Blom Bank

In 1951, as Beirut was entering a golden era for its banking sector, a group of founders including Hussein Al-Oueini, Georges Maalouf, Najib Yafet, and Boutros El-Khoury established Banque du Liban et D'Outre Mer, which would later become known as BLOM Bank. The bank's initial purpose was to serve the needs of the Lebanese diaspora. An early strategic move was the appointment of Naaman Azhari as general manager in 1962, who would go on to lead the bank as chairman for decades, eventually passing the role to his son, Saad Azhari. The bank grew steadily, expanding its branch network and diversifying its services into commercial, corporate, and private banking. A key playbook move was international expansion to serve the Lebanese diaspora, especially during the country's civil war. A significant acquisition occurred in 2017 when BLOM Bank purchased HSBC's Lebanese subsidiary, absorbing its assets and client base to expand its own retail and corporate activities. However, the story took a dramatic turn with the onset of Lebanon's financial crisis in 2019. The crisis, rooted in decades of unsustainable government policy and a collapsing currency, created a systemic failure across the entire banking sector. Like other Lebanese banks, BLOM faced immense pressure, leading to depositors being locked out of their savings. To navigate this turmoil and comply with central bank requirements to increase capital, BLOM Bank made a pivotal decision. In 2021, the bank sold its Egyptian subsidiary to Bahrain's Arab Banking Corporation (ABC) for approximately $425 million, a move designed to strengthen its financial position amidst the severe economic downturn.