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July 2017 Egypt Car Finance Market Outlook to 2021

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July 2017 Egypt Car Finance Market Outlook to 2021

T ABLE OF C ONTENTS
1. Executive Summary
Market Potential
Market Segmentation
Competitive Landscape
Future Analysis and Projections
2. Research Methodology
2.1. Market Definitions
2.2. Abbreviations
2.3. Market Size And Modeling
Approach Market Sizing
Market Sizing Egypt Car Finance Market
Variables (Dependent and Independent)
Multi Factor Based Sensitivity Model
Final Conclusion
3. Egypt Car Finance Market Genesis and Overview
Financial Services System and Car Finance in Egypt
Egyptian Car Industry and Car Finance Market
Islamic Financing
4. Value Chain Analysis in Egypt Car Finance Market
Choosing between Bank and Dealership Financing
Deciding from among the Banks
Dealership Financing
5. Egypt Car Finance Market Size, 2011-2016
5.1. By Credit Disbursed, 2011-2016
5.2. By Number of New Cars Financed, 2011-2016
5.3. By Penetration of Car Finance, 2011-2016
6. Egypt Car Finance Market Segmentation
6.1. By New Car and Used Car Finance, 2011-2016
6.2. By Tenure of Loan - New Car, 2016
6.3. By Tenure of Loan - Used Car, 2016
6.4. By Finance Source, 2016
6.5. By Region, 2016
7. Government Regulations in Egypt Car Finance Market
General Regulations Pertaining to Non-payment of Consumer Loans
8. Points to Consider Before Taking Car Loan From a Bank in Egypt
8.1. General Parameters
Credit Report
Interest Rate

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July 2017 Egypt Car Finance Market Outlook to 2021

Loan Tenure
Approach a Bank Directly for a Car Loan
Installment Amount
Full Payment
8.2. Student Car Loan
Enrollment as Student
Credit Rating
Car Model
Down Payment
Negotiation
9. Trends and Issues in Egypt Car Finance Market
Growing Car Rental Market
Emerging Digitalization
Economic Crisis
Floating of Exchange Rate
Rising Inflation
Rising Prices of Petroleum Products
Falling New Car Sales
Regulatory Changes
10. Product Features in Egypt Car Finance (Tenure, Interest Rate and Conditions)
10.1. Bank of Alexandria
Car Loan with Salary Transfer
Car Loan with Installment Transfer
Car Loan For Pensioners
Car loan without Installment or Salary Transfer
Car Loan for Self Employed
Car Loan Against Deposits
10.2. Banque Misr
10.3. National Bank of Egypt
10.4. Arab Bank
10.5. Bank Audi SAE
11. Competitive Landscape
11.1. Competitive Scenario in Egypt Car Finance Market
11.2. Competitive Landscape of Major Banks in Egypt Car Financing Market
11.2.1. Bank of Alexandria
11.2.2. Banque Misr
11.2.3. National Bank of Egypt
11.2.4. Arab Bank
11.2.5. Bank Audi SAE
12. Future Outlook and Projections for Egypt Car Finance Market, 2017-2021

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July 2017 Egypt Car Finance Market Outlook to 2021

13. Analyst Recommendations


14. Macroeconomic Factors Affecting Egypt Car Finance Market
14.1. New Car Sales in Egypt, 2011-2021
14.2. Consumer Expenditure in Egypt, 2011-2021
14.3. Urban Population in Egypt, 2011-2021
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July 2017 Egypt Car Finance Market Outlook to 2021

L IST OF F IGURES
Figure 4-1: Value Chain Analysis of Egypt Car Finance Market
Figure 5-1: Egypt Car Finance Market Size by Credit Disbursed on Car Finance in
USD Million and Growth Rate in Percentage (%), 2011-2016
Figure 5-2: Egypt Car Finance Market Size by Number of New Cars Financed in
Units and Growth Rate in Percentage (%), 2011-2016
Figure 5-3: Egypt Car Finance Market Size by Car Finance Penetration in Percentage
(%), 2011-2016
Figure 5-4: Average Ticket Size for Car Finance in Egypt in USD, 2011-2016
Figure 6-1: Egypt Car Finance Market Segmentation by New Car and Used Car
Finance on the Basis of Credit Disbursed in Percentage (%), 2011-2016
Figure 6-2: Egypt Car Finance Market Segmentation by Percentage Share of Loan
Tenure - New Car on the basis of Number of New Cars Financed in Percentage (%),
2016
Figure 6-3: Egypt Car Finance Market Segmentation by Percentage Share of Loan
Tenure - Used Car on the basis of Number of Used Cars Financed in Percentage (%),
2016
Figure 6-4: Egypt Car Finance Market Segmentation by Banks and Private Finance
on the Basis of Credit Disbursed in Percentage (%), 2016
Figure 6-5: Egypt Car Finance Market Segmentation by Region on basis of Number
of New Cars Financed in Percentage (%), 2016
Figure 6-6: Region-wise split of Number of Branches of Top Eight Banks in Egypt in
Percentage (%), 2014
Figure 9-1: Foreign Exchange Reserves in Egypt in USD Billion, 2010-2015
Figure 9-2: Average Exchange Rate from USD to EGP), 2011-2016
Figure 9-3: Average Inflation Rates in Egypt, 2011-2016
Figure 9-4: New Car Sales in Egypt in Units, 2014-2016
Figure 12-1: Future Outlook and Projections for Egypt Car Finance Market on the
Basis of Credit Disbursed for Car Finance in USD Million and Growth Rate in
Percentage (%), 2017-2021
Figure 14-1: New Car Sales in Egypt in Units, 2011-2021
Figure 14-2: Consumer Expenditure in Egypt in USD Million, 2011-2021
Figure 14-3: Urban Population in Egypt in Million, 2011-2021

