GDP & SECTOR CONTRIBUTION TO GDP IN PALESTINE · slide no. 3 established 1960 gdp & sector...
Transcript of GDP & SECTOR CONTRIBUTION TO GDP IN PALESTINE · slide no. 3 established 1960 gdp & sector...
ESTABLISHED 1960SLIDE NO. 2
100 K200 K250 K300 K 150 K 50K 0
298,334
278,248
258,515
245,053
208,891
165,555
146,517
122,474
102,863
83,910
61,570
41,384
29,310
20,051
14,958
10,945
6,050
2,510
676
93
8 100+
95-99
90-94
85-89
80-84
75-79
70-74
65-69
60-64
55-59
50-54
45-49
40-44
35-39
30-34
25-29
20-24
15-19
10-14
5-9
0-4
100 K 200 K 250 K 300 K150 K50K0
100 K200 K250 K300 K 150 K 50K 0 100 K 200 K 250 K 300 K150 K50K0
282,425
263,732
245,612
233,004
198,675
157,745
139,235
115,575
95,856
77,627
58,337
41,330
33,039
26,494
21,218
16,139
9,492
4,168
1,228
209
18
Male Female
0-14
15-24
25-34
% of total population
UNDERTHE AGEOF 24
Age
75.8 % 60 %
Palestinian PopulationToTal PoPulaTion: 11.6 M
liTeracy raTe
currency
JoD
ilS
ESTABLISHED 1960SLIDE NO. 3
GDP & SECTOR CONTRIBUTION TO GDP IN PALESTINE
GDP/ Capita
2008 2009 2010 2011 2012
$1,737 $1,815 $2,185 $2,489 $2,500
13%
4%
2%
3%
5%
7%
21%
14%
9% 12%
10%
ESTABLISHED 1960SLIDE NO. 4
PALESTINE - Operating Banks
Local Banks (7) Foreign Banks (10)
Commercial Banks (5) Jordanian (8) Other Foreign Banks (2)
Islamic Banks (2)
17 BANKS Operating in Palestine9
10
8
7
6
5
4
3
2
1
02001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
1.220957
1.0721.428
1.786 1.903 1.758 1.7212.164
3.553
4.111
7.484
3.399 3.430 3.6243.958 4.190 4.203
5.118
5.847
6.295
6.972
4.423 4.2694.729
5.114
5.6015.737
6.9837.401
7.876
9.110
9.797
$ Billion
Assets
Deposits
Loans
2001 124
2002 125
2003 131
2004 133
2005 139
2006 151
2007 160
2008 190
2009 209
2010 211
2011
2012 232
226
No. of Branches
ESTABLISHED 1960SLIDE NO. 5
9
10
8
7
6
5
4
3
2
1
02001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
1.220957
1.0721.428
1.786 1.903 1.758 1.7212.164
3.553
4.111
7.484
3.399 3.430 3.6243.958 4.190 4.203
5.118
5.847
6.295
6.972
4.423 4.2694.729
5.114
5.6015.737
6.9837.401
7.876
9.110
9.797
$ Billion
Assets
Deposits
Loans
2001 124
2002 125
2003 131
2004 133
2005 139
2006 151
2007 160
2008 190
2009 209
2010 211
2011
2012 232
226
No. of Branches
BANKING SECTOR OVERVIEW - Assets | Deposits | Loans
ESTABLISHED 1960SLIDE NO. 6
Loan to Deposit Ratio
55.2%Non-Performing Loans
2.3%
Saudi
Arabia
EgyptJordan
LebanonMENA
Palestine
Qatar
UAE Egypt
Emerging
MarketsEmerging
Markets Jordan
LebanonMENA
Palestine
QatarUAE
94.90%
76.20%
111.20%
72.70%71.30%
34.80%
55.20%
84.90%
47.40%
7.60
1.70%
5.40%
8.40%
3.50%
2.30%
6.60%
10.10%
GDP Growth
5.9%
Saudi Arabia
EgyptJordan
LebanonMENA
Palestine
Qatar UAE
2.30%
6.00%6.00%5.90%
4.20%
1.50%
2.80%
2.20%
PALESTINE VS. REGION | 2012
ESTABLISHED 1960SLIDE NO. 7
Palestine Capital Market Authority (PCMA)
Established in 2004 Its jurisdiction encompasses securities, insurance, financial mortgages, leasing sectors, and non-banking financial institutions
Palestine Monetary Authority (PMA)
Established in 1995 IMF, 2011: "The PMA is capable and ready to assume the role of the Palestinian central bank"
Installed one of the first electronic credit bureaus in the Middle East
REGULATORS
ESTABLISHED 1960SLIDE NO. 8
The Palestine Monetary Authority (PMA) is the emerging Central Bank of Palestine. Its overall purpose is to ensure price stability and contribute to the stability and effectiveness of the
Palestinian financial system.
