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Islamic International Rating Agency (IIRA) has reaffirmed its Shari’ah Quality Rating of AA (SQR) assigned to Jordan Islamic Bank (JIB). Rating derives strength from JIB’s evident commitment to Shari’ah compliance, which stems at the helm of the institution and is cultivated across management cadres. It is in majority owned by Albaraka Banking Group (ABG). The rating is also supported by Jordan’s effective regulatory Shari’ah governance standards, which with recent revisions are closely aligned with best practice. The bank has been proactive in adopting the revisions in central bank guidelines, and their full implementation is targeted to be achieved within the ongoing year.

Capital Intelligence (CI) has affirmed Jordan Islamic Bank’s (JIB) Long- and Short-Term Foreign Currency Ratings (FCRs) at ‘BB-’ and ‘B’, respectively. JIB’s FCRs are constrained by Jordan's sovereign ratings (‘BB-’/’B’/ ‘Stable’), reflecting JIB’s base of operations in Jordan and its exposure to the Jordanian sovereign in the form of balances at the Central Bank of Jordan (CBJ). The Support Level of ‘3’ is affirmed, on the basis of the high likelihood of support from the CBJ in case of need, and from the parent Al-Baraka Banking Group in Bahrain. The Outlook for JIB’s FCRs remains ‘Stable’, in line with the Outlook for Jordan’s Sovereign FCRs. The Bank’s Financial Strength Rating (FSR) is maintained at ‘BBB-’, on a ‘Stable’ Outlook.

Ratings assigned to Jordan Islamic Bank derive strength from the institution’s strong franchise as the largest retail Islamic bank operating in the Hashemite Kingdom of Jordan. The bank’s financial risk profile is also healthy, with strong and improving asset quality indicators, sufficient profitability position, and sizable liquid reserves. Leverage indicators of the institution are at a comfortable level. Jordan’s macroeconomic environment, however, remains challenging against the backdrop of regional instability. The bank has been proactive in incorporating changes in the code of corporate governance for Islamic banks issued by the Central Bank of Jordan.

Islamic International Rating Agency (IIRA) has reaffirmed its Shari'a Quality Rating of AA (SQR) assigned to Jordan Islamic Bank ( JIB ). This rating indicates JIB 's conformance to very high standards of Shari'a compliance in all aspects of Shari'a quality analysis. The bank is supervised by an eminent Shari'a Supervisory Board, which comprises both Jordanian residents for ease of access, and those present on the group's Unified SSB, for international reach. The SSB regularly reviews activities of the bank to ensure Shari'a compliance. Transparency of financial reporting vis-à-vis investment accounts and corporate governance disclosures are mainly in line with the recommended best practices by IFSB.

Islamic International Rating Agency ( IIRA ) has reaffirmed the ratings of Jordan Islamic Bank ( JIB ) on the national scale at A+/A1 (jo) (Single A plus/A One). Ratings of JIB on the international scale have also been reaffirmed with the foreign currency rating at 'BB+/A3' (Double B Plus/A Three) and the local currency rating at 'BBB-/A3' (Triple B Minus /A Three). Outlook on the ratings is 'Stable'. Ratings are supported by JIB 's strong franchise and retail presence. Stability at Board and management level has reinforced the organizational culture and has allowed uninterrupted implementation of the bank's business strategy. Regional instability may however continue to be a significant challenge.

Jordan Islamic Bank (JIB) achieved $14.71 million in net profits in Q1 2014, compared to $14.68 million during Q1 2013. The bank’s assets reached about $5.079 billion compared to $4.968 billion by the end of 2013. Clients’ deposits reached about $4.581 billion compared to about $4.500 billion as of end-2013. Facilities and investments reached about $3.565 billion compared to $3.519 billion at end-2013. The non- performing finance (NPF) ratio reached about 4.34 per cent, its coverage ratio about 86 per cent. The bank enhanced its capital base by increasing its paid capital by distributing 20 per cent as free shares to shareholders in addition to distributing cash dividends to shareholders at 15 per cent for the year 2013.

