Asharq Al-awsat English Middle-east and International News and Opinion from Asharq Al-awsat Newspaper

First Abu Dhabi Bank Plans to Expand Operations in Saudi Arabia, Egypt

First Abu Dhabi Bank Plans to Expand Operations in Saudi Arabia, Egypt

Friday, 28 January, 2022 - 10:15
It was a landmark year for FAB on the international front. (Asharq Al-Awsat Arabic)

The UAE’s largest bank, First Abu Dhabi Bank, revealed plans to expand in the domestic market as well as in Saudi Arabia and Egypt in the coming period.

The acquisition of “Bank Audi Egypt” will be completed during the third quarter of 2022, said FAB.

The First Abu Dhabi Bank announced Thursday it scooped a record annual net profit of $3.4 billion in 2021 (12.5 billion dirhams), up from 10.6 billion dirhams, which is a 19 percent increase over the previous year.

FAB’s board of directors recommended dividends per share of 70 fils equivalent, split into 49 fils in cash and 21 fils as scrip dividend in lieu of cash to enable future growth of the bank, it said.

"2021 has been a year of a strong economic rebound, with unprecedented opportunities for innovation and growth, despite continued uncertainties due to Covid-19," said Sheikh Tahnoon bin Zayed, chairman of First Abu Dhabi Bank.

"Against this backdrop, the UAE has once again demonstrated great vision and leadership, leading the way towards recovery, regionally and globally, on the back of its world-class vaccination program, monetary and fiscal stimulus measures including the UAE Central Bank Tess program, structural reforms and plans to drive long-term economic growth and prosperity,” said Sheikh Tahnoon.

Total assets exceeded a historic high of one trillion dirhams ($272 billion), FAB said.

"This performance reflects positive underlying trends across core businesses in a year of economic rebound and expansion," said Hana Al Rostamani, group chief executive of FAB.

"It was also a landmark year for FAB on the international front, as we continued to expand in our targeted markets, helped by the acquisition of Bank Audi Egypt."

Revenue from the bank's international operations grew 26 percent year on year, with the Middle East and North Africa contributing 52 percent last year compared with 39 percent in 2020, Rostamani added.

James Burdett, FAB Group Chief Financial Officer, said: "While we remain cautiously optimistic and cognisant of the uncertainties arising from the pandemic and potential market volatility, the rising interest rate outlook and the expected acceleration in economic activity across the region present significant opportunities for the bank," Burdett concluded.

Editor Picks