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July 2017 Egypt Car Finance Market Outlook to 2021

L IST OF T ABLES
Table 2-1: Correlation Matrix of Egypt Car Finance Market
Table 2-2: Regression Coefficients Output for Egypt Car Finance Market
Table 5-1: Rationale and Description for Egypt Car Finance Market Size by Credit
Disbursed, 2011-2016
Table 5-2: Rationale and Description for Egypt Car Finance Market Size by Number
of New Cars Financed, 2011-2016
Table 5-3: Rationale and Description for Egypt Car Finance Market Size by Car
Finance Penetration, 2011-2016
Table 6-1: Egypt Car Finance Market Segmentation by New Car and Used Car
Finance on the basis of Credit Disbursed in USD Million, 2011-2016
Table 6-2: Egypt Car Finance Market Segmentation by Loan Tenure - New Car on the
basis of Number of New Cars Financed, 2016
Table 6-3: Rationale and Description of Egypt Car Finance Market Segmentation by
Banks and Private Finance on the Basis of Credit Disbursed in USD Million, 2016
Table 6-4: Rationale and description of Egypt Car Finance Market Segmentation by
Region on the Basis of Number of New Cars Financed, 2016
Table 6-5: Region-wise split of Number of Branches of Top Eight Banks in Egypt,
2014
Table 7-1: Amendments and New Regulations on Car Loan, Egypt, 2016
Table 10-1: Features of Car Finance by Bank of Alexandria including Target
Customers, Interest Rates, Loan Tenure, Down Payment and others
Table 10-2: Features of Car Finance by Bank of Alexandria including Target
Customers, Interest Rates, Loan Tenure, Down Payment and others
Table 10-3: Features of Car Finance by Bank of Alexandria including Target
Customers, Interest Rates, Loan Tenure, Down Payment and others
Table 10-4: Features of Car Finance by Bank of Alexandria including Target
Customers, Interest Rates, Loan Tenure, Down Payment and others
Table 10-5: Features of Car Finance by Bank of Alexandria including Target
Customers, Interest Rates, Loan Tenure, Down Payment and others
Table 10-6: Features of Car Finance by Bank of Alexandria including Target
Customers, Interest Rates, Loan Tenure, Down Payment and others
Table 10-7: Features of Car Finance by Banque Misr including Target Customers,
Interest Rates, Loan Tenure, Down Payment and others
Table 10-8: Features of Car Finance by National Bank of Egypt including Customers
Age, Interest Rates, Loan Tenure, Down Payment and others
Table 10-9: Features of Car Finance by Arab Bank including Customers Age, Interest
Rates, Loan Tenure, Down Payment and others

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July 2017 Egypt Car Finance Market Outlook to 2021

Table 10-10: Features of Car Finance by Bank Audi SAE including Customers,
Interest Rates, Loan Tenure, Down Payment and others
Table 11-1: Competitive Scenario in Egypt Car Finance Market
Table 11-2: Competitive Landscape for Bank of Alexandria including Company
Overview, Products and Services, Number of Employees, Number of Branches and
Other Parameters
Table 11-3: Competitive Landscape for Banque Misr including Company Overview,
Products and Services, Number of Employees, Number of Branches and Other
Parameters
Table 11-4: Competitive Landscape for National Bank of Egypt Including Company
Overview, Products and Services, Number of Employees, Number of Branches and
Other Parameters
Table 11-5: Competitive Landscape for Arab Bank including Company Overview,
Products and Services, Number of Employees, Number of Branches and Other
Parameters
Table 11-6: Competitive Landscape for Bank Audi including Company Overview,
Products and Services, Number of Employees, Number of Branches and Other
Parameters
Table 12-1: Strategic Analysis for Banks and Dealerships in the Future
Table 12-2: Future Outlook for Egypt Car Finance Market on the Basis of Credit
Disbursed for New Car Finance, 2017-2021
Table 13-1: Analyst Recommendations for Egypt Car Finance Market
Table 14-1: Rationale for New Car Sales in Egypt, 2011-2021
Table 14-2: Rationale for Consumer Expenditure in Egypt, 2011-2021
Table 14-3: Rationale for Urban Population in Egypt, 2011-2021

