The Central Bank of Egypt published financial soundness indicators showing a resilient banking sector, with stronger capital buffers, improved asset quality and high liquidity relative to regulatory thresholds. The capital adequacy ratio rose to 19.6% at end-Q4 2025, up 0.4 percentage points and above the 12.5% minimum. The ratio of non-performing loans to total loans fell to 1.9%, with provisions covering 90.2% of non-performing exposures. Liquidity ratios reached 40.3% in local currency and 79.5% in foreign currency versus regulatory minima of 20% and 25%, while the loans-to-deposits ratio stood at 66.4% at end-Q4 2025; return on equity was 39.0% at end-FY 2024. The central bank linked the sector’s resilience to its supervisory role and continuous monitoring of banks’ performance and compliance with internationally recognised prudential standards.
Central Bank of Egypt publishes banking soundness indicators with capital adequacy at 19.6% and NPL ratio at 1.9%
The Central Bank of Egypt reported a resilient banking sector with robust capital buffers, improved asset quality, and high liquidity. Key metrics include a capital adequacy ratio of 19.6%, a non-performing loans ratio of 1.9%, and liquidity ratios of 40.3% in local currency and 79.5% in foreign currency. The bank attributes this resilience to its supervisory role and adherence to international prudential standards.