ADIB – Egypt’s Performance under the leadership of Mohamed Aly, Strong growth in its indicators and a collective rise in market shares

Abu Dhabi Islamic Bank – Egypt has seen strong growth over the past six years, specifically during Mohamed Aly’s leadership as Chief Executive Officer and Managing Director of the Bank, since he assumed executive leadership in November 2017, until the Bank's most recent financial statements in December 2023.

This is clearly evident in ADIB – Egypt’s indicators, where the bank managed to achieve good growth in its main portfolios, which in turn pushed for mass increases in market shares, as well as enabling it to record strong growth in net profits during the period under analysis, to conclude last year with the highest net profits in 2023 at the level of Islamic banks.

In a new monitoring conducted by First Bank to measure the development of the Bank's most important indicators since taking over the executive leadership, it revealed that the Bank's assets volume rose to EGP 162.3 bn by the end of 2023, compared to EGP 37.4 bn by the end of 2017, with a growth of 333.7% and an increase of EGP 124.8 bn.

The Bank’s customer deposits portfolio jumped from EGP 29.8 bn by the end of 2017, to EGP 127 bn by the end of 2023, with a growth rate of 325.8%, and an increase over EGP 97 bn.

It is worth mentioning that the bank is strongly close to taking the lead of Islamic banks in terms of the volume of customer deposits as ADIB – Egypt was able to reduce the gap between it and Faisal Islamic Bank to 3.3 by the end of last year, recording the lowest levels of it since ADIB entered the Egyptian banking market, This is what we have already presented in a previous analysis under the heading: Faisal Bank may soon leave the top, ADIB-Egypt is steps away to top Islamic banks in deposit market. You can see it here.

This rise was attributable to the growth of the bank's corporate deposits to EGP 69.3 bn by the end of last year, from EGP 9.4 bn by the end of 2017, with a growth of 639.4%, and an increase of nearly EGP 60 bn.

Retail deposits increased by about 182.1% during the period under analysis, reaching EGP 57.7 bn by the end of 2023, compared to EGP 20.5 bn by the end of 2017.

Mohamed Aly sought to expand the bank’s granting loans, which leads to increasing the bank's total customer loans from EGP 17.1 bn by the end of 2017, to EGP 67.4 bn by the end of 2023, with an estimated increase of EGP 50.3 bn. It is worth mentioning that the bank has the largest portfolio in the customer loans market at the level of Islamic banks by the end of last year.

The increases achieved by ADIB – Egypt in customer loans are due to its significant expansion in corporate loans "including Corporate and Business Banking". Its portfolio jumped to EGP 49 bn by the end of last year, compared to EGP 11.8 bn by the end of 2017, with growth of 314.9% during the period under analysis.

The bank also achieved a growth of 248.03% in its retail loans, rising to EGP 18.3 bn by the end of 2023, compared to EGP 5.3 bn by the end of 2017.

He also made sure to comply with the supervisory instructions prescribed by the Central Bank of Egypt regarding the exported and paid capital of the bank as the administration successfully increased it to about EGP 5 bn by the end of 2023, compared to EGP 2 bn by the end of 2017, with a growth rate of 150%, and an estimated increase of about EGP 2 bn, in line with the Central Bank of Egypt's planned limit of EGP 5 bn.

The strong growth in the Bank’s indicators since Mohamed took over executive leadership has resulted in collective increases in market shares, although not as much because of the growth of the Egyptian banking sector further. 

Its portfolio in the asset market rose to 1.01% of total banking assets by the end of 2023, compared to 0.78% by the end of 2017, adding about 0.23% to its share in that market.

Its share in loans market also increased to 1.30% of total banking sector loans by the end of 2023, compared to 1.18% by the end of 2017, successfully adding about 0.12% to its market share in loans market.

Its share in the deposit market jumped to 1.18% of total banking sector deposits by the end of 2023, compared to 0.90% by the end of 2017, adding about 0.28% to its share.

In terms of profitability indicators, the Bank made strong progress, with net profits rising by 640% during the period under analysis, reaching EGP 4.7 bn in 2023, compared to EGP 631.6 mn in 2017.

In the past year, the bank has achieved the highest net profits on the level of Islamic banks.

Net interest income rose from EGP 2 bn in 2017, to EGP 8.9 bn in 2023, with a growth of 341.1% and an increase of EGP 6.9 bn.

Net fees and commissions income jumped by 236% in the period under analysis to record EGP 1.6 bn in 2023, compared to EGP 463.8 mn in 2017.

It should be noted that the mentioned figures are according to the combined financial statements of the Abu Dhabi Islamic Bank – Egypt.