JORDAN KUWAIT BANK
In terms of growth and profitability, 2005 was a landmark year for Jordan Kuwait Bank (JKB). In an unprecedented performance, the bank produced 41.8% growth in net profits to $55.4m while assets rose by 59% to almost $2bn.
It strengthened its already impressive RoE, rising to 39.5% from 36.1% the previous year. The strong performance has continued into 2006 with an outstanding 64% growth in net income in the first six months.
JKB, which was formed in 1976 as the country’s fifth national commercial bank, is the highest-rated bank in Jordan (BBB+), according to Cyprus-based Capital Intelligence, and is the first bank in the country to have both insurance and brokerage subsidiaries. It operates a domestic network of 48 branches and offices distributed throughout Jordan, two branches in Palestine, an international banking unit (IBU) in Cyprus and a stake in Gulf Algeria Bank in Algeria.
By maintaining a hi-tech infrastructure, e-branches, widely spread ATMs and efficient e-banking products and services, the bank has been able to retain customer loyalty, which has led to lower operating costs and higher returns. JKB claims a very acceptable cost/income of 35.4% in 2005.
Chairman and CEO Abdel Karim Kabariti notes: “This award testifies to JKB’s tangible achievements and consistent growth pace. It also confirms the bank’s leading position in the Jordanian banking sector. We are delighted with the award and proudly present it to all our stakeholders with our deepest thanks and gratitude for their firm support, confidence and effective contribution to our success.”
