As the year comes to an end, Burgan Bank Group proudly folds another successful chapter of the Group’s journey. The year 2014, has been registered in the records as yet another celebrated year where the Group has not only met the objectives but also grown in performance, and as culture that nurtures knowledge, innovation, professionalism, and sustainability.
In 2014, Burgan Bank Group maintained a pioneering position in the way it operates across all levels. The group continues to apply innovative solutions across all operations ensuring that high performance is not just a target but a way of life, a culture, and an instilled belief. The group managed to consistently grow, registering a 13% growth in underlying revenues in 9 months comparison year on year.
Burgan Bank Chairman Mr. Majed Essa AL Ajeel said: “Our loans and deposits grew by 20% & 8.5% year on year. We have also managed to continue improving our asset quality with the continuous reduction of our non-performing assets year-on-year. Our market position has also improved with a high operating performance against peers translated into an increased market share in Kuwait and standing at 14% in loans and deposits, 13% in revenues, and 17% in net income.”
The group solid performance was also recognizable by international bodies. During 2014, Burgan Bank Group won “Best Banking Group in Kuwait” by World Finance, “Best Investor relations in GCC” by World Finance, “Best Cash Management” by Asian Banking and Finance, “Best Domestic Retail bank” by Asian Banking and Finance magazine, “Best Private Bank in Kuwait” by CFI Capital Finance International, and “The Eurostar for Quality” by Business Initiative Directions.
Al Ajeel added: “We are continuing to reap the benefits of diversifying into faster growing markets; our international operations now contribute to 51% of group’s revenue. Our Brand position continues to be on the rise and now is regarded as one of the strongest banking brands in the region”.
AL Ajeel added: “To sustain this high performance and to comply with the new Basel 3 requirements, we have opted for an innovative capital optimization plan that yielded more than KD300 million in proceeds. The plan included beside other activities, the issuance of AT1 bonds in 3Q-2014 -the first of its kind in Kuwait- worth USD500 million; closed through a robust demand from local and international investors which reflected their trust in our performance and prospects. In addition to the AT1bond issuance, we have successfully raised capital through a rights issue with the total proceeds of KD102.6 million. The process was oversubscribed by our existing shareholders which is also considered as a reflection of their trust in Burgan Bank Group”.
Al Ajeel concluded: “On behalf of the board, I would like to extend my warmest gratitude for the hard work and contribution exerted by our employees as well as to the executive management team for their leadership and prudent execution of our strategy. We expect nothing less from a body of talented, experienced, and dedicated professionals, also, I would like to take this opportunity to wish everyone another 12 months filled with good health, happiness and success.”.
Burgan Bank Group continues to emerge in the international financial arena as a recognizable and credible Kuwaiti-based entity with presence in 7 countries across Kuwait, Turkey, Jordan, Algeria, Iraq, Tunis, Lebanon and Palestine through more than 233 branches. Burgan Bank is now a Regional group.