Hisham okasha; a golden decade with the National Bank of Egypt

Okasha leads the National Bank to be a leading entity in the Egyptian banking sector, doubles its market share

The last decade is considered historical in the National Bank of Egypt’s history. For over 124 years since its establishment in 1898; the bank has not witnessed a boom in its financial indicators and market shares, as it did during the past ten years.

The historic boom witnessed by the National Bank of Egypt is attributed to Hisham Okasha, the bank’s chairman, who took the position as acting chairman in February 2013, and was officially assigned to the position in August of the same year.

NBE’s portfolios broke the trillion barrier for the first time during Okasha tenure

Okasha has designed a plan to strengthen and boost the National Bank of Egypt which led the bank to be on the top of the Egyptian banking sector in all its financial indicators.

Moreover, he initially focused on improving the quality of the bank’s assets, with policy that tends to employ his resources into loans at the expense of financial investments, which was demonstrated by the decline in the share of financial investments in the bank’s total assets from 51.03% By the end of June 2013, to 45.2% by the end of March 2022.

Meanwhile, the National Bank of Egypt has directed his investments into granting loans, which was translated by an increase in its percentage of the bank's total assets from 29.13% at the end of June 2013, to 38.31% at the end of March 2022.

In addition, the bank has direct its deposits into granting loans, as the loans to deposit ratio increased from 36.45% at the end of June 2013 to 52.15% at the end of March 2022.

Okasha’s  to achieve historical leaps in all the bank’s indicators, as its asset portfolio jumped by 808.76%, to record EGP3.33 trillion  at the end of March 2022, compared to EGP 366.59 billion at the end of June 2013, achieving an increase which is considered the largest in the banking sector with a value of 2.96 trillion pounds.

Furthermore, bank’s loan portfolio rose by 1065%, from 114 billion pounds at the end of June 2013 to 1.328 trillion pounds at the end of March 2022 with an increase of 1.21 trillion pounds.

While in terms of the total deposit portfolio, it rose from 312.71 billion pounds at the end of June 2013 to 2.55 trillion pounds at the end of March 2022, achieving a growth rate of 714.42%, and an increase of 2.23 trillion pounds.

Moreover, the bank’s financial investment portfolio jumped by 704.92%, to record 1.51 trillion pounds at the end of March 2022, compared to 187.08 billion pounds at the end of the fiscal year 2012/2013, an increase of 1.32 trillion pounds.

Under his leadership, the bank was able to achieve record profit rates, as its net profit jumped by 393.36%, to record 15 billion pounds during the fiscal year ending in June 2021, compared to 3.04 billion pounds during the fiscal year ending in June 2013 with an increase of 11.96 billion pounds.

However, the bank’s net profits during 2022 jumped from 3.61 billion pounds during the Q1 2021, to 11.66 billion pounds during Q1 2022, achieving a growth rate of 222.6%.

Furthermore, the return on average equity posted 6.36% during the first quarter of 2022, while the return on average assets recorded 0.36% during in the comparable period last year.