AAIB Tops Fastest-growing banks in Egypt in terms of net interest income

Arab African International Bank (AAIB) was able to top First Bank list of the fastest growing banks in net interest income during the first quarter of this year, with a growth rate of 124.25%, jumping to EGP 7.6 bn in the first quarter of 2024, compared to EGP 3.4 bn during the same period of 2023, with an increase of EGP 4.2 bn.

The significant increase in net interest income of the Bank is due to a rise in loan returns and similar revenues of 161.2%, recording EGP 21.4 bn in the first quarter of 2024, compared to EGP 8.2 bn during the corresponding period of 2023, with an increase of EGP 13.2 bn.

The increase in loan returns and similar revenues was because of the increase of returns from loans and facilities to customers of 94.3%, reaching EGP 8.1 bn during the first quarter of this year, compared to EGP 4.2 bn during the same period in 2023, with an increase close to EGP 4 bn.

The Bank's return on bills and bonds rose by 220.6%, recording EGP 7.2 bn in the first three months of the year, compared to EGP 2.3 bn in the same period in 2023, with an increase of nearly EGP 5 bn.

AAIB’s Return On Deposits and current accounts jumped to EGP 4.5 bn in the first quarter of 2024, compared to EGP 1.4 bn in the corresponding period of 2023, with a growth of 220.2% and an increase of EGP 3.1 bn.

Financial investment returns (excluding fair value gains and losses) rose by EGP 1.2 bn, reaching EGP 1.5 bn in the first quarter of 2024, compared to EGP 352.7 mn in the same period from 2023.

The Bank’s return from loans and facilities to banks also increased to EGP 12.7 mn in the first quarter of 2024, compared to EGP 3.5 mn during the same period of 2023, with an increase of EGP 9.2 mn.

In terms of expense on deposits and similar expenses, it rose to EGP 13.8 bn in the first quarter of 2024, compared to EGP 4.8 bn in the same period from 2023, with a growth of 187%, and an increase of over EGP 9 bn.

The increase in expense on deposits and similar expenses resulted mainly from a rise in deposits and current accounts for customers from EGP 4.2 bn during the first 3M of 2023, to EGP 12.6 bn during the same period of 2024, with a growth of 203.8%, and an increase of EGP 8.5 bn.

The increase in the expense of deposits and current accounts of banks also played a role in rising the expense of deposits and similar expenses, increasing by about 75.3%, to over EGP 452 mn during the first quarter of this year, compared to EGP 257.8 mn during the same period from 2023.

As for the expense of loans and other facilities, it jumped to EGP 735.8 mn during the first quarter of 2024, compared to EGP 397.1 mn during the same period of 2023.

As for expense of selling Treasury bills with a commitment to repurchase, it rose to EGP 3.4 mn in the first quarter of 2024, compared to EGP 2.8 mn in the same period of 2023, bringing the net interest income of the AAIB to EGP 7.6 bn during the first 3M of this year.

To view the full list. Click More