Banks & Companies

Egyptian banking sector grew 60% in 2016 – CBE

8th February 2017

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An employee counts money at an exchange office in downtown Cairo June 5, 2014. Egypt's currency black market is under threat from two directions, as aid from wealthy Gulf states promises to ease a dollar shortage and an increasingly confident central bank engineers a gradual depreciation of the Egyptian pound. REUTERS/Amr Abdallah Dalsh (EGYPT - Tags: POLITICS BUSINESS) - RTR3SDW1

By: Ahmad Abu el-Hamd

The deputy governor of the Central Bank of Egypt (CBE), Gamal Negm, said that the banking sector grew by 60% in the fiscal year that ended 31 December 2016.

Negm added in a statement on Tuesday that the banks’ initial financial statements show the stability of the Egyptian banking sector and its ability to deal with recent economic reforms, including the CBE decision to float the pound.

The banks’ profits went up to around EGP 56 billion in the year 2016, Negm indicated, adding that Capital Adequacy Ratio (CAR) registered 14.9% compared with an established minimum of 10.625%.

The deputy governor also noted the high liquidity levels that help in providing the adequate needed finance to different economic projects, which helps the banking sector contribute to achieving the targeted economic growth rates.