A slight increase in the default rate at QNB ALAHLI, soars to 5.33% by Sep-2023end

A slight increase in the default rate at QNB ALAHLI during the first 9 months of the current year, reaching 5.33% by the end of September 2023, compared to 4.92% at the end of 2022.

This increase is attributed to a rise in the total default value of corporate clients to EGP12.82 bn by the end of the third quarter of 2023, a 22.89% growth from the end of 2022.

The default rate for companies accounted for 6.15% of the bank’s total loans to them by the end of September 2023, up from 5.62% at the end of 2022.

The total default in the banking retail sector also contributed to an overall increase, jumping by 11.59% to EGP 1.03 bn by the end of the third quarter of 2023, compared to EGP 924.63 mn at the end of 2022.

Despite this, the individual default rate marginally decreased to about 2.02% in the first 9 months of 2023, down from 2.04% at the end of 2022.

It’s worth mentioning that QNB ALAHLI managed to make significant progress in its financing volume, maintaining its position as the largest private sector lender in Egypt.

The bank’s total customer financing increased by approximately 12.56%, reaching EGP259.76 bn by the end of September 2023, compared to EGP 230.77 bn at the end of 2022.

The bank’s financing for corporates rose by 12.42% to EGP208.59 bn by the end of 2022, with an increase of EGP23.05 bn.

 Retail financing also increased to EGP 51.17 bn by the end of September 2023, showing a growth rate of 13.14%, and an increase of EGP5.94 bn compared to the end of 2022.