Dubai: Jordan’s biggest lender Arab Bank reported net income after tax of $544.3 million in 2022, compared to $314.5 million in 2021. “The Group’s performance was driven by robust growth in its core banking business across different markets, as net profit before provisions and tax increased by 23 per cent to reach $1.35 billion,” it said in a statement.
Excluding the impact of devaluation of currencies, loans and deposits grew by 5 per cent to reach $35.4 billion and $ 47.7 billion, respectively.
Following its results, Arab Bank management has proposed a 25 per cent cash dividends for the financial year 2022.
The bank’s net operating profit grew by 23 per cent driven by the growth in revenues from its core banking business, its diversified sources of income, with focus on non-interest income, as well as controlling operating expenses in line with the bank’s prudent strategy.
Randa Sadik, CEO, said that the Group’s liquidity and asset quality remains solid where loan-to-deposit ratio stood at 74.2 per cent and credit provisions held against non-performing loans continue to exceed 100 per cent. “Arab Bank Group maintains a strong capital base that is predominantly composed of common equity with a capital adequacy ratio of 16.6 per cent,” Sadik said in a statement.
Arab Bank was named “Best Bank in the Middle East 2022” for the seventh consecutive year by New York-based international publication “Global Finance”. The bank also received several awards in recognition of its corporate and consumer digital banking services in Jordan and across the MENA region.