Dubai PR Network, Online Press Release from Dubai and Middle East
 
Banking & Insurance(Banking & Investments)
Filter PR by
  
Arab Bank Group Reports Nine Months 2020 Net Profit of $215.2 Million
 

United Arab Emirates, 26 October 2020:  Arab Bank Group reported net income after tax of $ 215.2 million for the nine months of 2020 as compared to $668.9 million for the prior period, recording a drop of 68%.  
 
The fall in the profits is attributable to the build up of higher provisions, driven by current and forecasted economic conditions, and reflects the deterioration in the macro-economic environment in the region and globally, and to lower revenues from interest and fee income because of the impact of the Covid-19 outbreak and lower market interest rates and weakening oil prices.     
 
Group net operating income is at $ 808 million, recording a drop of 22% from prior period as a result of a decrease in net interest and commission income, in addition to a drop in the profits of the bank’s associates in the Gulf.  Customer deposits grew by 8% to reach $ 37.5 billion as compared to $ 34.7 billion, while loans grew by 2% to reach $26.7 billion as compared $ 26.1 billion. The Group maintained its strong and robust capital base with equity of $9.3 billion and with a capital adequacy ratio of 16.7% calculated in accordance with Basel III regulations. The Group enjoys high liquidity with a loan-to-deposit ratio of 71.1%, while credit provisions held against non-performing loans continue to exceed 100%. 
 
Mr. Sabih Masri, Chairman of the Board of Directors remarked that the pandemic has had, and continues to have, a significant impact on businesses around the world. 
 
Mr. Sabbagh, Chief Executive Officer, stated that the global and regional banking sectors will continue to face challenges because of the economic contraction, the higher cost of risk, and lower interest rates. He added that growth in the GCC countries has also declined sharply due to the plunge in oil prices.  
 
Mr. Sabbagh highlighted that the increased provisions booked across the Group are in accordance with the guidelines of International Financial Reporting Standard # 9, and as per the bank’s internal expected credit loss model, and include general provisions built due to the current economic situation in Lebanon.  
 
Mr. Masri concluded by stating that the pandemic has negatively affected the performance of banks throughout the region and globally and affirmed that Arab Bank Group will continue to maintain its strong and resilient financial position. 

 


Posted by : Dubai PR Network Editorial Team
Viewed 7820 times
PR Category : Banking & Investments
Posted on : Tuesday, October 27, 2020  10:04:00 AM UAE local time (GMT+4)
Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of DubaiPRNetwork.com.
Previous Story : AED 1,000,000 in cash and more prizes with Al Ansari Exchang...
Next Story : Tightening Supply Keeps Grain Sector Supported
Email this article Print this article

Share this article with your friends and followers
NewsVine
Back to Section Home

Related Stories



 
 
Most Viewed Press Release posted in the last 7 days
RISE Worldwide Wins Multi-Faceted Mandate for Abu Dhabi T10 [26982-Views]
GEMS World Academy – Abu Dhabi set to move to brand-new campus on Al Reem Island in Septem... [21837-Views]
FINA World Swimming Championships [21115-Views]
Samsung Announces Official Galaxy Z Series Availability Across the UAE [16990-Views]
UAE Ministers Announce the First Set of “Projects of the 50” [6129-Views]
Kristina Fidelskaya — Fall Blues, Sixties Floral Print, & Retro-Inspired Ruffles [5744-Views]
Eureka Forbes Coronaguard Achieves 94.9% Reduction in Covid-19 Virus [4936-Views]
Timeless with Mouawad [4662-Views]
Corniche Hospital Helps Women Suffering From Chronic Conditions Resume Normal Lives [4510-Views]
Secretary General of the Environment Agency – Abu Dhabi Highlights the Importance of Colle... [4326-Views]
Dubai Municipality wins Asia Pacific award for Best Project Management Office [4293-Views]
Modest Forecast for the GCC Food Sector, as Pandemic Strengthens Focus on Local Production [4198-Views]
Etihad Airways Fly the UAE Paralympic Champions Home [4079-Views]
LG Announces Global Startup Competition to Recruit New Businesses for Innovation Center [4075-Views]
TCL Launches C825 TV with Premium 4K Mini LED Performance [4067-Views]
GEMS Education Teacher Wins Brand New BMW X2 after Signing Up for an Emirates NBD Bank Acc... [4014-Views]
Max Factor X Priyanka Chopra Jonas: Matte Confidence Look [3965-Views]
Aerospace Leaders to Outline Future Roadmap of Industry at Dubai Airshow 2021 Conferences [3842-Views]
Curly Hair Girls Rejoice! Cult Haircare Brand SASHAPURE Launches in the Middle East [3792-Views]
GEMS schools win prestigious awards for Educational Excellence [3690-Views]
2022 Renault Koleos– The Contemporary SUV Reimagined [3555-Views]
New World 12s Rugby Tournament Launches, Aiming to Bring 250 Million Pounds Into the Glob... [3419-Views]
How Samsung's Wind-Free™ AC Keeps Your Home Comfortable, Cool & Healthy [3378-Views]
Sharjah's SCFA, Saudi Arabia's FAC Discuss Boosting Cooperation for Best Representation of... [3108-Views]
Hyundai Motor Group Presents Its Vision to Popularize Hydrogen by 2040 at Hydrogen Wave Fo... [3100-Views]
 
RSS Facebook Twitter LinkedDin DubaiPRNetwork.com on Instagram
 
Top Sections
 
Top Stories