Islamic International Rating Agency ( IIRA ) has reaffirmed its Shari'a Quality Rating of AA (SQR) assigned to Jordan Islamic Bank ( JIB ). This rating indicates JIB 's conformance to very high standards of Shari'a compliance in all aspects of Shari'a quality analysis. The bank has traditionally been supervised by an eminent Shari'a Supervisory Board. Moreover, the bank's Board of Directors has an adequate representation of independent directors, while recommended Board committees are also in place. Transparency of financial reporting by the bank with regards to investment accounts and corporate governance disclosures are generally in line with the recommended best practices by IFSB. However, diversification of Islamic financing structures in the portfolio is recommended by Shari'a scholars.

Jordan Islamic Bank began some time ago to develop a plan to provide alternative energy in its branches through the use of electric power generation using solar cells. The Bank seeks to disseminate to all branches and offices which achieves savings and a reduction in the electricity bill incurred by the bank, and contributes to the alleviation of high electrical loads in the Kingdom, thus contributing to the national economy and environmental protection. The Jordan Islamic Bank is one of the main Islamic banks in Jordan and the Arab states, where it has a proven track record of excellence successes. The Bank has a branch network of 80 branches and offices, employing about 2,000 employees, which embodies the vital role played by the Bank in the Jordanian economy.

Standard & Poor's Ratings Services has lowered its long-term counterparty credit rating on Jordan Islamic Bank (JIB) to 'BB-' from 'BB' and affirmed the short-term counterparty credit rating at 'B'; the outlook is negative. The rating action follows S&P's downgrade of Jordan in May 2012. As per their methodology, the ratings on JIB are capped at the level of Jordan's long-term foreign currency sovereign credit rating, because it is the bank’s country of domicile. This mainly reflects JIB’s material exposure to domestic sovereign risk, which indirectly accounts for a significant portion of JIB's earning assets and equity. JIB is considered to be "moderately strategic" to its parent group, Bahrain-based Al Baraka Banking Group. However, JIB does not benefit from any notches of parent support because of the constraint imposed by the foreign currency sovereign ratings.

The Board of directors of Jordan Islamic Bank that is represented by Mr. Adnan Ahmad Yousif approved the financial statements of the 1st quarter of the current year. The Bank has achieved net profits after tax that amounted to $14.67m compared to $10.16m during the same period last year. Shareholders' equity at the end of the first quarter of the current year increased by 4.6% to reach about $336.95m. The Bank's assets with the managed accounts added to (restricted investment accounts and Muqarada bonds) amounted to about $4.67bn. Customers' deposits (including managed accounts) at the end of the 1st quarter of the current year reached approximately $4.200bn. Mr. Adnan Ahmed Yousif expressed his satisfaction over the results the Bank.

Tatweej Academy for Excellence Awards and the Arab Organization for Social Responsibility have granted Mr. Musa Shihadeh, Vice Chairman, General Manager of Jordan Islamic Bank (JIB) a red sash and gold medal of Distinguished and a Certificate of Excellence in the field of wise leadership. This ceremony honors Shihadeh in appreciation of his distinguished efforts in settling islamic banking rules in Jordan, and possessing leadership and management characteristics. The ceremony was held in Dubai with the participation and attendance of institutions and management figures who were honored for the achievements and initiatives.

The Islamic International Rating Agency (IIRA) situated in Bahrain has upgraded the credit rating of Jordan Islamic Bank (JIB) on the national scale, whereas the international scale ratings of JIB have been reaffirmed. The outlook on the ratings is 'stable'. The report issued by the agency also reaffirmed JIB's Sharia Quality Rating of AA, which confirms the bank's conformance to very high standards of Islamic Shari'a principles in its dealings and finances.

Jordan Islamic Bank (JIB) and Ministry of Religious Endowments / Hajj fund have signed the agreement of issuance Hajj Sukuk for citizens who are interested in participating in the fund through Jordan Islamic Bank. Citizens can subscribe in Hajj Sukuk as a tool for saving and investment that complies with Sharia principles. Underwriting can be done through all JIB's branches and offices.

