Middle East Bank announces conversion to an Islamic Bank

HE Ahmad Humaid Al Tayer, Chairman of the Board of Directors of Emirates Bank, which owns majority shares in MEB, said that MEB has obtained the necessary approvals from the relevant authorities to convert MEB to an Islamic Bank. He noted that the new Bank's capital will remain at AED 500 million.

HE Mr. Al Tayer added that the conversion process was approved in MEB Board Meeting and has to be approved in MEB Extraordinary General Meeting which will be held on 10 March for approval by the shareholders. He clarified that MEB Board approved the formation of an executive team of experts in Islamic Banking to commence the operational procedures for the Bank's conversion to an Islamic bank. He stated that the team has actually began formulating suitable plans, programs and mechanisms to execute the conversion plan that will involve the creation of a new corporate identity, name and logo for the new Islamic bank.

HE Mr. AL Tayer expected the Islamic Bank to launch its offering of banking services during the second half of the current year. He mentioned that the Bank will offer a variety of Islamic retail as well corporate banking services in addition to Islamic investment services. These services will be available in a modern environment that relies on new technologies and the latest available banking oncepts in the area of customer service.

He stated that the new bank will have completely independent financial and administrative management. The bank will also offer its services in complete autonomy which will provide its customers with a fully integrated Islamic banking environment. He explained that the current nine MEB branches across the UAE will all be converted to branches of the new Islamic Bank.

HE concluded that MEB conversion decision was made in light of recent growth witnessed in the Islamic Banking sector that boosts the new Bank's chances in achieving success and prosperity. This is also in line with the Bank's aim to contribute to the overall development process observed in all UAE business sectors.