CFG Bank reported a net profit of 200 million dirhams (MDH) for the first six months of 2026, representing a 10% increase from the same period last year. This growth rate is lower than the 21% rise in pre-tax profit due to a higher corporate tax rate. The effective corporate tax rate increased to 37% in H1 2026 from 30% in H1 2025, mainly because the bank no longer had available tax losses to offset.
The bank's loan portfolio grew by 20% to 20.6 billion dirhams (MMDH) as of June 2026, with a net increase of 3.4 MMDH. This growth was primarily driven by the "Enterprise" segment. The bank's credit growth indicates a strong appetite for financing among its clients. CFG Bank's management attributed the growth in loans to increased demand from businesses.
CFG Bank's customer deposits rose by 17% over the past 12 months, reaching 22.1 MMDH as of June 2026. This represents a net collection of 3.2 MMDH. Non-remunerated deposits grew by 26% and accounted for more than 50% of total deposits. The bank's ability to attract deposits is crucial for its liquidity and funding.
The bank's consolidated net banking income (PNB) for the first half of 2026 was 634 MDH, up 6% from the same period last year. In the second quarter of 2026 alone, PNB reached 324 MDH, representing a 9% increase. The growth in PNB reflects the bank's efforts to expand its business and improve its financial performance.
The increase in corporate tax had a significant impact on CFG Bank's financial results. The bank's effective tax rate rose due to the exhaustion of tax losses that could be carried forward. This led to a higher tax expense, which limited the growth in net profit. The bank's management will likely focus on optimizing its tax strategy to mitigate this impact.
CFG Bank's results demonstrate its resilience in a challenging economic environment. The bank's growth in loans and deposits reflects its strong franchise and customer relationships. However, the increase in corporate tax poses a challenge to the bank's profitability. CFG Bank will need to balance its growth ambitions with the need to manage its tax exposure.
The Moroccan banking sector is subject to various challenges, including intense competition and regulatory requirements. CFG Bank's performance in the first half of 2026 demonstrates its ability to navigate these challenges. The bank's management will likely focus on maintaining its growth momentum while addressing the impact of the corporate tax hike on its financial results.
Key points
- CFG Bank's net profit grows 10% in H1 2026 despite corporate tax hike
- Loan portfolio grows 20% to 20.6 billion dirhams
- Corporate tax rate increases to 37% from 30% in H1 2025
