Al-Anbat – The net profits of Capital Bank for the past year after the tax amounted to 28.8 million dinars, a decrease of 5 percent, according to what the Chairman of the Board of Directors of the bank Basem Al-Salem announced.
Al-Salem said, during the bank’s general assembly meeting today, Sunday, by means of video and electronic communication, that Capital Bank was able to absorb the impact of the rise in non-operating debt and the allocations allocated to it in the income statement, as its profits before tax remained stable without any significant change, compared to 2018 Registered 37 million dinars.
During the meeting, the bank’s final financial statements for 2019 were approved, and the Arab Potash Company was named as an independent member of the bank’s board of directors.
Al-Salem appreciated the measures taken by the Central Bank of Jordan to reduce the negative repercussions of the Corona virus crisis on the national economy, and all Jordanian banks joined forces to support these measures and support the affected economic sectors and mitigate the slowdown in the expected growth, pointing out that Capital Bank is one of the first banks to support and participate In the initiative of the National Loan Guarantee Program aimed at enabling professionals, craftsmen and owners of individual institutions and small and medium-sized companies to obtain financing on favorable terms and costs.
He pointed out that despite the pressing economic conditions in Jordan and the unstable political conditions in Iraq, Capital Bank continued its successful path during the past year, achieving significant growth in net operating income by 29 percent to reach 46 million dinars, compared to 35.7 million dinars in 2018.
He added that this growth was in line with the bank’s directions aimed at maximizing revenue from sources of income other than interest, in order to enhance the return on shareholders ’rights and reduce pressure on capital adequacy and achieve the highest levels of efficiency in the exploitation of available financial resources, and to mitigate From the sensitivity of the Corporation’s profits to the continuous fluctuations in interest rates, and thus achieving a degree of stability at the level of profits, accordingly, the bank’s non-interest income during 2019 grew by 38 percent to reach 39 million dinars, compared to 28 million dinars for the year 2018.
The non-performing debt ratio of the facilities portfolio decreased after excluding the suspended interest, to reach 25.25 percent at the end of 2019 compared to 8,61 percent for the year 2018, which indicates an improvement in the quality and quality of the credit portfolio of the Capital Bank Group.
The bank also managed to enhance the capital adequacy ratio to reach 18.41 percent at the end of 2019 compared to 16.25 percent in 2018, and with regard to property rights, it has grown to 347 million dinars at the end of 2019 compared to 337 million dinars for the year 2018.
On his part, Daoud Al Ghoul, Chief Executive Officer of Capital Bank, said that Capital Bank, despite the economic challenges and difficult circumstances, was able during the year 2019 to record distinguished financial results, indicating that it was possible, due to the large increase in net operating income, to absorb the impact of the high provision for doubtful debts At the same level of profits before tax without any change compared to last year.
Al-Ghoul pointed out that the bank succeeded in dealing with the current crisis professionally and was able to continue to serve customers without any interruption, whether in Jordan or Iraq and in all sectors of the bank through electronic services and a customer service call center, and the appropriate technical conditions were created for employees to work on Dimension, with the highest possible degree of efficiency, and in accordance with the best internationally recognized risk management standards.