Abu Dhabi Islamic Bank Records 18% Increase in Net Income Due to Revenue Climb and Lower Impairment Charges

Abu Dhabi Islamic Bank recorded profits of AED 715 million (USD 194.8 million) in the first quarter of 2022 (1Q 2022), an 18% increase year-on-year (YoY) from AED 608 million (USD 165.5 million) in 2021, as per a statement made to the Abu Dhabi Securities Exchange on the 27th of April 2022.

Why it Matters?

The recorded growth is attributed to cost controls that resulted in a climb in revenue coupled with lower provisions for loan losses driven by economic recovery in the United Arab Emirates (UAE). Despite global geopolitical headwinds and pandemic-related uncertainty, the UAE’s economy rebounded strongly from the Covid-driven recession in 2021, recording a 3.8% GDP increase and maintaining pace in 2022. To help the economy further recover, the country has...