Business
QIIB gets shareholders’ approval for sukuk plan
QIIB gets shareholders’ approval for sukuk plan
March 01, 2011 | 12:00 AM
By Pratap John
Chief Business Reporter
International Islamic (QIIB) has got shareholders’ approval for issuing sukuk the bank can utilise to boost capital, if required, at a later stage.
A resolution to the effect was approved at the annual general meeting yesterday.
Speaking to Gulf Times, International Islamic CEO Abdulbasit A al-Shaibei said the bank did not have ‘immediate plans’ to issue a sukuk.
"We are very liquid, and currently, there is no need for the issuance of a sukuk. But if we decide to issue Islamic bonds at a later stage, we can go ahead with the shareholder approval obtained today. It is a regulatory requirement,” al-Shaibei said.
Asked whether the Qatar Central Bank directive to conventional banks to wind up their Islamic windows would benefit QIIB, he said, "It will benefit the banking system as a whole. Islamic banking is totally different from conventional banking. There cannot be any overlap. Transparency is, and should be, the hallmark of banking. Islamic and conventional banking systems must be totally separate.”
Replying to a query whether QIIB would be willing to buy Islamic assets of local conventional banks, he said, "We are always ready to negotiate, but have not spoken to anyone on this. It is up to the conventional banks concerned to decide how to go about it.
Al-Shaibei said he was very much optimistic about QIIB maintaining its solid performance in 2011.
"We have grown in all portfolios of our business operations in 2010. Total revenue last year was QR1.12bn compared with QR963mn in 2009. Deposits totalled QR13.1bn in 2010 compared with QR9.5bn in 2009-end. This shows an increase of 38%.”
Total equity grew to QR3.8bn in 2010, he said. The requirements under Basel-II were met and the Capital Adequacy Ratio under Basel-II was 24%.
"This is a reflection of QIIB’s good position and its success in meeting the financial challenges. We have seen with great satisfaction the growth of Qatar’s economy in all spheres. This shows the local economy is on a sound footing,” al-Shaibei said.
Addressing the shareholders earlier, QIIB chairman Sheikh Dr Khalid bin Thani al-Thani said the bank kept strengthening its position as leading Islamic bank in line with the requirements of a rapidly developing economy.
He said the Government’s policies helped the country grow rapidly and the financial sector greatly benefited from this.
The shareholders approved a resolution to disburse cash dividend at the rate of 37.5% of the nominal share value, which translates into QR3.75 per share.
QIIB posted a net profit of QR559mn in 2010, up 9.3% on 2009. Assets totalled QR19.3bn compared with QR16.5bn in 2009. Earnings per share (EPS) stood at QR4.03.
Chief Business Reporter
| International Islamic chairman Sheikh Khalid (centre) with vice-chairman Sheikh Abdullah and CEO al-Shaibei addressing the bank’s AGM yesterday. Picture: Thajuddin |
A resolution to the effect was approved at the annual general meeting yesterday.
Speaking to Gulf Times, International Islamic CEO Abdulbasit A al-Shaibei said the bank did not have ‘immediate plans’ to issue a sukuk.
"We are very liquid, and currently, there is no need for the issuance of a sukuk. But if we decide to issue Islamic bonds at a later stage, we can go ahead with the shareholder approval obtained today. It is a regulatory requirement,” al-Shaibei said.
Asked whether the Qatar Central Bank directive to conventional banks to wind up their Islamic windows would benefit QIIB, he said, "It will benefit the banking system as a whole. Islamic banking is totally different from conventional banking. There cannot be any overlap. Transparency is, and should be, the hallmark of banking. Islamic and conventional banking systems must be totally separate.”
Replying to a query whether QIIB would be willing to buy Islamic assets of local conventional banks, he said, "We are always ready to negotiate, but have not spoken to anyone on this. It is up to the conventional banks concerned to decide how to go about it.
Al-Shaibei said he was very much optimistic about QIIB maintaining its solid performance in 2011.
"We have grown in all portfolios of our business operations in 2010. Total revenue last year was QR1.12bn compared with QR963mn in 2009. Deposits totalled QR13.1bn in 2010 compared with QR9.5bn in 2009-end. This shows an increase of 38%.”
Total equity grew to QR3.8bn in 2010, he said. The requirements under Basel-II were met and the Capital Adequacy Ratio under Basel-II was 24%.
"This is a reflection of QIIB’s good position and its success in meeting the financial challenges. We have seen with great satisfaction the growth of Qatar’s economy in all spheres. This shows the local economy is on a sound footing,” al-Shaibei said.
Addressing the shareholders earlier, QIIB chairman Sheikh Dr Khalid bin Thani al-Thani said the bank kept strengthening its position as leading Islamic bank in line with the requirements of a rapidly developing economy.
He said the Government’s policies helped the country grow rapidly and the financial sector greatly benefited from this.
The shareholders approved a resolution to disburse cash dividend at the rate of 37.5% of the nominal share value, which translates into QR3.75 per share.
QIIB posted a net profit of QR559mn in 2010, up 9.3% on 2009. Assets totalled QR19.3bn compared with QR16.5bn in 2009. Earnings per share (EPS) stood at QR4.03.
March 01, 2011 | 12:00 AM