Gulf Finance House Commercial Bank (GFHCB), the wholly-owned real-estate-focused on-shore subsidiary of Gulf Finance House B.S.C. (c), on Monday announced that it is all set to move into new larger premises in Zamil Tower to support its strategic expansion plans and chart further growth.
The bank has posted a net profit of BD1.56 million in the its first six months of its operations on the back of the success of its unique Shari’a-compliant investment products which has elicited enthusiastic response from local and regional investors.
Commenting on the rise in the net profit and the bank’s success in six months since its establishment at the end of December 2004, Dr. Fuad Al-Omar, Chairman of GFHCB said: “The robust results of GFHCB in six months after it started its operations reflect the confidence investors have placed in the bank in a short span of time since its establishment. GFHCB’s success also endorses the GFH Group strategy that a unique Islamic commercial bank focused on the booming real estate market will offer investors a sterling opportunity to take part in the growth of the sector.”
GFHCB, established with a capital of over BD30 million, has been set up with a mandate to undertake a wide range of banking activities, including project financing, direct investment, structured finance and syndication, asset management, property management and advisory services.
“Our vision is to be a leading domestic and regional Islamic Bank, providing unique, innovative and high quality Shari’a compliant products, services and investment opportunities for our clients. The investment instruments from GFHCB will unlock the potential of the regional real estate market in line with the bank’s core strategy and commitment to maximize returns to investors and shareholders,” Dr Al-Omar said.
“The bank’s strategic approach to investing in the local and regional market is linked to the trends of the time enabling investors to reap the dividends of the economic growth of the Kingdom of Bahrain and the region. The bank’s mission is to participate in the economic development of Bahrain, GCC and the MENA region, maximizing client and shareholder value,” he added.
Commenting on the bank’s strategic expansion and the new base, Mr. Ebrahim Hussain Ebrahim, General Manager of GFHCB said: “It has been an exciting six months for us and we are confident of further growth in the next half as we have identified our growth priorities and opportunities. GFHCB’s move into new premises is as scheduled when it was set up last year and will catalyse our expansion strategy for Bahrain and the region.”
Mr. Ebrahim said the bank’s assets in the second quarter of 2005 stood at over BD51 million compared to BD30.2 million at the end of December 2004, an increase of 69.3 per cent.
The total shareholders equity of the bank at the end of the first half of the year stood at BD31.36 million compared to BD29.8 million in December 2004. The bank’s total operating income during the period was to the tune of BD2.40 million.
“We are committed to our shareholders and strive hard to realize the expectations of our clients ensuring them attractive returns. We are grateful to our shareholders for the support and continuous encouragement. We are also deeply obliged to the support and encouragement of the Bahrain Monetary Agency (BMA) and GFH,” he said.
“Being part of the GFH Group, GFHCB has the advantage of an inherent reputation as a one-of-its-kind entity which is constantly innovating to provide better investment products and services to its clients at attractive rates,” Mr. Ebrahim said.
“Our maiden portfolio of investment products launched within two months of the bank’s establishment – the Amlak, Al Hareth and Mudarabah Investment Account – has evoked tremendous enthusiasm from investors, contributing to the healthy performance in the last six months. GFHCB also played a major role in the financing of Bahrain Financial Harbour (BFH) Al Marfa’a Al Mali Sukuk.”
“At GFHCB, we have a clear focus and well-aligned strategies to move forward and expand our reach further in the local and regional market. We are also gearing up to take our presence in other markets of the region and have already made a beginning with GFHCB appointed as the lead financier of Jordan Gate, the first phase of the prestigious project, Royal Metropolis in the Hashemite Kingdom of Jordan,” Mr. Ebrahim added.
