Housing Bank holds annual general assembly meeting

The Housing Bank’s administrative headquarters in Amman. (Photo: Housing Bank’s Instagram Page)
AMMAN — The Housing Bank’s general assembly on Thursday approved a distribution of cash dividends  shareholders at a rate of 12 percent of the share nominal value for the 2020, the bank said in a press statement.اضافة اعلان

At the same meeting, the general assembly approved the board of directors’ report, the financial statements for 2020, and the bank’s business plan for 2021, as well as electing Deloitte as an external auditor to audit the company’s accounts for 2021, the statement said.

In line with the provisions of Defense Order No. 5 of 2020 and the procedures issued by the Minister of Industry, Trade, and Supply on April 9, 2020, the Housing Bank held its 48th general assembly for shareholders via videoconference.

Housing Bank Chairman Abdel Elah Al-Khatib presided over the meeting, which was attended by shareholders holding 94.739 percent shares of the bank’s capital. The meeting was also attended by the general comptroller of companies, representatives of the Central Bank of Jordan (CBJ), and a Deloitte representative.

During the meeting, Al-Khatib expressed his appreciation for the Companies Control Department’s efforts to digitalize of many of its essential services and the role its general comptroller has played in facilitating business procedures.

The chairman said that 2020 was an exceptionally challenging year due to the coronavirus pandemic, but that the bank, nonetheless, continued to play its “effective and pivotal role”. Among its achievements, the Housing Bank provided JD3.1 million of financial assistance to health, educational, and social institutions and its employees donated more than JD500,000 to support the Ministry of Health’s efforts to combat the effects of the pandemic, the statement said, adding that the bank adopted measures called for by the CBJ to alleviate the financial impact of the pandemic on its clients.

Al-Khatib stated that the bank achieved recorded “sustainable growth in its operational profits and total income” despite last year’s difficulties, which he said confirms the Housing Bank’s ability to adapt to and overcome challenges. The bank achieved JD203.5 million in operational profits (8.6 percent higher than 2019) and JD42.5 million net profit (50.8 percent lower than 2019), the statement said. This decrease in net profit was attributed to booking additional loan loss provisions for the bank’s loan portfolio — a decision made to protect the bank from the negative economic conditions resulting from the pandemic, the statement said.

The bank maintains a strong capital base, with total equity amounting to approximately JD1.2 billion at the end of 2020 (compared to JD1.1 billion in 2019), while the capital adequacy ratio reached 17.4 percent and the liquidity ratio stood at 127 percent, both higher than the requirements of the CBJ and the Basel Committee. The bank’s total assets amounted to JD8.3 billion at the end of 2020, customer deposits amounted to JD5.5 billion, and credit facilities reached JD4.7 billion at the end of the year 2020 (a growth of 1.2 percent compared to the previous year), the statement said. The bank maintained sustainable growth in total income, totaling JD364.3 million (compared to JD361 million in 2019) despite the decrease in global interest rates and the temporary stoppage of fee and commission collection in the bank group’s main markets due to the pandemic.

The bank maintained its leading position in the Jordanian banking market, with a network of 118 branches and offices across the entire Kingdom, the statement said, adding that the bank maintains 215 ATMs nationwide.