Focus on investment banking lifts BIB profits

16 February 1996

Bahrain International Bank (BIB) has reported profits of $18.7 million for 1995, 11 per cent higher than a year earlier. The rise mainly came from successful sales from the bank's investment portfolio, as well as reducing the level of general provisions.

The rise in income was accompanied by a 14 per cent drop in the size of the balance sheet to $600 million. BIB reduced its holding of repurchase agreements to $9 million from $158 million, although this decline was partly offset with the issue of a three-year floating rate note worth $60 million in August (MEED 8:9:95).

The bank is continuing to focus more reosurces on investment banking business. In October, the bank offered a $20 million stake in a US company with a franchise for 99 Burger King restaurants. The company was acquired by BIB in late 1994 at a cost of $110 million. The bank is also increasing its fund management operations, and in the autumn launched the Muscat Index Fund to track Omani shares.

A MEED Subscription...

Subscribe or upgrade your current package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.

Get Notifications