JIB H1 profits rise 12pc

Jordan Islamic Bank (JIB), one of the banking units of Al Baraka Banking Group, reported a 12 per cent increase in its net profits before tax for the first half of 2019 to US$55.2 million from US$49.4m in the same period a year ago. Profits after tax amounted to US$34.6m compared to US$32.9m in the same period of 2018, a growth rate of 5pc.

The results, Dr Hussein Said CEO / General Manager of JIB said, confirm the sound implementation of the strategic plan adopted by the Bank’s management “based on diversification and targeting various sectors of individuals and companies while focusing on its main activities and taking advantage of the geographic reach of the Bank’s branching networks.” Musa Abdelaziz Shihadeh, Chairman of the Board of Directors pointed out that the bank has completed all approvals and formal procedures to raise the bank’s capital to 282.1m dollar/ share instead of 253.9m dollar/ share.

The increase was covered by capitalising 14.1m dollar from the balance of the retained earnings account and 14.1m dollar from the balance of the voluntary reserve account. The bank also distributed 15pc of the paid-up capital as cash dividends to shareholders for the year 2018. On his part, the President & Chief Executive of Al Baraka Banking Group Adnan Ahmed Yousif said, “The achievements of Jordan Islamic Bank highlights its obvious role in the consolidation of the Bank’s experience in the Islamic banking sector,  especially being the first and the largest Islamic bank in the Jordanian banking sector.”

The bank’s assets including (restricted investment accounts, Al Wakala bi Istithmar (investment portfolios)) amounted to about US$6.695 billion by the end of H1 2019 compared to about US$ 6.513bn by the end of 2018, with a growth of 2.8pc. Clients’ deposits including (restricted investment accounts, Al Wakala bi Istithmar (investment portfolios)) amounted to about US$ 5.955bn by the end of H1 2019 compared to about US$ 5.763bn by the end of 2018 with a growth of 3.3pc.

Facilities granted for customers including (restricted investment accounts, Al Wakala bi Istithmar (investment portfolios)) amounted to about US$ 5.144bn by the end of H1 2019 compared to about SU$ 5.008bn by the end of 2018, with a growth of 2.7pc. Capital Adequacy Ratio (CAR) amounted to about 22.32 pc. The Return on Average Equity (ROAE) reached about 12. 49pc. The Return on Average Assets (ROAA) reached about 1.17pc.