HSBC agrees to sell Egypt retail banking business to Emirates NBD

HSBC Holdings plc has agreed to sell its retail banking business in Egypt, HSBC Bank Egypt to Emirates NBD Egypt, a direct subsidiary of Emirates NBD Bank PJSC, a leading banking group in the region, as the British lender narrows its focus in the country to corporate and institutional banking.

The transaction, announced by HSBC, is expected to close in the second half of 2027, subject to regulatory approvals. It covers HSBC Egypt’s retail loans, deposits, accounts and related assets and liabilities, as well as employees supporting the business. 

There will be no immediate changes for HSBC Egypt’s retail customers. Their accounts and products will continue to operate as usual until the transaction is completed, the bank said.

HSBC shifts focus in Egypt 

The sale follows a strategic review of HSBC Egypt’s retail banking operations announced last year. It is part of a broader effort by HSBC to simplify its business and concentrate investment on markets and areas where it sees stronger opportunities. 

HSBC said Egypt remains an important market and that it will continue serving corporate and institutional clients in the country. The bank plans to support multinational companies operating in Egypt, while helping local businesses expand their international trade and investment activities. 

For HSBC, the transaction is expected to generate a pretax gain of about $300 million, most of which will be recognized when the deal closes. The gain will be classified as a material notable item, while the impact on HSBC’s Common Equity Tier 1 capital ratio is expected to be immaterial.

Emirates NBD expands retail presence 

For Emirates NBD Egypt, the deal will add HSBC Egypt’s retail customers and distribution network to its existing business, strengthening its position in Egypt’s retail and premium banking market. 

Hesham Abdulla Al Qassim, vice chairman and managing director of Emirates NBD and chairman of Emirates NBD Egypt, said the deal reflects the bank’s confidence in Egypt and its economy. 

“ Our investment reflects our continued confidence in Egypt’s dynamic market and its long-term growth prospects,” he said. “We look forward to further expanding our footprint in the country and contributing to Egypt’s continued economic growth and development.” 

Shayne Nelson, group CEO of Emirates NBD and vice chairman of Emirates NBD Egypt, said the acquisition would strengthen the bank’s presence in one of its key markets. 

Amr ElShafei, CEO and managing director of Emirates NBD Egypt, said the transaction would allow the bank to serve more customers across the country. 

“We look forward to welcoming HSBC’s customers to Emirates NBD Egypt, offering seamless financial solutions, comprehensive digital banking services and a customer-focused banking experience,” he said.

Emirates NBD grows across region 

The acquisition comes as Emirates NBD expands its business outside the United Arab Emirates. Overseas operations account for about 36% of the group’s total income, according to the bank. 

Emirates NBD operates in 13 countries across the Middle East, North Africa, Türkiye and South Asia, serving more than 25 million active customers. 

As of June 30, 2026, the group had about $360 billion in assets and reported first-half net profit of approximately $3.5 billion. It operates 1,425 branches and 4,948 ATMs and smart deposit machines across its network. 

Emirates NBD Egypt has 64 branches across Greater Cairo, the North Coast, Delta, Canal, Upper Egypt and the Red Sea region, with more than 2,300 employees. The Egyptian unit had about $5 billion in assets as of June 30, 2026. 

HSBC deepens Egypt banking footprint 

Founded in 1865 and headquartered in London, HSBC operates across 56 countries and territories. The group reported assets of $3.306 trillion as of March 31, 2026.

 HSBC has operated in Egypt since 1982, when it was established as Hong Kong Egyptian Bank. It was renamed HSBC Bank Egypt in 2001 after HSBC increased its ownership to more than 90%.

Once completed, the HSBC transaction will increase Emirates NBD Egypt’s retail customer base and expand its branch and distribution network.