Al Baraka Bank Sudan Doubles its Net Income by 135% to Reach SDG 142 million in 2016
22 March 2017
Al Baraka Bank Sudan, a subsidiary banking unit of Al Baraka Banking Group B.S.C. (ABG), announced a large increase in its net income in 2016, jumping by 135% compared to 2015 as a results of the Banks success in diversifying its income sources from commissions, fees and financing. Balance sheet items recorded marked increases, where total assets increased by 24%, financing and investments portfolio increased by 27%, deposits accounts grew by 5% and equity shareholders enhanced by 39% as at the end of December 2016 compared to the end of December 2015.
The Banks financial statements for 2016 shows that the total income achieved a big jump of 57% to reach SDG 332 million. After deducting operating expenses, which increased by 16%, net operating income increased by 120% to reach SDG 185 million in 2016 compared to the same period of 2015. After allocating for provisions and taxation, net income for the 2016 increased to SGD 142, more than doubling by 135% compared to 2015.
On the balance sheet side, total assets of Al Baraka Bank Sudan stood at SGD 2.8 billion as at the end of 2016, an increase of 24% compared to the end of 2015. Total financing and investments portfolio reached SGD 1.6 billion at the end of 2016, increasing by 27% compared to the end of 2015. Customer accounts reached SGD 1.7 billion at the end of 2016, up by 5% also during the same period. The Banks equity reached SGD 401 million at the end of 2016, increasing by 39% compared to the end of 2015.
On this occasion Mr. Adnan Ahmed Yousif, Chairman of Al Baraka Bank Sudan and President & Chief Executive of Al Baraka Banking Group said: We are pleased to see the Banks excellent performance and impressive results during 2016, where the Bank was able, by the grace of Allah Almighty and thanks to large efforts of the executive management and all employees of the Bank, to achieve these distinguished results despite all surrounding economic and financial conditions and investment climate in Sudan, which we hope will improve in coming period after lifting the American sanctions on Sudan.
Mr. Adnan added Al Baraka Bank Sudan, which was founded in 1984, has provided for more than 32-year period various advanced banking products and services to the Sudanese market for both individuals and companies, as well as its contribution to the support and financing of the Sudanese economys projects, in addition to its active role in serving the community through various initiatives and programs that embody the professionally and socially responsible banking model applied by Al Baraka Banking Group as a whole.
For his part, Mr. Abdullah Khairy Hamid, the General Manager of Al Baraka Bank Sudan said The Bank continued in 2016 to implement initiatives that will enhance its established and distinguished position in the Sudanese market, where the Bank continued to upgrade its core banking system to incorporate electronic payment applications as a response to State initiatives to move towards egovernment. It has introduced a new service to enable electronic payment by personal customers of university fees and by corporate clients of custom duties.
He added: â€œThree new branches were opened in 2016 to bring the total to 29 branches. Its ATM network was meanwhile expanded to 40. However, development plans are underway for several more branches. Supported by this expansion, the number of customers will continue to grow.
The bank is launching electronic payment gateway services that allow its customers to pay utility and education bills. Additionally, enhanced digital banking services are being developed.
Al Baraka Banking Group (B.S.C) is licensed as an Islamic wholesale bank by the Central Bank of Bahrain, listed on Bahrain Bourse and Nasdaq Dubai stock exchanges. It is a leading international Islamic banking group providing its unique services in countries with a population totaling around one billion. It is jointly rated BBB+ (long term) / A3 (short term) on the international scale and A+ (bh) (long term) / A2 (bh) (short term) on the national by Islamic International Rating Agency & Dagong Global Credit Rating Company Limited, and by Standard & Poor's at BB+ (long term) / B (short term).
Al Baraka offers retail, corporate, treasury and investment banking services, strictly in accordance with the principles of the Islamic Shari'a. The authorized capital of Al Baraka is US$ 1.5 billion, while total equity is at about US$ 2 billion. The Group has a wide geographical presence in the form of subsidiary banking units and representative offices in fifteen countries, which in turn provide their services through over 700 branches. Al Baraka currently has a strong presence in Turkey, Jordan, Egypt, Algeria, Tunisia, Sudan, Bahrain, Pakistan, South Africa, Lebanon, Syria, Iraq and Saudi Arabia, including two representative offices in Indonesia and Libya.