Dubai Islamic Bank’s profit has increased by 111 per cent in the first quarter of 2014 compared to the first three months of last year.

The emirate’s largest Islamic bank has reported a net profit of AED636.6m ($173m) which compares to AED301.7m recorded in the same period last year.

The bank’s revenue was up by 7.4 per cent to reach AED1.495bn.

The bank’s asset quality has also been improving, with impairment costs falling by 46 per cent this quarter.

In mid-April, the bank announced it had completed all the regulatory requirements for it to increase its foreign ownership limit by 10 per cent.

The decision comes ahead of the upgrade of the UAE to emerging markets status by the index compiler MSCI, due to take place in early June. Greater foreign ownership improves DIB’s chances of being included in the emerging market index.