Licensed product of Ken Research; should not be copied


July 2017 Egypt Car Finance Market Outlook to 2021

Executive Summary

Car Finance Market Outlook to 2021 -Ken Research

Ken Research Latest Report on Egypt Car Finance Market Outlook to 2021
Stringent to Introduce Innovative Measures to Determine the Credit Worthiness
which provides an extensive analysis of car finance market in Egypt. The report
covers market size on the basis of credit disbursed, number of cars financed and new
and used car penetration, segmentation on the basis of new and used car finance,
tenure of loan for new car and used car and number of new cars financed in each
region. The report also includes the rules and regulations implied by the government
on the banks in lending a car loan, competitive landscape and company profiles for
major players in the car finance market. The report provides detailed overview on
the general features of car loan in the country and future outlook & projections with
future strategies of the players in the market.
The report facilitate the readers with the in-depth analysis of the existing and future
trends and issues that impacts the industry and has anticipated growth in the future
depending upon changing industry dynamics in coming years. The report is useful
for prospective borrowers, car dealers, banks, non-bank financing companies and
other stakeholders to plan their market centric strategies in accordance with the
ongoing and expected trends in the future.

Industry Overview
The market has displayed a steady growth trend until 2015 during the review
period, 2011-2016 at a CAGR of ~%. In 2016, there had been a fall in the credit
disbursed for passenger and commercial cars as a result of the falling demand for
cars in the country. The growth exhibited by the market during the initial five years
of the review period was supported by factors such as increasing demand for new
and used cars, larger supply of used cars, increased demand for commercial cars and
other related factors. Fall in the credit disbursement observed during 2016 was
resulted out of the increased new car prices, reduced supply of used cars, rising fuel
prices, tightened CBE regulations and other such factors.

Egypt Car Finance Market Segmentation


Egypt car finance market is segmented by new and used car finance, by tenure of
loan for new and used car, by finance source and by region.
On the basis of credit disbursed the new car dominates the market with a share of
~% in 2016 followed by used cars.

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July 2017 Egypt Car Finance Market Outlook to 2021

For new cars, the tenure of five years dominates the car finance market with a share
of ~% on the basis of number of new cars financed in 2016. It is followed by three
years, two years, one year and other tenures.
For used cars, the tenure of three year accounted for the highest share in the market
during 2016 on the basis of number of used cars financed, which was ~%. Banks
dominate over the private financing sector in the market with a share of ~% in terms
of credit disbursed.
Cairo holds the highest share among all other regions of Egypt in terms of number of
new cars financed. It held a share of ~% during 2016. Alexandria holds the second
position in the market followed by Giza, Luxor and others.
Competitive Landscape
Non-bank financial companies are still underdeveloped in the country, hence the
major source of private finance in Egypt is dealership financing. The banks held a
share of ~% in the market in terms of credit disbursed for car finance followed by
private finance with a share of ~% during 2016. There are nearly 41 banks spread
across Egypt. All these players are competing against each others on the basis of
interest rates, loan tenure, minimum salary requirement, down payment and other
related parameters. The major players in the market are Bank of Alexandria, Banque
Misr, National Bank of Egypt, Bank Audi and others. Dealership financing is of great
importance within the country due to the accessibility and faster loan processing
system of the dealers. The lack of banking penetration is also a factor that raises the
demand for financing through dealers.

Future Potential of Egypt Car Finance Market


During the forecast period 2017-2021, the Egypt car finance market is expected to
recover slowly from the fall it has experienced towards the end of the review period,
2011-2016. It is anticipated that the car finance market in the country will grow at a
CAGR of ~% during the forecast period 2016-2021. The recovery is presumed to be at
a slow pace due to various factors such as tightened CBE regulations, rising prices in
new car prices, shortage in the supply of used cars, introduction of VAT and such
other factors. However, a growth is expected to be observed in the market owing to
the government initiatives taken to stabilize the economy, increased demand for
used cars, increased offerings from the banks and dealers and other factors.

Licensed product of Ken Research; should not be copied


July 2017 Egypt Car Finance Market Outlook to 2021

Key Topics Covered in the Report:

Egypt Car Finance Market Overview and Genesis


Value Chain Analysis of Egypt Car Finance Market
Egypt Car Finance Market Size
Egypt Car Finance Market Segmentation
Government Regulations on Egypt Car Finance Market
Auto & Car Loans in Egypt
New Car Sales in Egypt
Used Car Sales in Egypt
Cairo Auto Loan Market
Applying Car Loan in Egypt
Car Loan Brand New Market
Financing Schemes Car Loans Egypt
Auto Loans Terms and Conditions in Egypt
Interest Rate Car Loan in Egypt
Top Egypt Car Loans Banks
Cairo Average Loan Rate
Finance the Car in Egypt Process
Car Financing Option in Egypt
Auto Finance Opportunities in Egypt
Compare Auto Loans in Egypt
Vehicle Financing in Egypt
Used Car Sales in the Egypt
Passenger and Commercial Vehicles Sales in Egypt
For further reading click on the link below:

https://www.kenresearch.com/banking-financial-services-and-insurance/loans-
and-advances/egypt-car-finance-market/124560-93.html

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Ankur Gupta, Head Marketing & Communications

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July 2017 Egypt Car Finance Market Outlook to 2021

Ankur@kenresearch.com
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