Amman, Jordan: In accordance with the Procedures for Organizing Meetings of General Assemblies of Public Shareholding Companies issued by the Minister of Industry and Trade on 9/04/2020, the provisions of the Defense Law No. (13) for 1992 and Defense Order No. (5) for 2020, the General Assembly of Bank ABC Jordan (Arab Banking Corporation - Jordan) held its ordinary annual meeting for 2023 on Thursday 13th of April 2023 virtually.
The meeting was chaired by the Chairman of the Board of Directors, Mr. Sael Fayez Al Waary, and was attended by members of the Board of Directors, the General Manager of the Bank, Mr. George Farah Sofia, the Companies Controller, H.E. Dr. Wael Al Armouti, the auditors Deloitte and Touche, a representative of the Central Bank of Jordan and shareholders holding (89.7114%) of the Bank’s capital.
During the meeting, items of the general assembly meeting’s agenda were approved, including the Board of Directors’ annual report for the fiscal year 2022, Bank’s business plan for 2023, auditors’ report for the fiscal year 2022, statement of financial position and statement of profit or loss as on 31/12/2022, in addition to the distribution of 4% of the Bank’s subscribed capital as cash dividends to the shareholders. The general assembly also approved the appointment of Deloitte and Touche as the Bank’s auditors for the fiscal year 2023 and the discharge of the Board of Directors from liability for its activities in 2022.
On this occasion, the Chairman of the Bank’s Board of Directors, Mr. Sael Fayez Al Waary, pointed out that despite the challenges faced by the Jordanian economy, the repercussions of COVID-19 and increasing geopolitical tension in the region, the Bank managed to achieve good financial performance in 2022, while creating the necessary reserves and provisions to enhance its solidity. The Bank also maintained its solid financial position, positive results and sustainable operations, by continuing to provide exceptional banking services and products through multiple digital and conventional channels. These results would not have been possible without the ambitious vision of the Board of Directors and its continuous support of the decisions of the executive management and efforts of the Bank’s employees.
Furthermore, Mr. Al Waary pointed out that the Bank preserved its solid capital base; as capital adequacy ratio reached 17.46% and financial leverage ratio reached 9.7%, which exceed the ratios required by the Central Bank of Jordan. Moreover, the Bank’s assets in 2022 grew by 9.8% to JD1.35 billion, net credit facilities portfolio grew by 10.5% to JD766 million, compared to JD693 million in the previous year. Customer deposits at the end of 2022 increased by 16.5% to JD842 million, compared to JD723 million in the previous year and shareholders’ equity reached JD164 million, compared to JD168 million in 2021. Total income in 2022 reached JD43.1 million, compared to JD45 million in 2021 and interest and banking commissions reached JD39.4 million, compared to JD40.5 million in 2021. Accordingly, net profit after tax reached JD6.7 million, compared to JD9.6 million in the previous year, while the return on equity reached 4.02% and return on assets reached 0.52%.
Mr. Al Waary stated that the Bank is moving steadily towards achieving its vision of being the leading digital bank in Jordan; as it launched the “ila” banking application in September 2022, after achieving impressive results in Bahrain since its launch in 2019. The Jordanian market was chosen as the first destination for implementing the “ila” regional expansion plan due to its huge capabilities, an advanced regulatory environment and a strong infrastructure that is ready for and supportive of “Cloud” banking solutions. The “ila” application provides its customers with a seamless personal banking experience that is available for use round the clock via their smart phones in line with their changing needs and daily lifestyle. ila will enable the Bank to expand its reach to population groups that face challenges in benefiting from banking services, in a way that contributes to advancing growth and sustainable development in the Kingdom, and in line with the vision and instructions of the Central Bank of Jordan to reach financial inclusion.
Dedicated customer service centers for “ila” customers were opened in the Bank’s Abdali Office and Main Branch.
For his part, the Bank’s General Manager, Mr. George Farah Sofia, stressed that these results confirm that the Bank’s was able to maintain its solid and strong financial position, while containing the regional and global challenges in 2022, where the financial results reflected a growth in the assets, particularly the credit facilities portfolio and customer deposits, while the Bank continued to build and enhance the current provisions align with new developments in order to reach appropriate and comfortable coverage ratios. In this context, the Bank is still achieving a capital adequacy ratio (CAR) and liquidity ratios that are higher than the stipulated regulatory and Bank’s risk appetite limits. The Bank also continued to implement the digital transformation plan in order to achieve strong and sustainable financial performance.
Additionally, Mr. George Sofia also pointed out that 2022 was a remarkable year for the Bank in terms of developing its smart banking services, as the technology adopted by the Bank enables it to provide its customers with integrated, personal and customized services that meet their changing needs.
Mr. George Sofia added that, driven by its commitment to invest in the Jordanian market and strengthen its presence in it, Bank ABC Jordan opened its new head office and main branch building, which is an architectural monument for future generations. In addition, Al Abdali office was opened to provide services to Bank ABC and “ila” customers. The office is equipped with the best cutting-edge innovative digital service and state-of-the-art technology and digital, touch-operated devices that ensure customers experience a comprehensive set of banking services of the highest standards. Mr. Sofia also pointed out that in 2023 the Bank will reopen the old head office building which is currently being renovated and completely restructured in line with the new head office building.
It is worth mentioning that Bank ABC in Jordan is a member of Bank ABC Group, MENA’s leading international bank, with Head Offices in the Kingdom of Bahrain and a solid global across five continents. It offers its clients an innovative financial products and services including wholesale banking, trade finance, project & structured finance, syndications, treasury and Islamic banking products. The Bank also provides retail-banking services through its network of banks in Jordan, Egypt, Tunisia and Algeria, in addition to “ila” digital bank in Bahrain and Jordan.
Mr. Sael Al Waary
Chairman of Bank ABC in Jordan
Mr. George Farah Sofia
CEO of Bank ABC in Jordan