Sabih Masri, Chairman of the Board of Directors, said that he was pleased with these good results against the backdrop of a challenging political and economic environment, noting that this comes as a result of the Bank’s prudent risk management policies and practices.
Masri said that the Board of Directors would recommend to the General Assembly to distribute dividends of 30% for 2012 as compared to 25% in 2011 and 20% in 2010.
Nemeh Sabbagh, Arab Bank’s Chief Executive Officer, added that the Bank has continued its prudent policies with regards to its asset quality, and has in that respect, fully provided for the exposures of Saad and AlGosaibi, and has increased the provisioning coverage on all non performing loans to reach in excess of 100%, excluding the value of collaterals held.
Sabbagh highlighted that the Bank’s net operating income during the year grew by 8% as a result of a healthy increase net interest income and maintaining expenses under control. He also stressed the importance of maintaining high levels of liquidity which has been and continues to be a strong hallmark of the Bank as well as maintaining a strong capital base. The bank’s capital adequacy ratio as the end of the year stood at a healthy 15.09%
Sabih Masri expressed his gratitude to customers, shareholders and bank employees, and stressed his confidence in the continued growth of the bank on solid foundations.
The Bank’s results are subject to Central Bank of Jordan final approval.