Agricultural Bank of Egypt: deposits portfolio jumps to EGP 184.8 bn and loans to 75.3 bn by June- 2024 End

In the first half of 2024, Agricultural Bank of Egypt continued to affirm its excellence as one of the most important banks in the banking sector in financing agricultural projects and related industrial and service activities and stimulating investment in the agricultural sector in all its productive areas, thereby achieving Egypt's vision of maximizing the productivity and value added of the agricultural sector in Egypt to develop agricultural, Livestock, poultry and fisheries production.

This is a continuation of the Agricultural Bank of Egypt's success in achieving high growth rates in business results indicators during H1-2024, with the loan portfolio at the end of June 2024 reaching about EGP 75.27 bn, which is about EGP 6 bn higher than the loan portfolio at the end of June 2023, which amounted to about EGP 69.4 bn.

The number of customers (individuals and corporates) benefited from these loans reached nearly 518,040, as a result of the Bank's continued pursuit of disciplined credit policies to link lending to production and direct financing for serious productive activities, thereby stimulating investment in the agricultural sector in all its productive areas. 

The deposit portfolio saw a remarkable rise from EGP 161.481 bn on June 30, 2023 to EGP 184.84 bn by the end of June 2024, marking significant success of the Bank's development efforts that contributed to improving the quality of its banking and financing services to meet the needs of its customers in their various categories. The Bank's mental image has also enhanced its customers’ confidence in the Bank's ability to manage their savings and facilitate their transactions according to the latest banking systems.

According to the loan portfolio classification, loans directed to financing the agricultural sector and related industries accounted for about 80% of the size of the credit portfolio, with the bank doubling in the first half of this year the amount of loans directed at the production of agricultural crops received by smallholder farmers with a return of 5%.

The loans portfolio for agricultural crops was about EGP 23.8 bn, and granting loans during the first half of this year amounted to EGP 8.961 bn with a total of 95.433 agricultural loans.

This underscores the Bank's keenness to improve the standard of living of small farmers and enhance their productive capacities by increasing the credit categories of agricultural crops by 25% to 70% to help farmers cope with the significant rise in production costs and supplies. The Bank has also achieved significant growth in the volume of loans direct to finance medium, small and microenterprises, given the Bank's role in supporting and encouraging all productive sectors to enhance domestic production, in order to create a competitive national industry that is competitive in the local market.

Small corporates’ loans size amounted to about EGP 6.733 bn, benefiting 6,202 small corporates, medium-sized corporates amounted to EGP 5.573 bn, 176 corporates, and 1,843 micro- corporates were financed with a loans volume of about EGP 435.27 mn.