EBank scores 53.66 points on First Bank Financial Soundness Index during H1-2023
First Bank
In the first half of 2023, E-Bank, Egyptian Export Development Bank, achieved a score of 53.66 points on First Bank financial safety index, surpassing the sector average of 50 points.
The financial safety soundness index, developed by First Bank’s research center, evaluates the strength and resilience of financial institutions, their financial safety, and their ability to safeguard the funds of depositors and shareholders.
The financial soundness index considers 6 metrics: capital adequacy ratio, leverage ratio, asset coverage ratio for deposits, shareholders’ Equity coverage ratio for deposits, loans to deposits ratio, and non-performing loan ratio.
For the first sub-index, capital adequacy ratio, E-Bank ranked 17th on First Bank’s list of the best Egyptian banks, with a ratio of 14.40% at the end of June 2023, surpassing the regulatory threshold of the Central Bank of Egypt.
In terms of the second element, leverage ratio, E-Bank exceeded the banking sector average, reaching 7.88% at the end of the first half of 2023 compared to the sector’s 6.3%.
The third element, the non-performing loan ratio, stood at 2.35% by the end of June 2023, reflecting E-Bank’s efficiency in credit provision compared to the sector’s 3.3%.
E-Bank led First Bank’s list in the fourth element, loans to deposit ratio, achieving 62.68% by the end of the second quarter of 2023.
Regarding the fifth element, asset coverage ratio for deposits, E-Bank’s indicator declined to 126.92% at the end of June 2023, below the banking sector average of 145.67%.
Finally, in the sixth element, ownership rights coverage ratio for deposits, E-Bank exceeded the sector average, recording 12.60% at the end of June 2023 compared to the sector’s 8.62%.
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