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 7174 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
Olay Skin Experts Debut New Body Wash in the UAE! [8061-Views]
Double Success for Rado at the iF Design Awards 2021 [7347-Views]
Maintain Summer-Long Gorgeous Hair with these Essential Treatments from Sukin [6039-Views]
Celebrate Eid in 'Swiss Style' with Oris Divers Sixty-Five ‘Cotton Candy' [5428-Views]
Love Your Skin [4945-Views]
Two Exquisite New Additions to the LOOTAH Perfumes Range: Silky Oud & Timeless Oud [4879-Views]
King C. Gillette is here to Revolutionize the Male Grooming Experience [4723-Views]
My First GROHE: Keep it Simple with GROHE Baulines for the Kitchen [4485-Views]
Ojar Launches Its Eau De Parfum Sillage Boosters [4473-Views]
Ogilvy PR Names Matt Buchanan as Global Head of Consumer PR [4235-Views]
Mouawad Pays Tribute to Natural Wonders [4116-Views]
Arab-Brazilian Chamber of Commerce to enter partnership with São Paulo Football Club [3612-Views]
The Famous Taste of ALBAIK is Coming to Dubai with the Launch of the First Branch in UAE [3567-Views]
Ras Al Khaimah Ruler Addresses Class of 2021 at RAK Academy Graduation Ceremony in Inspiri... [3112-Views]
Dubai Customs' Jebel Ali Center Completes 952k Transactions in 1st Four Months of 2021, Gr... [3005-Views]
Denny's Milkshakes Bring All the Boys and Girls to the Yard This June [2964-Views]
INFINITI Presents: Conquer Life in Style with All-New QX60 Starring Kate Hudson on June 23 [2710-Views]
Thought Series – the Good Life [2690-Views]
Student Entrepreneurship Firmly on the Agenda as GEMS World Academy Hosts High-Profile Pan... [2661-Views]
SEHA Announces Extended Operating Hours for the COVID-19 Prime Assessment Centers [2550-Views]
Gartner Says Worldwide Smartphone Sales Grew 26% in First Quarter of 2021 [2505-Views]
Amplify Summer Sound With LG's Xboom Go Speakers [2464-Views]
Increase in Cardiovascular Disease Among Premenopausal Women in the UAE [2464-Views]
Dubai Municipality Conducts Virtual Food Safety Forum [2452-Views]
SEHA Prioritizes Women's Health With Revamped State-of-the-art Clinics [2440-Views]
 
RSS Facebook Twitter LinkedDin
 
Top Sections
 
Top Stories