The PMA was established in 1995 by a presidential decree as an independent institution and later by an act of the Palestine Legislative Council PMA Law Number (2) of 1997, which ovutlined the full authority and autonomy of the PMA. Since 2007, the PMA has made notable progress in institutional reform, enabling it to fulfil the core functions of a central bank.
Below is a summary of the main institutional reforms.
Strengthening the Supervision and Regulatory Framework
Electronic Credit Bureau & Credit Scoring Systems
Electronic Payment System (RTGS)
Monetary Operations Department
Strengthening the Financial Sector’s Legal Framework
A new Banking Law was enacted in November 2010 to strengthen the financial sector’s legal framework. This law aims to maintain a strong and stable financial system, based on fair competition, and to maintain the integrity of this system to ensure renewed confidence from clients and shareholders alike.
Introduced the IBAN to Palestine end of 2012
Deposit Insurance Corporation
In 2013, the Deposit Insurance Corporation Law was enacted as the result of the intensive efforts in collaboration between the PMA, the Banking Association, and World Bank experts.The law establishes the Palestine Deposit Insurance Corporation which aims at safeguarding small depositors, maintaining the stability of the banking system, and thus mobilizing more savings that would enable banks to play a better role in the economy.
The PMA joined the International Association of Deposit Insurers (IADI), which has more than 132 countries as members.
PALESTINE - PMA Regulatory Framework & Reforms
ESTABLISHED 1960SLIDE NO. 9
THE WORLD BANK’S DOING BUSINESS REPORT 2013
Palestine’s Rank: 49 (out of 185 countries) Palestine’s rank in the region: 3
(after Saudi and Kuwait)
Protecting Investors
Enforcing Contracts Palestine’s rank in the region: 5
ESTABLISHED 1960SLIDE NO. 10
THE PALESTINE EXCHANGE
Established in 1995 – first trading session in 1997
Listed on PEX
49 listed companies on PEX (2013) with market capitalization of about USD 3 billion
Operates under the supervision of the Palestine Capital Market Authority
One of the most rewarding exchanges in the region in terms of return on investment (ROI) which averaged 6% per annum over the last five years
ESTABLISHED 1960SLIDE NO. 11
BANK OF PALESTINE OVERVIEW
ESTABLISHED 1960SLIDE NO. 12
$0
US$
US$1,280,000,000
US$1,545,000,000
US$1,653,960,732
US$ 2 billion
US$ 2.34 billion
$737
$527
$333
$431
$255$258$239$219
$179$165$150$110
$41$27$18$13$11$9.6$7.3$2.2 $6.6$1.2$0.8.4
US$ 497,000,000
2010
2011
201 12
203Q
320
0920
0820
0720
0620
0520
0420
0320
0220
0120
0019
9919
9819
9719
9619
9519
9419
9319
9219
9119
9019
8919
8819
8719
8619
8519
8419
8319
8219
8119
6719
6619
6519
6419
6319
6219
61
1967 Bank is closed after the Israeli invasion of Gaza and the West Bank.
Direct links are established 1994 with international banks
$1.5$0.7 $1.8
2000 Introduction of ATM’s and Points of Sale to the banking system.
2002 Establishment of international trade department and direct dealing with international banks.
2005 BoP shares are listed on the Palestine Stock Exchange.
2006 Founding of BoP’s investment arm - Al Wasata Securities Co. and
2009 Launch of GPRS Point of Sale service and
Through ATM’s.
