Egypt**  | عربي

Chairman Message




As we celebrate the passing of a year full of achievements, we must pay tribute to what the bank has accomplished. These achievements were not reached by mere chance, but were the result of hard work and fruitful policies in line with the bank ambitions together with the vision of its Board of Directors, which reflected positively on both customers and shareholders. As a result, promising results and strong growth were realized in our banking operations to support our established position in the Egyptian banking sector.


Outstanding Performance

This year, we have achieved unprecedented results and strong growth in our banking operations to support our strong position in the Egyptian banking sector. Performance indicators in 2016 confirm the strength of the bank financial position and increased customer confidence in QNB ALALAHLI. The bank strategy is to increase the ability to attract customer savings. We expect this ratio to increase in 2017 through attracting a wide variety of customers and diversifying its deposit portfolio according to customer demand and market needs. As a result, our financial results reflected our outstanding performance as our net separate profit amounted to LE 4,034 million, an increase of %31 compared to the same period last year. Net consolidated profit amounted to LE 4,203 million, an increase of %32 over last year. Customer deposits reached EGP 159.9 billion at the end of December 2016, a growth rate of %47 compared to the end of 2015, driven by strong growth in deposits in local currency which reached LE 113.8 billion at a growth rate of %28, and deposits in foreign currency increased by LE 46.1 billion. Gross loans increased by %55 YTD and QNB ALAHLI continued to maintain strong asset quality, with NPL ratio as at Dec16- of %2.56 which is below the overall market average. The strong revenue generation capacity combined with prudent risk management resulted in strengthening of the coverage ratio, reaching %187 up from %139 in December 2015. Total assets increased to EGP 190.9 billion by the end of December 2016, an increase of %44 compared to 2015.


An Ambitious Strategy

Our ambitious strategy in the Egyptian market aims to further expand and reach all our customers in all governorates of the Republic, an area where we have already taken huge steps, as QNB ALAHLI has more than 200 branches in different governorates. We aim to cover more areas with new branches with the same level of service that our customers are used to and more, at the same time strengthening all branches with state-of-the-art banking technology while relying on our highly qualified and trained staff to deliver superior customer satisfaction.


State-of-the-Art Banking Technology

Over the past year, technology was one of the main issues on the bank management’s table, as it proved to be one of the best ways to help us reach out to new customers and provide the best service possible for long-term customers, as well as an efficient medium that facilitates availability of our premium products and helps our clients develop their businesses and manage their daily accounts.QNB ALAHLI was able to accomplish tremendous achievements in 2016 in this field and has introduced many advanced banking solutions that have contributed to the growth and diversification of modern banking products to customers, which has had a great impact on the growth of the bank profits, which achieved a significant increase by the end of December compared to the same From 2015, and in addition to the use of banking technology, the bank continued employing a successful strategy in the Egyptian market which was characterized by flexibility in operational policies and procedures. As well as, overcoming crises and confronting strong competition in the market, supported by the wide geographical coverage available through our branches throughout the country.


Supporting the Economy

In 2016, the bank was able to play an active role in supporting the Egyptian economy and enhancing its growth opportunities by employing its policies and capabilities to achieve economic growth in terms of supporting national projects and increasing the loan portfolio to reach %7.43 of total bank loans at the end of last December which demonstrates the confidence of our customers and our belief in the importance of supporting various economic activities. As part of the bank support for the economy, QNB ALAHLI Bank has successfully penetrated the SME market to strongly support the bank belief in the importance of this type of project to support the economy and create jobs. The bank provided an integrated program that not only provides regular banking services to the sector, but also provides solutions through subsidiaries such as QNB AA Life Assurance, QNB AA Leasing and QNB AA Factoring. This support is provided to small and medium enterprises through the bank branch network, which has a team of specialists to serve this important segment of customers.


Corporate Banking

Continuing its excellence in the corporate sector, the bank continued to offer customized banking, financial advisory, project financing, trade finance, cash management and foreign exchange products as well as competitive offerings. QNB ALAHLI has been able to establish strong ties with its various corporate partners, both local and multinational. The bank takes pride in being one of the most relied upon organizations by large, medium or small corporate clients. Their trust in the bank stems from the availability of high level of support and service throughout the year, as well as the excellence of Corporate Relationship Management. We should commend the role of the Treasury and Dealing Room in their Continuous dedication to assist our clients to manage their risk and minimize the impact of the market volatility on their balance sheets and enhance their revenue through Quantifying the exposure of the interest rate and exchange rate. Moreover, the bank continued to lead in the field of trade finance, and maintain its standing in this area, not only through the finest implementation, but also through the best commercial financial advisory.


