NBF held its Annual General Assembly Meeting (AGAM) today at Novotel Hotel, Fujairah, United Arab Emirates, where shareholders approved the distribution of profits of 13.5% of paid-up capital. This took the form of cash dividends of 10% (AED 185 million) and bonus shares of 3.5% (AED 64.8 million) of paid-up capital.
The bank’s shareholders also approved the Chairman’s and Directors’ Reports, and the Internal Shari’a Supervisory Committee report for NBF Islamic, the Islamic banking window of NBF. In addition, the bank’s Corporate Governance Report and the consolidated financial statements for the year ended 31 December 2019 were discussed and approved. The shareholders confirmed the appointment and remuneration of the bank’s new external auditors, Ernst and Young, and Internal Shari’a Committee members for NBF Islamic for 2020. The Board of Directors’ remuneration proposal of 0.9% of the net profit, after deducting all depreciation and reserves, for its members was also approved.
Also the shareholders considered and approved the suspension of deduction for the statuary reserve which amounted to 50% of the Bank’s share capital.
Through a special resolution, the shareholders considered and approved the amending of the Bank’s articles of Association to allow for the electronic voting and invitations mechanism.
His Highness Sheikh Saleh Bin Mohamed Bin Hamad Al Sharqi, Chairman said:
“The Board is pleased with the resilient performance, robust liquidity, solid capital adequacy and healthy returns achieved in 2019 in the face of a difficult operating environment. Amidst the outbreak of COVID 19, NBF is taking appropriate measures to protect its business and stakeholders whilst it plays its part in supporting the wider economy during this time. Our core business, balance sheet strength and agile operating platform secure the foundation for our future progress and position NBF well to deal with the rapidly changing economic and regulatory environment. In 2019, operating income experienced growth of 8.5 percent at AED1.7 billion, driven by a high level of resilience in the bank’s core business, with good volume growth, enhanced balance sheet management and effective pricing strategies. On behalf of the Board, I am pleased to recommend an increase in cash dividends from 7.5% to 10.0% and bonus shares of 3.5% of paid-up capital.
I place on record the Board’s appreciation and acknowledge the significant contributions of His Excellency Sir Easa Saleh Al Gurg, KCVO, CBE, Deputy Chairman for more than three decades in developing NBF into a leading financial institution in the UAE. Finally, I would like to thank our customers, shareholders and investors for their staunch support and our dedicated staff for their tremendous efforts in building the Group.
His Excellency Sir Easa Saleh Al Gurg, KCVO, CBE, Deputy Chairman commented:
“Our 2019 results underscore the Group’s ability to deliver real value to our customers and to support them as a consistent, reliable and transparent partner. Our balance sheet remains solid with healthy capital and liquidity ratios, and we are confident that our prudent business model shall continue to deliver a solid performance through the careful management of the opportunities and challenges that will present themselves during 2020.”
About National Bank of Fujairah PJSC:
Incorporated in 1982, National Bank of Fujairah PJSC (NBF) is a full services corporate bank with strong corporate and commercial banking, treasury and trade finance expertise as well as an expanding suite of personal banking options and Shari’a compliant services. Leveraging its deep banking experience and market insight within Fujairah and the UAE, NBF is well-positioned to build lasting relationships with its clients and help them achieve their business goals.
NBF’s key shareholders include the Government of Fujairah, Easa Saleh Al Gurg LLC and Investment Corporation of Dubai. Rated Baa1 / Prime-2 for deposits and A3 for counterparty risk assessment by Moody’s and BBB+ / A-2 by Standard & Poor’s, both with a stable outlook, the bank is listed on the Abu Dhabi Securities Exchange under the symbol “NBF”. It has a branch network of 19 (of which 2 are an electronic banking service units) across the UAE.
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© Press Release 2020