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


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%


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


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


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


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


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


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


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


BANK OF PALESTINE OVERVIEW


$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


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


BOP - General Management Headquarters | Ramallah


BOP - Jericho & Bethlehem Flagship Buildings


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


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.


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.


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


BOP - LOANS TO MSMES

Fisherman Loans


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


BOP - Diaspora Unit


BOP - SUSTAINABILITY

We contribute 5% of annual net profits towards CSR


BOP - Awards


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


BOP’S CORRESPONDENT BANKS


BANK OF PALESTINE FINANCIAL HIGHLIGHTS


GROWTH IN THE PALESTINIAN BANKING SECTOR VS. BOP

Year-on-year precentage growth


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



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



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

Updated: Jan 2014

GDP & SECTOR CONTRIBUTION TO GDP IN PALESTINE · slide no. 3 established 1960 gdp & sector...

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Transcript of GDP & SECTOR CONTRIBUTION TO GDP IN PALESTINE · slide no. 3 established 1960 gdp & sector...