Retail Banking

In terms of retail banking, the bank has been able to take advantage of its leading position in the development of retail banking by providing niche products that are based on serving different segments of customers to meet their needs, in addition to providing innovative products and services continuously and review and modify the design of existing products and services provided by the bank to its clients. This year, the bank has had an important impact for our prime customers through Safwa, providing a range of exclusive products and unique offers tailored to meet their needs. At the same time, “Tamayoz” customers are provided with a specialized business offer to satisfy their financial needs. Finally, “Banky” bundle which is a package of products and benefits; in alignment with financial inclusion, designed to attract new market clients to make their banking experience much easier and satisfy their banking needs.


Small & Medium Enterprises

As we are keen to support the economy and support the initiatives of the Central Bank of Egypt in this regard, we have employed the bank policies and capabilities to achieve a boom in financing small and medium enterprises and increase the loan portfolio to increase the bank market share of total bank loans to %7.43 by the end of last December, a statistic which highlights our customers trust in our operations and our belief in the importance of supporting various economic activities. The bank has also provided integrated solutions for small and medium enterprises through subsidiaries such as QNB AA Life Insurance, QNB AA Leasing and QNB AA Factoring. This support is provided to SMEs through the bank network of specialized professionals to serve this important segment of Customers. Leading the Market The outstanding performance of the bank and its leadership within the Egyptian banking sector was a key factor in the bank winning a number of awards in the year 2016 from international institutions and magazines, such as the best corporate banking award in Egypt for, the Best Retail Bank in Egypt, Best Bank in Finance of Small and Medium Enterprises in Egypt, Best Bank for Treasury Activities in Egypt. The bank also won the Best Commercial Finance Bank Award in Egypt and other awards that lead us to take further steps in our ambitious strategy Within the Egyptian banking market.


Corporate Social Responsibility

QNB ALAHLI believes that it is part of the community in which we operate. Therefore, we are keen to contribute effectively to the advancement of the Egyptian society and achieve sustainable development through the launch of many social responsibility initiatives in partnership with institutions and associations focusing on health, education, development, social solidarity, culture, and Social aspects affecting household living standards in villages of Upper Egypt and Delta region. During the year 2016, QNB ALAHLI Bank purchased kidney dialysis machines in Kom Hamada in collaboration with Misr Al Kheir Foundation, developed the Gastrointestinal Endoscopy Unit at Cairo University Hospital, donated a tumor remedial device for the Oncology Unit at Al Orman Hospital in Luxor, and a respiratory device for the Red Crescent Hospital in Sohag, As well as a donation to Benha Educational Hospital and Zagazig University Hospitals. In the field of social welfare, QNB ALAHLI Bank donated 15 million pounds to support the Fund of “Tahya Misr” in the housing project „Al Asmarat” and contributed to the development of the village of Koum el-Nour in Beni Suef governorate, as well as the development of a number of villages in Edfu in Aswan Governorate. The bank has also set up 21 branches throughout the Republic specifically to deal with the deaf and the mute customers in the sign language to receive this segment of citizens who have difficulty communicating during the course of their banking transactions. In the field of education, the bank participated in the establishment of several educational facilities in the most needy and disadvantaged areas such as the Zenika elementary school in Luxor and the development of a number of schools in Aswan, Fayoum and Shalatin area, as well as the Ali Mohamed Rahil school in Sharkia. QNB ALAHLI social contributions extended to cultural and sports fields. The bank sponsored the 5th Annual International Conference (ICT) for People with Disabilities in cooperation with the Ministry of Communications and Information Technology. The bank also signed a contract for sponsoring squash sport at Alexandria Sporting Club, as well as sponsoring the marathon held by the Arab Academy for Science and Technology in Smart Village to support Abu Al-Reish University Hospital for Children in Al-Munira. We at QNB ALAHLI are keen to continue our contributions strongly through 2017 to support the Egyptian society to which we belong and work on its advancement and development. I would also like to thank all customers for their great confidence in our bank capabilities and for their joint efforts, leading to the success of all parties. Finally, I would like to thank all employees and members of the Board for their continued support to the bank development and growth to achieve its goals.


Follow Us