Adnan Ahmed Yousif, chairman of the UAB, said the Egyptian banks were in a good shape and had not been affected by the events witnessed by Egypt during the last four days.

Yousif, who is also president and chief executive of AlBaraka Banking Group Bahrain, while commenting on the clouds of uncertainty surrounding Egypt following the political unrest said the banking sector had not been affected by the events taking place in Egyptian cities.

He added that it was natural to see a decline in the Egyptian stock exchange in such circumstances, but such decline is under control, saying that the banking sector in Egypt has robust resources and is one of the most important economic sectors in Egypt. The combined assets of the Egyptian banks as at the end of October 2010 were about $230 billion with deposits of about $163 billion and capital of about $14 billion.

The Egyptian banking sector registered an excellent capitalization ratio of about six percent with a high level of liquidity as loans-to-deposits ratio did not exceed 50 percent.

As for growth in the Egyptian banking sector, he pointed out that the growth rate in assets reached about 22 percent, while capital growth was approximately 20 percent, which is one of the highest rates recorded in the Arab region.

Yousif hoped the situation in Egypt would return to normal soon and the Egyptian banking sector would continue its excellent performance and keep on playing its important role in the development of the Arab banking system.