bn by the end of June 2023, compared to EGP 10.969 bn by the end of December 2022.