Saib scores 51.1 points on First Bank financial soundness index during first 9M-2023

Saib was able to significantly enhance its financial soundness index during the last year by scoring 51.1 points on the First Bank Financial soundness Index by the end of September 2023, compared to the sector average of 50 points by the end of the same period.

The financial soundness index set by First Bank, measures the strength and soundness of the banks' financial position and ability to preserve the funds of depositors and shareholders.

The financial soundness index is based on six measures: the capital adequacy ratio, the financial leverage ratio, assets to deposits ratio, shareholders’ Equity to deposits ratio, loans to deposits ratio and non-performing loan ratio.

Turning to the index's first element, the capital adequacy ratio, this index registered 19.06% by the end of Q3 of 2023, ranking eighth on the FirstBank list of the best banks included in capital adequacy ratio by the end of last September. Exceeding the banking sector average of 18.1% by the end of the same period and the regulatory limits set by the Central Bank of Egypt which are consistent with Basel Accord of 12.5%.

The second element of the financial soundness Index, the leverage ratio, exceeds the banking sector average. The Bank's leverage ratio was 10.16% at the end of Q3 of 2023, compared to 6.6% at the banking sector level at the end of the same period.

In terms of the third element, the non-performing loan ratio, it stood at 5.82% by the end of September 2023, compared to 3.3% at the banking sector level at the end of the same period.

As for loans to deposits ratio (loans/deposits), Saib achieved about 54.25% by Q3 of 2023, placing third place on the FirstBank list of the best banks included in the loans to deposits ratio by the end of last September, compared to the sector average of 52.40% by the end of the same period.

Regarding the fifth element, Asset coverage ratio for deposits (assets/deposits), the Bank registered 125.31% by the end of September 2023, compared to 150.96% at the banking sector level by the end of the same period, ranking fifth on the FirstBank list of the best banks included in the asset coverage ratio for deposits by the end of the Q3 of last year.

Finally, in the sixth element, Shareholders’ Equity coverage ratio for deposits (equity/deposit), this index exceeds the sector average, registering 13.57% by the end of September 2023, compared to 8.86% at the banking sector level by the end of the same period.