Akef El Maghraby, CEO & managing director of Suez Canal Bank, has highlighted the bank’s recent progress and ongoing transformation, which is designed to drive substantial growth.
El Maghraby told Daily News Egypt that in 2024, Suez Canal Bank implemented key strategic initiatives to expand its operations, focusing on corporate banking, small and medium-sized enterprises (SMEs), and retail banking. This expansion is supported by a diverse range of innovative financial solutions tailored to effectively serve different customer segments.
Capital base enhancement
El Maghraby emphasised the strengthening of the bank’s capital base, with the authorised capital increased to EGP 10bn. This enhancement contributes to the bank’s growth and expansion, while also improving its capacity to support large investments and meet the growing needs of customers.
Non-banking financial activities
El Maghraby stated that the bank aims to be a leading force in Egypt’s financial and banking sector, offering services in corporate finance, direct investment, investment banking, and non-banking financial services. By becoming a reliable partner for businesses and investors at both local and regional levels, the bank seeks to expand its influence.
To achieve this, Suez Canal Bank plans to invest in robust entities within the non-banking financial services sector, either by establishing new firms or acquiring significant stakes in existing ones. This strategic approach will allow the bank to participate in key decision-making processes and add value to these companies.
The bank’s investment strategy includes launching or investing in financial arms specialising in non-banking financial services such as capital market activities, insurance, leasing, factoring, real estate finance, consumer finance, microfinance, brokerage, and financial advisory services. These encompass project financing, corporate restructuring, mergers and acquisitions, IPO promotion, underwriting, and securities management, including stocks, bonds, securitization, and Sukuk.
Asset portfolio management efficiency
Moreover, El Maghraby stressed that the primary objective of any investment is to improve the efficiency of managing the bank’s portfolio of assets and investments, maximising their value and the return achieved on invested funds, in accordance with best management and governance practices. He noted that the bank aims to integrate the investment portfolio with the bank’s other activities, such as corporate finance, financing of medium and small enterprises, trade finance, banking services, retail services, payment services and systems, and financial technology. This integration will be aligned with best practices to achieve added value at the level of the bank group as a whole.
Digital transformation
To stay ahead of market trends, the bank has established a dedicated digital transformation division. A comprehensive strategy is in place to expand digital banking services, improving operational efficiency and customer experience while maintaining high-security standards, in compliance with the Central Bank of Egypt’s (CBE) directives and Egypt’s Vision 2030.
As part of this initiative, Suez Canal Bank recently introduced its mobile banking app, SCB Mobile Banking, offering customers a seamless digital experience with access to banking services anytime, anywhere.
Urban development
Furthermore, El Maghraby reaffirmed the bank’s commitment to supporting urban development by providing flexible mortgage solutions with competitive interest rates to encourage homeownership. The bank actively participates in the CBE’s mortgage initiative for low- and middle-income individuals, offering financing with annual interest rates of 3% and 8%.
Suez Canal Bank also supports real estate development projects that add substantial value to the national economy. Recognising the real estate sector’s vital role in economic growth, the bank continues to finance key projects that stimulate development across multiple industries.
In October 2024, the bank established Anchors Real Estate Investment and Development Company, an Egyptian joint-stock company, in collaboration with Mint Real Estate Asset Management, a subsidiary of Ahly Sabour. With an authorized capital of EGP 200m, the bank holds a 40% stake in this venture.
Anchors Real Estate Investment successfully executed its first project, partnering with a major real estate developer in Egypt. This involved acquiring a portfolio of completed commercial units in Madinaty’s craft zone and a commercial administrative land plot in Rehab City. The project aims to develop and manage an integrated commercial and administrative hub in these areas.
El Maghraby highlighted that this investment is designed to create a platform for executing multiple real estate transactions in partnership with top developers. This approach will position the company for sustained growth and enable it to secure favourable financing terms, ultimately boosting its financial performance and long-term value.
Investment portfolio
El Maghraby pointed out that the bank managed to implement four divestments from several companies, within the framework of its strategy to restructure and recycle the investment portfolio. The bank also led several restructuring operations for the companies invested in, with the aim of reforming them and maximising their value. A number ofrestructuring operations ended with the acquisition of these companies by strategic investors. According to El Maghraby, the bank is currently seeking to implement a clear and comprehensive plan to restructure the investment portfolio through four key areas. These are divesting from investments held for long periods, or those that do not achieve appropriate returns, restructuring companies that face challenges from all operational, financial and administrative aspects, entering into new investments that are consistent with the bank’s strategy and approved investment policy, and developing and updating the organisational and administrative framework and work policies and regulations to serve the achievement of the bank’s strategic objectives.
