Arab Bank Group reports net profits of $533 million

Manama : Arab Bank Group closed 2017 with solid results, reporting a growth in net operating income of 8 per cent as compared to prior year. 

Excluding the effect of foreign currency devaluations, net operating income achieved double-digit growth of 12pc. 

Net income after tax is at $533 million as compared to $532.7 million in 2016, whilst loans and advances grew by 6pc to reach USD 25.1 billion. 

The Board of Directors has recommended to the shareholders the distribution of 30pc cash dividends for the financial year 2017.

Sabih Masri, Chairman of the Board of Directors stated that the strong performance of Arab Bank Group confirms the success of the Group in dealing with the challenging and changing operating environment and reflects the Group’s prudent operating policies.

As of 31 December 2017, the Group’s loan-to-deposit ratio stood at 74pc, whilst the capital adequacy ratio calculated in accordance with Basel III regulations is at 15.3pc. 

Nemeh Sabbagh, Chief Executive Officer, stated that the asset quality of the Group remains to be high, with NPL ratio at 5.2pc, and credit provisions held against non-performing loans at 100pc, excluding the value of collaterals.

The 2017 financial statements are subject to the approval of the Central Bank of Jordan.