Jordan Islamic Bank's Shari'a Quality Rating (SQR) was reaffirmed as AA by the Islamic International Rating Agency (IIRA). This is an indication that the bank conforms with very high standards of Shari'a compliance in regard of all aspects of Shari'a quality analysis. JIB, owned in majority by the Al Baraka Banking Group (ABG), is set to maintain and enhance the level of compliance with the spirit of Shari'a principles in Islamic finance.

Jordan Islamic bank (JIB) pre-tax profits before tax reached $57.40 million. The Board is proposing a 15 per cent cash dividend to shareholders.
The bank was able to strengthen its position in the Jordanian banking sector through the year. Clients' deposits with the managed accounts included grew by 18.5 per cent last year.

The dominant market position of Jordan Islamic Bank is likely to remain uncontested for the foreseeable future, enabling the bank to sustain its business expansion. This was the conclusion made recently by Cyprus-based Capital Intelligence, the credit-rating agency that specializes in emerging markets.
Despite the entry of an increased number of Gulf Cooperation Council-based Islamic banks, including Al-Rajhi Bank and Dubai Islamic Bank, in the domestic Islamic banking market, Jordan Islamic Bank (JIB) continues to control a substantial share of Shariah-compliant financing and deposits in Jordan.

This rating reflects IIRA's opinion that JIB conforms to very high level of standards of Shari'ah requirements in all aspects of Shari'ah quality analysis.
Islamic International Rating Agency (IIRA) has maintained its Shari'ah Quality Rating of AA (SQR) to Jordan Islamic Bank (JIB).
The rating maintained by IIRA is supported by the fact that JIB's Shari'ah Supervisory Board (SSB) consists of four highly qualified and experienced Shari'ah scholars who hold regular meetings and considers wide-ranging issues.

From being a small and unimportant Islamic bank established in 1978 and under the loyal and unbroken stewardship of the seasoned General Manager Musa Shihadeh, Jordan Islamic Bank (JIB) has, over the last three decades transformed itself into the largest Islamic lender and the third largest domestic bank in Jordan. This is by all standards impressive given that JIB's main competitor in the market is the mighty Arab Bank Group, one of the largest banks in the Middle East and which has its own dedicated Arab International Islamic Bank.
The Ministry of Finance and the Central Bank of Jordan have given the go-ahead for Al-Rajhi Bank in Jordan to explore the possibility of issuing a sukuk. Assuming that the Treasury and the central bank are working on introducing enabling legislation for sukuk origination and listing in Jordan, this would open up new avenues of raising finance and investments for the likes of JIB.

Albaraka Banking Group B.S.C (ABG) held its Ordinary and Extra Ordinary General Meetings today in Manama, the capital of Bahrain. A cash dividend of USD 27.9 mn was decided, which represents 4 % of the issued capital further bonus shares were approved in an amount of USD 46.5 at the rate for one share for every 15.

After deducting all the expenses, the total net income amounted to USD 201 mn in 2008, reflecting an increase of 37.1 % over the income in 2007 after excluding the effect of the extraordinary profit arising from the IPO of the Group's unit in Turkey from the profits of 2007.

Arab News reported 28 April about Jordan Islamic Bank (JIB), being one of the oldest establishments along with Dubai Islamic Bank and Kuwait Finance House. Fitch Ratings end March 2008 assigned a 'BB-' foreign currency long-term issuer default rating (IDR) and a 'B' foreign currency short-term IDR to JIB with a long-term stable outlook.

JIB is a subsidiary of the Al-Baraka Banking Group (ABG), which is incorporated in Bahrain and is the restructured holding company of the financial services division of Jeddah-based Dallah Al-Baraka Group (DAG) headed by Saleh Kamel.

Musa Shihadeh is the general manager of JIB.

Source: http://www.menafn.com/qn_news_story_s.asp?StoryId=1093194499