26 Oct, 2008

Shoman: "Record financial results, thanks to excellence in financial planning, banking operations management"

Arab Bank Group announced its financial results for the period ending on September 30, 2008, showing growth in all balance sheet items. Pre-tax and after provisions profits stood at $841 million, compared with $714.4 million for the same period last year, with an increase of $127.1 and growth rate of 18%.

Arab Bank Plc.'s profits, meanwhile, rose at the end of the third quarter this year by 15.3% (before taxes and after provisions) to amount by the end of September to JD367.3 million, compared with JD318.5 for the same period last year, with an increase of JD48.8 million.

Arab Bank Chairman/CEO Abdel Hamid Shoman said that the financial and operational indicators show continuous growth. He said that customers' deposits grew by 23% to reach by the end of the third quarter $27.878 billion, while total facilities rose by 19% to amount to $23.252 billion and total assets went up to $46.32 billion, with a growth rate of 21%.

Shoman underlined the bank's continuous efforts to apply a policy of investment diversification, along with a conservative banking and investment policy, which he described as constant for Arab Bank. He stressed that the bank would continue implementing its strategic plan, which has so far proved a huge success and yielded high returns on investments in funds.

He also underlined the bank's policy of maintaining high liquidity levels, which pose now as one of the highest in the world, and stood at 43% of the total balance sheet value by the end of September this year, while capital adequacy exceeded 17%, way above the requirements of the Central Bank of Jordan and Basel II.

He said Arab Bank is keen on protecting funds and their sources and increasing these funds through investing them in productive channels at all levels.

Shoman pointed out to the quality leap the bank has achieved in terms of branch network modernization, employing the world's state-of-the-art technologies and introducing advanced products that match the achievements Arab Bank has attained and reflect the bank's policy to always be in the lead wherever it operates.

He gave credit to the "broad family of Arab Bank's clients, whether individuals, businesses or financial institutions," adding that Arab Bank plans revolve around key pillars, foremost of which is capital growth, multiplication of profits, focus on quality of services and banking products, entrenching solidity, remain in the leading position and offering its experience to Middle Eastern and North African markets.

The Chairman noted that the situation of the banking industry grew more difficult in 2008 due to uncontrollable international factors. Despite these circumstances, he said, Arab Bank achieved record results due to its distinguished financial planning and its management of a group of factors, most important of which is banking operations management, excelling risk management, optimal utilization of technology and seizing the best investment opportunities. Above all, Shoman said, the bank maintains high ethics and a deep-rooted customer confidence.