Al-Bahar:
NBK-Egypt earning growth underscores the resilience of the bank's business model and its solid financial position. 
Our goal is to expand our market presence, enhance banking transactions, and improve their quality to meet increasing demand. 
Our commitment to Egypt involves an unwavering long-term investment strategy, which is currently expanding despite the operational challenges prevalent in the market.

El-Tayeb:
NBK-Egypt maintains its robust performance, achieving substantial growth across all its financial indicators. 
Our objective revolves around strengthening our standing within the retail banking sector by offering the latest services and products. 
We are dedicated to further enhancing our electronic services and progressing towards comprehensive digital transformation.

National Bank of Kuwait - Egypt (NBK-Egypt) has announced net profits of EGP 1.565 billion (equivalent to KWD 16.2 million) for the six-month ended June 30, 2023. This marks a significant increase from the EGP 756.5 million (equivalent to KWD 13.8 million) recorded in the corresponding period of last year, representing an impressive annual growth of 106.9%.

In the first half of 2023, the Net Operating Income stood at EGP 3.9 billion, a substantial increase from the EGP 2 billion recorded in the corresponding period of 2022 up by 95%. In the meantime, Net Interest Income jumped by 88.2%, reaching EGP 3.2 billion compared to EGP 1.7 billion in the corresponding period of the previous year.

On the other hand, Net Operating Income (excluding interests) increased to EGP 711 million in 1H2023, compared to EGP 330 million in 1H2022, up by 115.5%, while Cost to Net Operating Income dropped from 39.7% in 1H2022 to 33.8% in 1H2023.

Total assets reached EGP 114.8 billion by the end of the first half, exhibiting a 9.2% increase compared to the year-end balance of EGP 105.1 billion in 2022. Furthermore, the net balance of loans and credit facilities expanded to EGP 67.3 billion by the end of June 2023, reflecting a growth rate of 23.6% compared to EGP 54.3 billion recorded at the end of 2022. Moreover, customer deposits continued to grow, rising by 6.4% to reach EGP 89.9 billion as of June 30, 2023, compared to EGP 84.5 billion by the end of 2022.

Commenting on the financial results announced by NBK-Egypt, Ms. Shaikha Al-Bahar, Deputy Group Chief Executive Officer, National Bank of Kuwait, and Chairman of NBK-Egypt, said: “The notable surge in NBK-Egypt's profits during the first half of 2023, alongside the consistent growth in profitability, highlights the strength of our financial standing and the resilience of our business model. This model has demonstrated its ability to generate profits even when confronted with operational challenges”.

Al-Bahar emphasized that the continued growth of NBK-Egypt’s balance sheet and the positive progress observed in various financial indicators is a testament to the success of the bank’s diversification strategy and the acceleration of its digital transformation. “Our goal is to enhance the bank's overall market share, particularly in retail services, within the region's largest market in terms of population. With Egypt’s sizable young population, we are focused on catering to their needs and expanding our reach”.

“We are focused on enhancing the quality of our services, broadening the array of NBK-Egypt’s digital services and advanced payment solutions, leveraging the Group’s extensive expertise in this domain. Furthermore, NBK-Egypt is actively expanding and diversifying its operations to encompass a broader geographic scope and cater to a more diverse range of customer segments.”

“Egypt's operating environment is currently going through an exceptional phase, comparable to that of other emerging markets that have faced consecutive economic shocks. However, we maintain an optimistic outlook for gradual improvement going forward. This optimism is rooted in the reform measures and exceptional actions implemented by the government and the Central Bank of Egypt.” 

“The sustained growth and success we have achieved in Egypt through our long-term investments affirm the Group's forward-thinking vision in choosing Egypt as a strategic investment destination. We are committed to further developing our presence in the country, driven by the rising demand for banking services and higher financial inclusion rates.” 

Meanwhile, Vice Chairman, CEO, and Managing Director of National Bank of Kuwait-Egypt, Mr. Yasser El-Tayeb, said: “NBK-Egypt's remarkable business performance has surpassed expectations, demonstrating its resilience and capacity for growth, even in the midst of various challenges present in both local and global markets.”

El-Tayeb emphasized that the bank’s growth is consistently balanced across all business activities while maintaining the highest adequacy rates and lowest risk ratios, positioning NBK-Egypt for sustained growth. This leadership position results from the Group's prudent policies and practical business model, better positioning NBK-Egypt to meet the shifting demands of its customers and diversify its revenue streams.

El-Tayeb added that NBK-Egypt’s revenue streams are appropriately balanced between corporate and retail credit segments, which have been consistently growing over the past few years, with a very diversified credit portfolio including a wide range of businesses across various sectors ranging from large scale corporations to SMEs. Meanwhile, the retail banking portfolio is also well diversified. This solid position reflects the Bank’s strength and the diversity of its revenue streams. He also highlighted that going forward, NBK-Egypt strives to further strengthen its position in retail banking by offering innovative services and products to its retail customers, in addition to continuing the horizontal growth plan by inaugurating new branches covering key locations throughout the Egyptian market.

Furthermore, El-Tayeb highlighted NBK-Egypt's commitment to align its strategies with the global movement towards sustainable finance and the transition to a green economy. The Bank aims to actively support environmentally friendly projects that promote sustainability and the utilization of renewable energy sources. Moreover, recognizing the significance of sustainable finance as an important tool in ensuring long-term financial stability, NBK-Egypt is dedicated to exploring viable solutions that mitigate the adverse impacts of climate change and reduce carbon emissions.

Underlining the significance of digitalization and the adoption of emerging technologies, El-Tayeb said: "We strongly acknowledge the pivotal role of digital solutions and alternative channels in the banking industry, as we understand their significance in preserving our competitive edge over our counterparts." He added that recognizing the importance of digitalization in strengthening banks' competitive advantages, NBK-Egypt has consistently pursued initiatives to bolster electronic services and promote wider adoption of digital payment transactions. This aligns with the national policy and the Central Bank of Egypt's efforts to foster financial inclusion and integrate new customer segments and merchants into the formal banking system, facilitating the transition towards a cashless society.

About the Bank
NBK-Egypt has a vast network of 53 branches spread over premium locations in various Egyptian governorates and cities, including Cairo, Giza, Alexandria, Delta, Red Sea, Port Said, Upper Egypt, and the industrial zones in 6th of October 10th of Ramadan cities. The Bank is also privileged to be among the elite banks within the Egyptian market that offer Islamic banking services in addition to its conventional products throughout its Islamic branches. Moreover, NBK-Egypt has a vast network of ATMs nationwide to service the Bank’s clients around the clock. Furthermore, the bank offers a wide range of digital and electronic services, providing its customers with a unique banking experience. These services enable customers to conveniently conduct their banking transactions anytime and anywhere, eliminating the need to visit the bank for every transaction.

National Bank of Kuwait (NBK) was incorporated in 1952 as the first local bank and the first shareholding company in Kuwait and the Gulf region. NBK continues to enjoy collectively one of the highest ratings among all banks in the Middle East from the three international rating agencies Moody’s (A1), Standard and Poor’s (A), and Fitch Ratings (A+). The Bank’s ratings are supported by its strong financial indicators, asset quality, and high capitalization, in addition to its highly recognized and very stable management team, as well as strategic vision and stable funding base. NBK enjoys the most comprehensive banking presence with a local and international network with international presence in the world’s leading financial centers including China, Geneva, London, Paris, New York, and Singapore, in addition to its regional presence in Egypt, Lebanon, Bahrain, Saudi Arabia, Iraq, and the UAE.