Chairman Hashim Shawa said: "These results reflect a continuous strategy for development in a sustainable way to serve our customers and their communities."
Bank of Palestine Group Realizes Profits of $20.6 million for the First Quarter of 2023 with an Increase by 17% and with Assets exceeding $6.5 Billion
Bank of Palestine Group realized a net profit growth of 17% during the first quarter of this year, amounting to $20.6 million after tax and expenses against $17.5 million for the same period of the previous year. The group's assets exceeded $6.563 billion for the first quarter of the current year, up from $6.487 billion at the end of 2022. Such results enable the bank to play its developmental role in favor of all strata of society.
The Bank of Palestine Group disclosed its consolidated financial results, provided to the Palestine Stock Exchange, showing a net income after provisions increased by 17% and reached $76.2 million in the first quarter of this year, compared to $64.9 million in the first quarter of last year.
According to the financial data disclosed by the Bank of Palestine Group, the bank's shareholders' equity increased to $ 593,571,165, achieving an increase of 8.7% in comparison to the $ 545,922,621 at the end of 2022. The paid-up capital reached $ 223,958,577.
Hashim Shawa, Chairman of the Board of Bank of Palestine, commented, "We are proud of the financial performance achieved by the group during the first quarter of 2023, with stable and natural growth rates realized through a strategy focused on two main areas: financial performance and societal impact. He explained that the group achieved its growth target through providing excellent banking services and products in modern ways, and its societal impact was reflected through developmental responsibilities such as supporting the World Food Programme during Ramadan by distributing smart food purchase cards to 5,000 underprivileged families in the West Bank and Gaza Strip.
Shawa also referred to the bank's commitment to a sustainable development strategy, starting with strengthening governance principles and processes, and enhancing women's participation in decision-making, which now accounts for 50% of the board of directors, making it a significant achievement for Palestine and globally. He added that, during the first quarter of 2023, the Bank issued its first Sustainability Report according to the Global GRI standards, which ensured transparency and disclosure of the bank results to the community.
In this context, Shawa said that, on one hand, the bank signed its first investment agreement with the Japan International Cooperation Agency JICA through an investment of $30 million in the additional tranche of the Bank of Palestine's capital base. This is the first ever by JICA in Palestine and worldwide, enhancing the bank's financial solvency to support and finance small and medium-sized enterprises in Palestine. The bank has also signed an agreement with Proparco, the investment arm of the French Development Agency AFD, for the renewal of support and funding towards small and medium enterprises through the ARIZ MENA portfolio of $9.2 million.
Mamdouh Shawa, General Manager of Bank of Palestine, stated in a press release that the financial results achieved in the first quarter of this year and the community partnerships in which the bank was advanced were but a direct result of the bank's strategy in complete harmony with its developmental role to serve all segments of society, including small and medium enterprises, women, and areas that needed economic development. He further added that the bank continued to provide its customers with the best financial and banking services while maintaining the leading position in the banking sector.
These efforts have translated into numbers, according to Mahmoud Shawa, who said that the figures reflect the confidence of the bank's clients in the services offered. The value of credit facilities increased by 2.37% from $3.57 billion to $3.66 billion. Customer deposits reached $5.38 billion compared to $5.27 billion.
Shawwa concluded by reiterating the pledge for further work and development at Bank of Palestine and gave thanks to all clients who had given their trust to the bank. He also praised the role of the Palestinian Monetary Authority and the regulatory bodies for their support to the financial and economic environment in Palestine, in addition to the board of directors, executive management, and all the staff of the group who worked under extraordinary circumstances and in light of the complicated political and economic situation in the country and worldwide.