EY: MENA bank profits up 30% on diversification

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The banking sector in the Middle East and North Africa made a lot of money in the first half of 2023. A company called EY said their profits went up by 30% compared to the previous year. They also had more money, about 12.2% more, in the bank.

This good news happened because more people wanted to borrow money, and the economy in the region was getting better.

A person from EY said the Gulf Cooperation Council (GCC) banks are doing really well, and they are making a lot of money by lending to people. This is helping the region’s economy grow.

Some other things got better too. A measure called “return on equity” went up by 6.18%, and the banks made a little more money from the interest they charged.

The banks also made more money and had more money saved up. This is because they made 18.8% more money from their everyday work, and people put 6.08% more money in their accounts.

The report also talked about some rules and things the banks need to follow. They said the banks will be watched more closely, and they will be careful when giving out loans to make sure people can pay them back.

The banks are also using better technology to protect themselves from problems and to follow the rules. They want to be ready for any risks and do what the government says.

In the future, the banks will focus on new things like digital banking, using blockchain technology, and making payments with mobile phones. They will also look into digital money and how to be more environmentally friendly.

The people who make the rules (central banks) are making it easier for banks to try new things. They think this will help the banks grow while still being safe.

The report says the banks in the region will stay strong in 2023, and things will get better, especially if oil prices stay high and the government supports the economy.

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