New financial products
The CEO & Managing Director of Suez Canal Bank stated that the bank has launched new savings products for individual customers at competitive return rates. This aims to enable customers to invest their savings. He stressed that, at the same time, the bank is working to enhance its role in sustainability. It is doing that by providing a range of green financing products, with preferential interest rates and flexible payment plans, to meet the needs of customers interested in investing in environmentally friendly products. He added that in light of its interest in Islamic banking, the bank has launched a new range of products that are compatible with Islamic law, and a Sharia Fatwa Committee has been reconstituted, including specialised experts, to ensure that these products are compatible with the principles of Islamic law and meet the needs and preferences of Islamic banking customers.
Expansion and geographical reach
Suez Canal Bank continues to expand its presence across Egypt, recently opening new branches in Shebin El-Kom, Zagazig, and New Alamein, bringing its total branch network to 53.
In 2025, the bank plans to open 10 additional branches in key locations, including New Cairo, Alexandria, Nozha, Damanhour, Beshtil Station, New Damietta, the Suez Canal Authority headquarters in Ismailia, Sohag, Ain Sokhna, and Safaga. Alongside this, the bank is actively expanding its ATM network to enhance accessibility, supporting financial inclusion in line with CBE directives and Egypt’s Vision 2030.
Sustainable development
The CEO & Managing Director of Suez Canal Bank confirmed that the bank is continuing its efforts to achieve sustainable development goals and support Egypt’s Vision 2030 by implementing a wide range of social responsibility initiatives. He also explained that the bank’s efforts include health, education, social solidarity, support for people with disabilities, entrepreneurship and youth, women, sports, and culture.
Suez Canal Bank has also issued its first GRI Sustainability Report, which reflects its commitment to transparency and responsibility in disclosing environmental and social activities, as well as assessing the current situation and developing an integrated plan and strategy to integrate sustainability into all operational activities.
The bank also took a proactive step to measure the financed emissions of major customers to develop a plan to reduce the carbon footprint of the bank and its customers alike, in addition to the bank’s progress with its ambitious plan that includes gradually converting the bank’s buildings and branches to be environmentally friendly and training all employees on the main principles of sustainability.
El Maghraby stressed that the bank continues to enhance its role in supporting the sustainable transformation in Egypt by expanding its green products portfolio, enhancing its investments in sustainable sectors, and supporting the green economy, in line with the state’s goals and Egypt’s Vision 2030 in the transition to a clean and sustainable environment.
Suez Canal Bank also focuses on financing activities and projects that have a positive impact on the environment, including sustainable transportation, sustainable infrastructure, climate-smart agriculture, waste management, and renewable energy, in line with the state’s goals and Egypt’s Vision 2030.
The bank has also made community contributions in the field of environmental sustainability, by incubating several environmental projects such as “Neqabty – Plastka – VAIS” in the Suez Canal Bank’s technology applications business incubator “Launch SaaS.” It has also participated with a number of associations and institutions to design and implement environmentally friendly products that support women in the most underprivileged areas.
Joint financing
According to El Maghraby, the bank participated in financing MAFI for Agricultural Produce Industries with a share of $30m, Canal Sugar Company with EGP 300m and $13m (or its equivalent in euros), Arkan Palm Real Estate Investment with a share of EGP 150m, and Al-Marasem Development with a rotating speculation system with a share of EGP 150m.
In addition, the bank participated as a guarantor of coverage for the issuance of the first sustainable social securitization bonds in Egypt worth EGP 190m. It also participated in establishing Anchors Real Estate Investment and Development Company with an authorized capital of EGP 200m, with a share in the company’s capital of 40%. Furthermore, it participated in establishing Sawari Ventures Investment Fund with a share of EGP 50m, establishing Camel Ventures with a share of EGP 47m, and establishing Catalyst Capital Egypt Investment Fund with a share of EGP 50m.
Awards and honours
Suez Canal Bank’s continuous efforts have been recognised through the receipt of many prestigious international honours and awards, most notably its inclusion for the fourth time in Forbes’ list of the 50 most powerful companies listed on the Egyptian Stock Exchange (EGX) for 2024, and for the second time in a row in the Financial Times’ list of the fastest-growing companies in Africa for the year 2024, which further confirms the bank’s potential for expansion and growth.
