By: Mahmoud Gamal
Dubai-Mubasher: The UAE banks’ profits grew by the end of 2015 amid the growing pressures of global economy, especially oil prices drop.
Five Dubai-listed banks, namely Emirates NBD, Dubai Islamic Bank, Mashreq Bank, Ajman Bank and Emirates Islamic Bank, grew 39% annually, while they achieved a 30% increase on a quarterly basis.
The banks’ net profits amounted to AED 3.86 billion ($1.05 billion) in the fourth quarter of 2015, compared to AED 2.77 billion ($0.76 billion) in the same quarter of 2014.
In addition, the banks’ net profits reached AED 14.16 billion in FY15, compared to AED 10.86 billion by in FY14.
The banks’ quarterly and annual profits exceeded expectations of 10% growth amid the banks’ liquidity which is adequate for the national economy
Emirates NBD managed to acquire 44% of the five banks’ total quarterly net profits and 50.3% of the annual profits.
Despite the global pressures due to lower oil prices, the UAE banks managed to achieve a significant growth in profits on the back of the local economic recovery, strong credit growth and low liquidity allocated to cover bad debt losses, said Al-Sharhan Centre General Manager Gamal Agag.
Agag added that the banks’ satisfactory dividends pushed long-term investors to hold most stocks, especially of the major banks which have vast operational plans in the coming period.
Translated by: Julian Nabil
