Tough market conditions hit institution
National Bank of Abu Dhabi (NBAD) has recorded a profit of AED3.02bn ($822m) in 2009, barely up on the AED3.019bn it made in 2008.
Overall profits remained flat as a result of tough market conditions and provisions of AED1.6bn made for bad losses, according to the banks. However, net profits in the fourth quarter were AED429m, 13 per cent lower than the AED492m earned in the same period in 2009.
“Despite difficult market conditions and flat net earnings in 2009, NBAD invested in its franchise and network, provided adequately for specific impaired loans, hired new talent and improved its IT,” said Michael Tomalin, chief executive officer of the bank.
“Although we expect 2010 to be another difficult year for banking, NBAD is well positioned to invest and grow organically.”
Customer deposits rose from AED103bn at the end of 2008 to AED121bn at the end of 2009, a growth of 17.5 per cent, while customer loans increased by 17.9 per cent year-on-year from AED112bn to AED132bn.
Total assets at the end of 2009 reached AED197bn, 19.6 per cent higher than at the end of 2008.
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