The Union of Arab Banks revealed that the volume of the combined assets of the Jordanian banking sector reached about $ 79.5 billion by the end of the third quarter of last year.
Debts owed to the resident private sector accounted for the largest proportion of banking sector assets, at 46 percent, while public sector debts amounted to 22 percent. The total deposits of the sector amounted to about $ 3.43 billion, compared to credit facilities granted to the public and private sectors about $ .255 billion, while the total capital, reserves and allocations to Jordanian banks amounted to about $ 3.12 billion. According to the Union of Arab Banks, the Jordanian banking sector enjoys solid indicators that show its ability to withstand shocks of all kinds, especially its possession of high levels of capital that are among the highest in the Arab region.
The Union revealed that the average capital adequacy ratio for Jordanian banks reached 17.9 percent during the first half of 2020, it is by a comfortable margin higher than the rate specified by the Central Bank of Jordan of 12 percent, and higher than the percentage determined by the Basel Committee of 10.5 percent according to Basel III decisions.
The sector enjoys good liquidity, the legal liquidity ratio applied by the Central Bank of Jordan to banks is 128.5 percent, which is much higher than the minimum requirement of the Central Bank of 100 percent.
Source (Ad-Dustour Jordanian newspaper, Edited)
