alBaraka balances between financial investments and customer financing in its investment plans in H1-2024

The separate financial statements of alBaraka Bank, which ended in June, revealed that alBaraka Bank was moving in the first half of this year towards balancing its investment plans in both its financial investments portfolio and its customer financing during the first half of 2024.

Highlighting the Bank's investment trends, the Bank's customer financing portfolio accounted for the largest proportion of about 34.52% of total Bank assets by the end of June, compared to 38.42% by the end of December 2023.

Although the relative weight of the portfolio declined, the Bank's customer financing rose by 11.47% during the first half of this year, reaching EGP 43.02 bn by the end of June 2024, compared to 38.59 bn by the end of 2023.

The portfolio of financial investments saw a significant decline in its relative weight, accounting for about 33.63% of the Bank's total assets by the end of June 2024, compared to a relative weight of 42.94% of total assets by the end of 2023.

Consequently, the relative weight of both portfolios has converged to a difference of less than 1% for the sake of customer financing by the end of June 2024, after the relative weight of the financial investments portfolio dominated the bank's customer financing by more than 4% by the end of December 2024.

As for bank in-house balances, it ranked third in the largest component of the bank's asset portfolio, jumping its relative weight to 22.22% of the bank's total assets by the end of June 2024, compared to 7.93% by the end of December 2023

Banks' balances rose by 247.47%, with an increase of EGP 19.72 bn, up from EGP 27.68 bn by the end of June 2024, compared to EGP 7.96 bn by the end of December 2023.

Central Bank balances were ranked fourth among the bank's investment trends, accounting for about 6.57% of the bank's total assets by the end of June 2024, compared to a relative weight of 7.32% of its total assets by the end of last year.

It is worth mentioning that alBaraka achieved outstanding growth rates in its financial indicators during the first 6 months of 2024, where its net profit increased by 31%, to register EGP 1.34 bn during the first half of 2024, compared to 1.02 bn during the same period of 2023.

Net interest income rose to EGP 2.85 bn during the first 6M of 2024, compared to EGP 2.17 bn during the same period of 2023, with a growth rate of 30.93%.

In terms of the bank's financial position, its asset portfolio rose by 24.4%, to EGP 124.5 bn by the end of June 2024, compared to EGP 100.45 bn by the end of 2023, with an increase of EGP 24.15 bn.

The Bank's deposit portfolio rose from EGP 85.01 bn by the end of 2023 to EGP 106.06 bn by the end of the first half of 2024, with growth of 24.77%.

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