Arab Bank Group’s first-half profit reaches $503 million

Amman: Arab Bank Group achieved positive results during the first half of 2024, driven by sustained growth in core banking businesses in many of the regions in which the Group operates. Net profit after tax reached $503 million compared to $401 million as of June 30, 2023, achieving a growth of 25 percent, and the group maintained a strong financial position, with equity reaching $11.5 billion. The group's assets increased to $68.7 billion with a growth rate of 5 percent, and the total credit facilities portfolio increased by 6 percent, reaching $38.1 billion at the end of the first half of 2024 compared to $36.1 billion in the first half of the previous year, while customer deposits increased by 5 percent, reaching $50.5 billion at the end of the first half of 2024 compared to $48.3 billion in the first half of the previous year. Excluding the impact of the change in the exchange rates of several currencies against the US dollar, the facilities portfolio and customer deposits increased by 8 and 6 percent, respectively, at the end of the first half of 2024, compared to $48.3 billion in the first half of the previous year. Commenting on these results, Sabih Al Masri, the group's chairman, said: "Arab Bank Group's financial results for the first half of 2024 reflect the group's wide potential and successful policy in keeping pace with local, regional, and global economic changes based on diversification in banking, prudent management of liquidity and capital, and a prudent approach to risk management." Al Masri affirmed his confidence in the Arab Bank Group's ability to continue to achieve sustainable growth and enhance its financial and operational performance based on providing the best banking services, praising the Group's tireless efforts to enhance its leadership position in digital innovation and continuously improve the customer experience. For her part, Randa Al Sadiq, Executive General Manager of the Arab Bank, explained that the Arab Bank Group achieved a good operational performance, recording an i ncrease of 11 percent in various business sectors, which reflects the success of the Group's strategy and its balanced approach based on increasing its revenues and diversifying its sources, in addition to its focus on improving operational efficiency while continuing to implement the Bank's ambitious digital transformation strategy and expanding the introduction of innovative digital solutions across the Bank's various businesses. Al Sadiq added that the growth in operating profits is supported by a solid asset base and good liquidity levels, with a loan-to-deposit ratio of 75.4 percent, noting that the group is committed to enhancing the quality of its credit portfolio and maintaining strong coverage levels for non-performing debts, especially in light of the current volatility in the world, where the provision coverage ratio for non-performing debts exceeded 100 percent. Al Sadiq pointed out that the Group has strong potential to continue sustainable growth based on a strong capital base, as the capital adequacy ratio according to Basel III guidelines reached 17.5 percent, most of which is within core capital, which is higher than the minimum required by the Central Bank of Jordan. The Arab Bank was recently awarded the "Best Bank in the Middle East 2024" by the New York-based Global Finance magazine for the ninth consecutive year. Source: Jordan News Agency