ABE loan portfolio reaches EGP 75.27bn in June 2024 – Dailynewsegypt
The Agricultural Bank of Egypt (ABE) continues to demonstrate robust growth in its business performance indicators during the first half of 2024, reaffirming its position as a key financial institution for funding agricultural projects and related industrial and service activities. This aligns with the state’s vision of maximizing productivity and added value in the agricultural sector to enhance agricultural, livestock, poultry, and fish production in Egypt.
According to the bank’s performance indicators for the first half of 2024, the loan portfolio size reached EGP 75.27bn, marking a significant increase of EGP 6bn compared to the EGP 69.4bn recorded in June 2023. Approximately 518,040 clients, including individuals and companies, benefited from these loans. This growth is attributed to the bank’s disciplined credit policies, which link lending to production and direct financing toward productive activities, thereby stimulating investment across all aspects of the agricultural sector.
The bank’s deposit portfolio also experienced substantial growth, rising from EGP 161.481bn on 30 June 2023, to EGP 184.84bn in June 2024. These efforts have enhanced the quality of the bank’s financial services, meeting the diverse needs of its clientele and bolstering customer confidence in its ability to manage savings and facilitate transactions using the latest banking systems.
Approximately 80% of the loan portfolio is directed toward financing the agricultural sector and related industries. In the first half of the year, the bank doubled financing for agricultural crop production, benefiting small farmers with a 5% return rate. The agricultural loan portfolio reached EGP 23.8bn, with EGP 8.961bn disbursed through 95,433 agricultural loans. This underscores the bank’s commitment to improving the living standards of small farmers and enhancing their production capabilities by increasing loan categories for crops by 25% to 70%, helping farmers cope with rising production costs and requirements.
The bank also witnessed substantial growth in loans directed toward medium, small, and micro-enterprises, reflecting its role in supporting and encouraging all productive sectors to boost local production. To create a competitive national industry capable of thriving in the local market, small companies received financing amounting to EGP 6.733bn, benefiting 6,202 small businesses. Medium-sized companies were financed with EGP 5.573bn for 176 companies, while approximately 1,843 micro-enterprises received financing totalling EGP 435.27m.
Simultaneously, the bank’s role in funding major projects and companies has expanded, further supporting and developing the national economy. The number of major companies in the agricultural sector and related activities increased from 119 in June 2023 to 208 in June 2024, with financing reaching EGP 16.5bn. These achievements contribute to stimulating investment in the agricultural sector and related activities, potentially providing direct and indirect employment opportunities and improving income levels for citizens across various governorates.