The volume of Islamic banking services in Egypt stood at around 429 billion Egyptian pounds EGP (more than 27 billion USD) in 2021, according to a report by the National Islamic Finance Association (Eifa). Up 17.4% from 2020, this level represents around 5% of the country’s total banking market size.
According to the report presented this weekend by Mohamed Al-Beltagy, the president of the association, about 248 Islamic branches operate in the Egyptian market, representing about 5.6% of the total number of branches in the market as a whole. They serve a total of more than 3.2 million customers.
The document also recalls that 14 banks have a license from the Central Bank of Egypt (CBE) to provide Islamic banking products. Among them, the three Islamic banks which are Faisal Islamic Bank of Egypt, Al-Baraka Bank Egypt and Abu Dhabi Islamic Bank Egypt. The remaining 11 institutions operate through their Islamic branches, in addition to their traditional branches.
In the ranking, Faisal Bank is positioned as the leader of the Islamic banking market with a turnover of 131 billion EGP (more than 8 billion USD), which represents 30.6% of the sector. The bank is followed by the Islamic branches of Banque Misr with a volume of 95 billion EGP (about 6 billion USD) and a share of 22.2%. Abu Dhabi Islamic Bank Egypt completes the top three (89.5 billion EGP in turnover, 20.9% share), just ahead of Al-Baraka Bank Egypt (82.3 billion EGP, 19, 2%).
More than 60 banking products
The volume of Islamic deposits amounted to around EGP 350.4 billion (over USD 22 billion) in 2021, representing around 7% of the total deposit volume in the Egyptian banking market. This is an increase of EGP 43.2 billion and a growth rate of 14.1% compared to 2020.
For its part, Islamic Sharia-compliant funding volume amounted to around EPG 328 billion (over USD 20 billion) in 2021, or around 5.4% of the total funding volume in the Egyptian banking market. . Up by EGP 35.7 billion (+12.2%) compared to the previous year.
Furthermore, the report notes that the market has witnessed the development of many Islamic banking products that meet the needs of customers. To date, more than 60 banking products are available, but the market, it is said, needs several Islamic Shariah-compliant products, whether for the retail, corporate or SME sector. .
