CBD first half year profits jump 52 per cent

The Bank's total assets grew by 31% to AED 22,160 million at the end of the second quarter of 2007, as compared to June 2006. Loans and advances rose by 42% to AED14,748, whereas customer deposits increased by 31% during the same period to reach AED16,388 million.

The robust growth in all the main components of the balance sheet resulted in an increase of total operating income by 51% to reach AED 635 million in the first 6 months of 2007, while net interest income showed a growth of 42% to AED 396 million.

"The bank's noteworthy performance during the first half year reflects the continued strong economic growth in the country, coupled with the successful introduction of new products and services by the Bank," said Mr. Peter Baltussen, CEO of the Dubai-based Bank.

Commenting on the progress of the bank, Mr. Baltussen said: "In line with its revised strategy, the Bank recently launched the Al Dana Wealth Management Program, exclusively tailored to suit the requirements of the bank's high net worth customers. The new service is designed in view of the growing number of affluent customers who need professional and innovative wealth management advise." He added: "The Bank has already opened three wealth centres in Dubai - in the Main Headquarters Branch, the Al Maktoum Branch and the Bur Dubai Branch. The Wealth Centres in Abu Dhabi, Sharjah and Jumeirah are scheduled for completion in the third quarter."

Earlier this year CBD and Rasmala have entered into a joint venture to form a DIFC-registered Asset Management Company that will provide a comprehensive investment product offering, through an independently researched Multi Manager Fund platform. The investment products will give CBD clients a global and regional reach, in both conventional and Sharia-compliant format. The products are designed to suit the growing differentiated needs and demands of the Al Dana client segment, allowing investors to profit from the expertise of the best-in-class asset managers throughout the world.

The Bank has also launched its new Treasury Advisory department that will assist its corporate and high net-worth clients to handle currency and interest rate risk through tailor-made derivatives. Through the establishment of the new Debt Capital Markets department, the Bank was able to participate in number of large high profile transactions in the first half year.