DOHA: Qatar’s leading Islamic bank QIIB has announced a net profit of QR438m for the first half of 2015 (H1, 15), a nine percent growth compared to the same period in 2014. The bank’s total assets grew by 6.7 percent and financing portfolio surged 13.8 percent during H1, 15 on year-on-year basis.
Announcing the results after the bank’s Board of Directors meeting, QIIB Vice-Chairman Sheikh Abdullah bin Thani bin Abdullah Al Thani noted: “This (bank’s strong results) reflects QIIB’s ability to benefit from the strong and positive elements of the Qatari economy that is witnessing a continuous growth..”
He said: “The strength and stability provided by the Qatari economy have provided a stimulating environment for QIIB, which has clearly benefitted from this and achieved significantly in terms of good growth rates in items that have been budgeted. All of these confirm the strong and established position of QIIB in the Qatari banking sector and economy”.
The targeted growth figures are always ambitious, based on the underlying factors and opportunities. Our bank seeks to achieve more in the coming period, especially all the necessary factors are seen, be it in terms of operational structure or the promising local market. These include great opportunities the bank strives to benefit from, in line with its policy of focusing on the local market and contribute to the development of various sectors in the Qatari economy.
QIIB will continue to implement its strategy, both locally and internationally, and pay special attention to the application of the best standards adopted in the global banking sector and good governance in the field of risk management, while aspiring at the same time to maximise shareholders’ equity and increase profitability, he added.
Sheikh Abdulla expressed confidence that the QIIB’s Executive Management and employees will continue with their focused efforts to upgrade the work, progress towards more creativity and innovation in terms of Islamic banking and achieve the targeted growth rates with the aim of achieving compatibility with the market’s needs.
QIIB Chief Executive Officer, Abdulbasit Ahmed Al Shaibei said, “The bank’s total revenues for the first half of 2015 amounted to QR740.7m compared with QR718.9m in the same period of 2014, reflecting a growth rate of three percent.
He also pointed out that QIIB’s total assets at the end of the first half of 2015 reached QR38.5bn compared to QR36.1bn in the same period of 2014.
“The bank’s financing portfolio has increased at the end of the first half of this year to reach QR23.9bn compared with QR21bn at the end of the corresponding period last year. This represents a growth of 13.8 percent.
Highlighting QIIB’s financial management and liquidity during H1, 2015, Al Shaibei said: “QIIB’s non-performing funding assets amounted to less than 1.57 percent as the bank continued with its outstanding record in maintaining the operating efficiency (efficiency ratio) at 23.3 percent.
On deposits, the CEO explained that these increased to QR25.6bn in H1, 2015 compared with QR25.9bn in the same period last year.
The capital adequacy ratio under Basel III reached 17.53 percent, which reflects the strength of the QIIB’s position and readiness to apply the new standards of the Third Basel Accord, which is a global, voluntary regulatory framework on bank capital adequacy, stress testing and market liquidity risk.
He added: “We are optimistic, thanks to the great dynamics of the Qatari economy. All sectors are witnessing growth; projects are moving strong, especially the big ones in the area of infrastructure, which create an environment of favourable opportunities. We stay focused on benefitting from our national economy in accordance with the policies of the bank and in a way that achieves the strategic vision of the Board of Directors. We remain committed to serving the Qatari economy and contributing to its development.”
