Al Baraka Bank Algeria (ABBA), one of the banking units of Bahrain-based Al Baraka Banking Group BSC (ABG), has achieved a significant growth in its net income of 23 per cent during the year 2019 compared to 2018.

Growth in its letter of credit (L/C) business substantially contributed to the bank's growth.

L/C growth

Financial results for 2019 showed that ABBA achieved 12 per cent growth in total operating income to reach 13 billion Algerian dinars (AD13 billion - US$115 million).

The bank said this was due to the growth of its L/C business and the expansion of the products and services provided.

Increased income

After deducting all operating expenses, net operating income increased by 14 per cent compared to 2018 to reach AD9.5 billion (US$80 million) in 2019.

Net income reached AD6.33 billion (US$53 million) during the year 2019, an increase of 23 per cent compared to 2018.

This article represents the views of the author and not necessarily those of the ICC or Coastline Solutions.