$1.8 $9.5
$156
$ Million
1981First bank to introduce computers in Palestine
1995 First in Palestine to introduce SWIFT services with correspondent banks
2011 Established
PalPay® - Electronic Payment Solutions
1998 First to establish a card processing center in Palestine
1960 Founding of the bank in Gaza
1 billion
ESTABLISHED 1960SLIDE NO. 13
West Bank
Yabud
Atteel
Asira
Deir DIbwan
Ni’leen AL Bireh
Al Ram
Beit Sahour
Halhoul
Al Thahiria
Gaza
Under Construction
Al Yamoun
Jenin
QabatiyaMaythaloon
ToulkaremKhadouri
NablusHisbeh
Axoun
Qalqilia
Huwwara
Salfeet
Turmusaaya
SilwadGeneral Management
Headquarters, Ramallah
Abu Dees
Beit Jala Bethlehem
Saeer
Tarqumiya
HebronDura
Yatta
Jericho
Birzeit Uni.
Toubas
RimalKarni
Saraya
Jabaliya
Nasser
Nusseirat
Deir El Balah
Khanyounis
Rafah
Rafah Crossing
General Managment, Gaza
Tannous
Omar Al Mukhtar
Irsal
Palestine’s largest banking network with 50 branches across all major cities & underbanked areas
20%19.19%
0
100
200
300
400
500
600
700
800
900
1,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
409
412
386423
471564
635695
752864
0
5
10
15
20
25
30
35
40
45
50
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
19 21 22 22 2326
29 30 32
40 4246
Growth in no. of branches
48
50
BOP - Expansion of Banking Network
ESTABLISHED 1960SLIDE NO. 14
BOP - General Management Headquarters | Ramallah
ESTABLISHED 1960SLIDE NO. 15
BOP - Jericho & Bethlehem Flagship Buildings
ESTABLISHED 1960SLIDE NO. 16
Bank of Palestine holds
the leading market position
as the agent for VISA
and Mastercard and sole
provider of Palestine’s
Point of Sale merchant network
6,450
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
5,000
6,000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
20,000
22,000
24,000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
147,000
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
2003 2004 2005 2006 2007 2008 2009 2010 2011
128,000
$20,000,000
$30,000,000
$40,000,000
$50,000,000
$60,000,000
$70,000,000
$80,000,000
$90,000,000
$100,000,000
$110,000,000
$120,000,000
$130,000,000
2008 20102009 2011 2012 2013
23,000
No. of Merchant Outlet Points of Sale (POS)
Debit Cards Issued
Growth in POS Transactions
Credit Cards Issued
2012 2013
BOP - Growth of the Cards and E-Payments Business
ESTABLISHED 1960SLIDE NO. 17
BOP - Subsidiary Companies - Palpay®
PalPay ® is a leading Palestinian E-payment solutions provider for prepaid and utility payment systems.
These solutions will enable end users to pay utility bills and top-up mobile vouchers from Bank of Palestine ATMs, nationwide POS machines or by using Bank of Palestine electronic services such as online and mobile banking.
Our aim is to provide a complete solution for E-payment systems in Palestine. We provide our clients with full management capabilities to control business and revenues, maximize revenues through selling prepaid services and electronic money collection.
ESTABLISHED 1960SLIDE NO. 18
BOP - Subsidiary Companies - Al Wasata Securities Co.
Assets under management reached $360 million at the end of 2012.
In 2012 and since its establishment (for the 6th consecutive year) Al-Wasata has been the number 1 broker in terms of number of new investor accounts opened (out of a total of 8 brokerage companies in Palestine).
Al-Wasata had the highest trading volume in the second half of 2012 compared with the other brokerage companies in Palestine.
