Housing Bank to distribute 12% in cash dividends

AMMAN — The Housing Bank approved the distribution of cash dividends at a rate of 12 per cent of the share nominal value for the year 2020, according to a bank statement.

During a virtual general assembly meeting on Thursday, its general assembly also approved the board of directors report, the financial statements for the year 2020 and the bank’s business plan for 2021.

Deloitte was elected as an external auditor to audit the company’s accounts for 2021.

Housing Bank Chairman of the Board of Directors Abdel Elah Al-Khatib presided over the meeting, which was attended by shareholders holding 94.739 per cent shares of the bank’s capital. 

The meeting was also attended by the general comptroller of companies, representatives of the Central Bank of Jordan and the representative of the bank’s auditing firm Deloitte.

According to Al Khatib, 2020 was a year replete with exceptional challenges and circumstances at the economic, health and social levels as a result of the coronavirus pandemic. Nevertheless, the bank continued its effective and pivotal role in the community, providing JD3.1 million of financial assistance to health, educational and social institutions, as well as more than JD500,000 donated by Housing Bank employees in support of the Ministry of Health’s efforts to curb the effects of the pandemic. 

Al Khatib said that despite the difficulties, the Housing Bank achieved strong operational results and recorded sustainable growth in its operational profits and total income, which confirms the bank's ability to adapt and confront challenges with exceptional effectiveness and agility due to the diversity of its sources of income, its operational efficiency, as well as effective cost control procedures. All these factors led to the achievement of JD203.5 million in operational profits, an increase of 8.6 per cent compared to 2019, while the Group’s net profit after provisions and taxes amounted to JD42.5 million compared toJD83.7 million during 2019. This decrease in net profit was a result of booking additional loan loss provisions for the loan portfolio, reached to more than double of the amount booked in the previous year, in order to protect the bank and strengthen its financial position in light of the negative economic conditions resulting from the coronavirus pandemic, according to the bank statement.