Almost NIS 5 billion a year.
Record profits for Bank Hapoalim
The year 2021, which was a record year for the Israeli economy, is also reflected in the banks' balance sheets.
Bank Hapoalim, the largest in Israel, publishes its balance sheet for the past year, which amounted to a net profit of NIS 4.9 billion.
Most of the increase in activity, credit to businesses and housing
Walla!
Of money
08/03/2022
Tuesday, 08 March 2022, 08:56 Updated: 09:19
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If anyone needed further proof of the phenomenal year last year for the Israeli economy, and especially for its financial systems, then there is nothing like the annual report of the largest bank in Israel, Bank Hapoalim, to illustrate this.
The bank concludes a year of growth with a net profit of NIS 4.9 billion, reflecting a return on equity of 11.8%.
The Bank also announces that in accordance with the strategy it has adopted, the Bank has increased its credit portfolio in the past year by 16.8%, which reflects significant growth in all areas of activity, especially in business and housing credit.
The Bank further emphasizes in its announcement that during the year Hapoalim continued to invest in providing multi-channel digital solutions for its customers, and that at the same time, the Bank continued to focus on streamlining efforts - the efficiency ratio improved in 2021 to 54.2% compared to 56.9% in 2020.
Although the year 2021 opened with declines in world capital markets, rising inflation and, of course, the Horseradish invasion of Ukraine, three black "swans" that could slightly obscure the excellent results presented by the Israeli financial sector in 2021, but such effects, if expressed, belong to the first quarter of 2022. Meanwhile, workers can look at the numbers with a smile, especially in the two aspects: The
first is that 2021 symbolized beyond a routine life alongside the corona.
Even highly contagious variants like the Omicron, sent hundreds of thousands to isolate but did not shut down the economy - and presumably a sign of things to come, even if the plague that struck the world has not yet said the last word.
The second statistic: maintaining the bank's status as the largest in Israel - despite an excellent year for the entire banking system, no bank comes close to the profits presented by the workers.
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Hapoalim Chairman, Reuven Krupik: "Building an infrastructure to improve profits in the future" (Photo: Inbal Marmari)
Chairman: "Bank Hapoalim is a model of society in the State of Israel"
The Bank's Chairman, Reuven Krupik: "The combination of quality and extensive business practice and the promotion of the environment and deep social involvement, has been a key pillar in the Bank's business activity and corporate culture since its establishment, more than 100 years ago.
Successfully tackling the major challenges before us, along with improving our organizational quality, are goals that dedicated and professional bank employees and professionals are committed to achieving.
This aspiration has been especially strengthened following the cohesion and determination that our employees have shown over the past year and since the outbreak of the plague, for which we are grateful and appreciate them.
Over the past year, the Bank has significantly increased its balance sheet, while building an infrastructure for future profit improvement.
The Bank's credit portfolio grew at a high rate of 16.8%, reflecting the fact that the Bank is a mirror image of economic developments, which provided a strong backbone - an economy booming, rising investment in construction and rising asset prices, which also contributes to credit demand.
This year, too, we continued to invest significant economic and organizational inputs in providing technological infrastructure that will enable us to provide a rapid response to changes in the competitive environment.
Bank Hapoalim is a landscape model of the company in the State of Israel.
We thank all our holders and stakeholders, for the trust they place in us.
We are committed to treating this trust with humility and awe and we promise that we will continue to strive to realize the bank's vision - we are committed to growth through renewed and fair banking for our customers. "
Dov Kotler, CEO of Hapoalim. Talks about the recovery and the leap in all economic indices, but also mentions that the corona is still with us (Photo: Gadi Dagon)
CEO: "Returning the economy to a routine of life, alongside the crisis"
The bank's CEO, Dov Kotler: “The year 2021 will be remembered mainly as a year of return to routine from the corona crisis.
The recovery trend recorded in the Israeli economy, which is reflected in high growth rates along with low unemployment rates, reflects more than anything else the return of the economy to a routine of life, along with the crisis that has not yet completely ended.
Despite the waves of morbidity, in the past year we have shown accelerated growth in our credit portfolio in all areas of activity and provided a response to our customers' high credit demands with an emphasis on business credit and housing credit. Leading to unique value propositions for customers, we have added to promote for our customers new business platforms in the UAE, and recently even established a dedicated division that will have faith in improving service and operational efficiency.
All this coincides with the changes that the Bank is undergoing in the face of the competition challenges it faces in the new banking arena.
"I would like to thank the Chairman of the Board, Reuven Krupik, the members of the Board of Directors and the dedicated employees of the Bank, who continue to carry out their important task and act with professionalism, determination and responsibility for our customers."
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