ESTABLISHED 1960SLIDE NO. 19
Over $1 billion in loans granted by Bank of Palestine to date
$140 million granted to over 2,000 MSMEs sustaining 10,000 jobs
36%31%
19%14%
BOP - CONTRIBUTION TO SECTORS
ESTABLISHED 1960SLIDE NO. 20
BOP - LOANS TO MSMES
Fisherman Loans
ESTABLISHED 1960SLIDE NO. 21
BOP - Supporting the Environment
In 2010, and for the first time in the region, BOP launched a distinctive programme entitled Green Loans to enable residents of rural areas to invest in renewable access to energy and resources such as:
Solar Energy
Greywater Recycling
Rainwater Harvesting
Other environmentally friendly projects
Green Loans
ESTABLISHED 1960SLIDE NO. 22
BOP - Diaspora Unit
ESTABLISHED 1960SLIDE NO. 23
BOP - SUSTAINABILITY
We contribute 5% of annual net profits towards CSR
ESTABLISHED 1960SLIDE NO. 24
BOP - Awards
ESTABLISHED 1960SLIDE NO. 25
C. A. TypeAnnouncement
DateDividend
DateRecord Date
Outstanding Shares Before C.A.
CashDividends -$
No.Of New Shares
Outstanding Shares After C.A.
% of Dividend
2013
BOP - Corporate Actions and Dividend
ESTABLISHED 1960SLIDE NO. 26
BOP’S CORRESPONDENT BANKS
ESTABLISHED 1960SLIDE NO. 27
BANK OF PALESTINE FINANCIAL HIGHLIGHTS
ESTABLISHED 1960SLIDE NO. 28
GROWTH IN THE PALESTINIAN BANKING SECTOR VS. BOP
Year-on-year precentage growth
ESTABLISHED 1960SLIDE NO. 29
BOP - Key Performance Indicators
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2,200
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 3Q2013 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 3Q2013
334
432
497
603
848
1,046 1,283
1,654
0
100
200
300
400
500
600
700
800
900
1000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 3Q2013
103.3
159.7
232.0
260.5
243.6285.3
343.3
545.0
720.2
976
1,068
0
150
300
450
600
750
900
1,050
1,200
1,350
1,500
1,650
2,300 1,700
270 337
407
481
680
841
1,017
1,252
1,297
1,551
1,770
$ Million
$ Million
$ Million
$ Million
2003 2004 2005 2006 2007 2008 2009 2010 2011
4.8
5.7
13.9
20.6
23.626.9
30.1
0
5
10
15
20
25
30
35
40
2012
34
38.4
14.7
45
50
1100
2,005
2,335
CAGR from 2007 - 2012
32.01%Loans
17.99%Customer Deposits
20.22%Shareholder Equity
18.85%Assets
13.26%Net Profits
$38.6 million : 3Q2013Profit before tax
ESTABLISHED 1960SLIDE NO. 30
BOP - Key Performance Indicators
0
12
24
36
48
60
72
84
96
108
120
132
144
156
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 3Q2013
20.3
20.3
20.3
21.724.7
36.3
59.8
81.4
100 100
120
134
150
Paid Capital
$ Million
0
20
40
60
80
100
120
140
160
180
200
220
240
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 3Q2013
23.2
23.6 25.2
31.1
43.6
56.2
90.2
123.2
150.8
194.4
221
240
Shareholders' Equity
$ Million
ESTABLISHED 1960SLIDE NO. 31
BOP - Key Performance Indicators
of LoansMarket share Market share of Deposits
Growth in no. of Employees
Growth in no. of Customers
2004 2005 2006 2007 2008 2009 2010 2011 2012 1H2013
12.23
13.314.3 14.8
17.6
17.26
20.54
23.75
24.50
19.19
02468
10
1214
16
18
20222426
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
500,000
550,000
600,000
650,000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 1H2013
112,289
154,026
195,987222,866
256,240
376,489
429,149
483,884
542,199
621,983
0
100
200
300
400
500
600
700
800
900
1,000
1100
2003 2004 2005 2006 2007 2008 2009 2010 2011
423471
564635
695752
864
9431,061
1,139
1,211
2012 2014
1200
2004 2005 2006 2007 2008 2009 2010 2011 2011 2012 1H2013
7.26
8.98
9.5311.30
12.93
14.03
16.71
18.4418.60
20.79
21.66
02468
10
1214
16
18
2022
626,014
NPLsGross loansProvisionsAcceptable collaterals for nplsNpls/gross loans)Coverage ratio )provisions / nplsAcceptable collaterals for npls/ npls
ESTABLISHED 1960SLIDE NO. 32
Updated: Jan 2014