Chairman Message

QNB ALAHLI Chairman & Managing Director’s Message

On behalf of Board members, I am delighted to present QNB ALAHLI’s annual report for 2018 comprising the bank’s financial statements, top achievements and future targets. 2018 has witnessed many accomplishments by QNB ALAHLI on many levels, starting from the bank’s record profits along with claiming more than fifteen global awards and signing several cooperation protocols, with the aim of developing the bank’s business, which in turn effectively contribute to developing the national economy. The bank has also committed to its Corporate Social Responsibility, supporting education, environment and health care. 2018 also witnessed a shift towards digital banking in many banking services, aimed to speed up and facilitate banking transactions, efficiency of procedures and good use of resources. It is also considered to be the pilot year for IFRS9 application, where the bank has been able to implement the requirements of the International Accounting Standards (IAS), in addition to the board’s attention to governance principles for achieving the institution’s sustainability.


The bank has managed to achieve outstanding results over the last year due to its commitment to the established strategy. QNB ALAHLI’s board of directors and executive management have reinforced this strategy on medium and long terms while cautiously amending it as circumstances required. The board of directors and executive management’s strategy to achieve outstanding performance rates along with generating sustainable returns for investors is accomplished through paying the utmost care to customer service quality by providing the best financial products and banking services, encouraging qualified employees and following a conservative approach in managing assets and risks. The bank also pays attention to the development of human resources capacities for innovation and creativity along with adopting, implementing and developing constructive ideas.


QNB ALAHLI’s standalone and consolidated business results for December 2018 have shown a steady growth in its net profit. As the standalone net profit hit EGP 6.918 MIO with 31% increase compared to the same period a year earlier, while consolidated net profit reached EGP 7.201 MIO with 30% rise versus the same period a year earlier. Moreover, the loan and advance portfolio recorded EGP 138 bn by the end of December 2018, while the bank’s market share of total loans registered 7.93% in October 2018 according to Central Bank of Egypt’s (CBE) data. In line with the CBE’s initiative of developing the Small & Medium Enterprises (SME) sector, acknowledging its effective role in promoting national economy, QNB ALAHLI has signed a protocol of cooperation with New Damietta Furniture City Company. The protocol is aimed at reinforcing the SME sector, by contributing to the setup of the first city specialized in the furniture manufacturing industry in Egypt. This protocol represents a keystone in widening SME’s customer base and financing the construction of units for those willing to launch small industrial activities. QNB ALAHLI’s SME portfolio hit EGP 29.6 bn, representing 23% of total loan and advance portfolio in December 2018, surpassing CBE’s target, 20%. QNB ALAHLI has received a shield of honor from the Central Bank of Egypt for being one of the first banks to achieve 20% of SME financing portfolio, which positively contributes to achieving the targets of this sector in particular and developing society in general. The bank has contributed to “Nile Entrepreneurs” initiative under the auspices of The Central Bank of Egypt to support entrepreneurship and small enterprises, where the business incubator at Nile University was inaugurated to modernize and design small industries to compete in international markets. Emphasizing its pioneering role in the Egyptian banking market and excellent services provided for customers, QNB ALAHLI has become the first private bank in Egypt issuing above one million payment cards, in collaboration with Visa International Company, affirming its’ customers confidence in the diversity of its products and financial services catering all requirements The bank’s payment cards,including credit, direct and prepayment which are designed to meet the requirements of all customer segments and provide them with security, comfort and convenience in all their financial transactions.

QNB ALAHLI has also launched its B2B service and has started its transactions through mobile payment service using QRCode. Hence becoming the first bank in the Middle East region providing the service. This Commercial payment service for companies launched by QNB ALAHLI is a new addition to the integrated solution package service presented by the bank to companies. Thus, the bank contributes to the transformation into a cashless society in line with Egypt’s adopted policy towards non-cash monetary society.

As for Corporate Social Responsibility, QNB ALAHLI continued its cooperation with many social responsibility institutions, in supporting a number of initiatives and projects for the unprivileged segments of the society. Many of the accomplished projects were aimed at developing the Egyptian Communities that deserve help. The bank mainly focused on development programs for the poor and deprived villages of Upper Egypt and Delta, offering citizens the essential and basic necessities of living by building ceilings, delivering water and providing electricity, along with organizing small projects that increase productivity, developing schools to secure a suitable environment for education, in addition to providing suitable standard of life for families.

QNB ALAHLI pays special attention to women by providing economic empowerment and supporting them in the field of Micro, Small & Medium Enterprises (MSME’s). One of the most considerable contributions made by QNB ALAHLI is the signing of a number of cooperation protocols with the European Bank for Reconstruction & Development (EBRD) within the framework of the “Women in Business” program as part of the agreements between the two banks in the field of MSMEs. The bank also pledges to develop skills to better serve the needs of women-led SMEs, in addition to making use of all available resources to boost the financial inclusion initiative as well as providing consultation to women-led projects, providing them with necessary experience, helping them prepare financial statements, organizing training courses, workshops and communication events such as seminars and others. The bank also focuses on encouraging women to participate in the ownership; management and development of various projects, helping them find innovative solutions to overcome labor market challenges, providing the appropriate conditions for dealing with the banking system, in addition to securing more opportunities for women to access products and banking services and promoting investment awareness for women, in recognition of the bank’s success in providing the best to its customers, QNB ALAHLI bagged a number of awards in 2018, namely, “The Best Bank” award from EMEA Finance and two awards from the European Bank for Reconstruction and Development (EBRD); “The Most Active Issuing Bank in the field of Foreign Trade Finance in Egypt” and “Deal of the Year – Energy Efficiency”, in addition to many prestigious awards from several financial institutions, which totaled 15 awards in different banking sectors.

QNB ALAHLI has earned the awards, under international arbitration standards, for its outstanding performance and pioneering role within the Egyptian Banking Sector, which are two key factors in obtaining more awards from international institutions and magazines. Another reason is QNB ALAHLI’s services, offering a wide range of comprehensive banking products and services covering financial activities, in addition to the bank’s dedication to serving its customers through a network of more than 220 branches and over 460 ATMs and more than 18000 POS.

It is worth mentioning that QNB ALAHLI has obtained “PCI DSS” certification, highlighting the bank’s continuous endeavor to adhere to business standards in securing customers’ data and accounts, in addition to the bank’s attention to providing safe services, which enhances the confidence of customers and international institutions, bank’s sustainable growth, and helped us deliver the strong and continuous performance that fulfills QNB ALAHLI’s future vision and its integral part of the group’s vision to be one of the leading banks in The Middle East, Africa, and South and East Asia by 2020, and a global bank by 2030. Strong and responsible leadership, good governance, and an ideology that transcends current needs and expectations will be required to achieve this goal. We believe that the Bank’s future is promising in the light of the economic progress and the improvement of the performance of the Country in many areas within the growth plan envisioned by Egypt.

Finally, I would like to extend my sincere appreciation and gratitude to QNB ALAHLI’s customers for their valuable trust. With your continuous support, we are confident that we will continue to excel and achieve sustainable value in 2019 and the coming years.

On behalf of the board of directors, I would like to thank all QNB ALAHLI’s Staff for their joint efforts which contributed to achieving the bank’s sustainable growth, and helped us deliver the strong and continuous performance that fulfills QNB ALAHLI’s future vision and its integral part of the group’s vision to be one of the leading banks in The Middle East, Africa, and South and East Asia by 2020, and a global bank by 2030.