Jordan’s Arab Bank 2013 net profit up 43 percent
Arab Bank has seen a slowdown in profit growth in recent years
Jordan’s largest lender, Arab Bank Group, posted a 43 percent rise in 2013 net profit to $501.9 million on the back of higher revenues, with its chairman saying a conservative policy eased the impact of political upheaval across the region.
Chairman Sabih al-Masri said in a statement the bank, one of the Middle East’s major financial institutions, saw deposits increase by $1.5 billion to $34.4 billion against $32.9 billion at the end of 2012.
“This was in spite of the challenging environment in the region with the solid growth in operating income reflecting prudent and conservative policies the bank preserved and the strategy it pursued,” Masri said.
Arab Bank, which has a $45.6 billion balance sheet spread across 30 countries and five continents, has seen a slowdown in profit growth in recent years as it put aside provisions to cover non-performing loans by businesses reeling from the global downturn.
Bankers say the wave of political unrest across the region since 2011 would continue to affect the bank’s business in 2014, but a diversified portfolio would help reduce risks.