Two of UAE’s biggest banks beat estimates as economy boosts earnings
The two biggest banks in the United Arab Emirates posted a jump in annual profit, topping estimates, after the country’s strong economic growth helped to drive an increase in margins and net interest income.
Profit at First Abu Dhabi Bank PJSC rose 7 percent to 13.4 billion dirhams ($3.6 billion) after the lender’s “core businesses sustained positive momentum, resulting in double-digit growth in loans and deposits,” it said in a statement. Income rose 10 percent, boosted by a 23 percent growth in net interest income and gain on the sale of majority stake in payments business Magnati.
For the latest headlines, follow our Google News channel online or via the app.
“Underlying operating performance across our core businesses was sustained during the fourth quarter despite a more challenging global macroeconomic outlook,” FAB Chief Executive Officer Hana Al Rostamani said in the statement. “This has provided us headroom to further build provision buffers, take a conservative stance on asset valuations.”
Meanwhile, profit at Emirates NBD PJSC surged 40 percent to Dh13 billion, while impairment charges fell 12 percent to Dh.5.2 billion dirhams. Dubai’s biggest bank “maintained strong income growth momentum, kept a firm control of costs, and benefited from writebacks and recoveries, reflecting a healthy regional economy,”
CEO Shayne Nelson said in a statement.
The UAE economy has been booming after the government’s handling of the coronavirus pandemic. The country also benefited from a surge in oil prices in the first half of 2022 and has become an attractive place for investors looking for a place to park their wealth.
The UAE looks “very immune if a recession in the world economy materializes this year,” Thani Al-Zeyoudi, the country’s minister of state for foreign trade, told Bloomberg TV in Davos last week.
Dubai crypto investors cautiously optimistic as confidence recovers from FTX fiasco
Abu Dhabi’s largest bank FAB hires ABN Amro’s Lars Kramer as CFO
UAE’S Masdar to issue green finance framework within weeks: CEO
Abu Dhabi’s largest bank FAB hires ABN Amro’s Lars Kramer as CFOFirst Abu Dhabi Bank PJSC hired Lars Kramer from ABN Amro Bank NV as its chief financial officer, replacing James Burdett who is retiring after eight ... Banking & Finance
UAE conglomerate IHC considering bid for stake in Adani EnterpriseUAE conglomerate International Holding Company is considering bidding for Indian billionaire Gautam Adani-led Adani Enterprises’ $2.45 billion (200 ... Economy
UAE’s deal-hungry IHC plans health and IT business IPOsInternational Holding Company plans to sell 20 percent of its technology unit in an initial public offering next year, its CEO told Reuters, adding ... Financial Markets
UAE as a springboard for action for two priorities: Electrification, decarbonizationIn 2023, the United Arab Emirates is taking center stage in the global efforts to address climate change and sustainability. The Abu Dhabi ... Features
UAE President declares 2023 the 'Year of Sustainability' ahead of COP28The United Arab Emirates’ President Sheikh Mohamed bin Zayed has declared 2023 the “Year of Sustainability” ahead of the country’s staging of the ... Gulf
UAE explores non-oil trade in rupees, sees major role for cryptoThe UAE and India are discussing ways to boost non-oil commerce in rupees as the Gulf country looks to strengthen ties with its second-largest trade ... Gulf
UAE’S Masdar to issue green finance framework within weeks: CEOUnited Arab Emirates renewable energy company Masdar will publish its first green finance framework within weeks, enabling it to issue its first green ... Gulf