Balance sheet growth of 1.3% year-on-year during 2021 to reach $ 8 billion
Project financing assets grew by 19% to $ 4.6 billion
The growth in total net income over the past year to approximately $ 112.9 million, compared to $ 90.6 million in the year 2020
The Arab Petroleum Investments Corporation (APICORP), a multilateral financial institution, has announced the recommendation of its Board of Directors to the General Assembly to approve the financial results for the year ended 31 December 2021. APICORP recorded a strong performance during the year. has resulted in very important achievements at both the financial and operational level, despite the decline in reference prices and the instability that has prevailed in the financial markets over the past year.
By the end of 2021, APICORP had a net income of $ 99.6 million, and its balance sheet grew 1.3% year-over-year to $ 8 billion. The total revenue during the same year amounted to approximately 112.9 million US dollars, compared to 90.6 billion US dollars in the year 2020.
growth Project Finance Portfolio
The project financing portfolio grew 19% year-over-year to $ 4.6 billion, in part due to the company allocating $ 500 million in support packages to its strategic partners and clients in member states to address market volatility, which it launches in 2020 sent. helps alleviate market volatility. From the effects of the outbreak of the Covid-19 pandemic and the continuing fluctuations in oil prices.
On the other hand, capital adequacy ratios have improved from 31% in 2020 to 32% over the past year, and the leverage ratio has declined from 2.2x to 2.1x in 2021. At the end of the year, returns on assets were 1.3% and returns on shares were 3.9%. The non-performing loan rate fell from 0.59% to 0.55% during the same period. At the same time, APICORP has maintained a credit rating of (Aa2) by Moody’s and (AA) by Fitch over the past year.
Regarding these results, he said: Dr. Abed Al-Saadoun, Chairman of APICORP: “APICORP has seen a significant improvement in its balance sheet over the past few years, and this trend continued during the year 2021. This is unequivocal proof of the company’s strategy and structure of high flexibility that has enabled it to grow exceptionally. in the field of project financing despite the great economic fluctuations that the world has seen During this period, and during the past year, APICORP has taken a leading position in the field of energy transformation by issuing green bonds and the framework for environmental , to introduce social and managerial policies, which will change the nature of the energy landscape in the region. ”
The successful issuance of the company’s first green mortgage in September 2021 was one of APICORP’s most notable achievements in recent years, coming on the heels of the significant growth in the green portfolio of projects, which has a fivefold increase in the past recorded. five years, which reached nearly $ 600 million American. The $ 750 million green bond issue was so popular that it was covered nearly three times, with more than $ 2.2 billion in orders from more than 80 institutional and sovereign investors, 63% of whom are investors focusing exclusively on sustainable investments. In addition, the green bond issue recorded the lowest interest rate compared to the conventional bond issue by APICORP.
added Dr. Abed Al-Saadoun: “We are proud to end another successful year. Despite the turmoil in global markets, APICORP has managed to achieve extraordinary growth in project financing assets and led an unprecedented issuance of green bonds, three times the Member States have succeeded in overcoming this challenging phase by renewing our commitment to the transformation of the energy sector in a way that promotes innovation and enterprise across the sector, and offers the broader investor community a tremendous opportunity to share to build a sustainable investment landscape for the future.
Remarkable achievements in business lines
The portfolio of project financing assets grew by 19% year-on-year to $ 4.6 billion in 2021, with a significant increase in the value of financing to $ 2.4 billion, with the demand for project financing increasing, especially after the remarkable decline in the year 2020.
APICORP’s equity investment portfolio performed better than expected in net income after a number of successful retirements.
Treasury and Securities
The size of the treasury and securities portfolio was reduced during the year 2021 to mitigate the effects of the volatility of the financial markets, and to take advantage of the improvement in the credit position of the company. The equity investment portfolio has maintained almost the same level as last year, with some exit opportunities to be completed during 2021.
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Arab Petroleum Investments Corporation (APICORP) It is a multilateral financial institution operating in the energy sector, established in 1975 Under an agreement between the ten Arab oil exporting countries. Through its mission, APICORP seeks to support the sustainable development of the energy sector in the region, through an integrated set of financing solutions, direct investment, research and consultation related to the sector. APICORP applies the highest standards of environmental, social and managerial policy in all its operations, and green and renewable energy make up about 13% of the total funding portfolio amounting to about $ 4 billion, which includes various public and private sector partners . more than 25 Country. as prepared APICORP The only financial institution in the MENA region with a rating (Aa2) From Moody’s Rating Agency (AA) From Fitch.
You can view APICORP’s Environmental, Social and Management Policy Framework via this link
For more information on APICORP, please visit the website: www.apicorp.org