Bahrain-based Khaleeji Commercial Bank (KHCB), a leading Islamic bank, held its annual general meeting (AGM) yesterday (March 15) in Bahrain, where it was approved to distribute five per cent of paid-up capital as bonus shares to shareholders.

This is equivalent to 50,000,000 new shares valued at BD 5 million ($13.1 million), a statement said.

Dr Ahmed Al Mutawa, chairman of KHCB said: “We are extremely happy with the positive results we have achieved for the year ending December 31, 2015. As we have announced a 109.8 per cent increase in net profits, despite the economic challenges and geopolitical developments coupled with the steep decline in oil prices, which impacted the economic growth potential of the region.”

“During the past financial year, the bank has indeed accomplished key milestones by expanding the local network, diversifying its business, introducing new products and expanding its customer base.  Our new strategy has greatly lead us maintain a strong liquidity and solid capital position. We shall continue to strive to remain pro-active and prudent understanding the challenges of the future,” he added.

The AGM also approved the transfer of BD701,460, equivalent to 10 per cent of the net profits to the statutory reserve, as well as to allocate BD131,314 as remuneration payment to the Board of Directors & BD1.18 million to retained profit.

Khalil Ismaeel Al Meer, KHCB’s chief executive officer, said: “The main focus was keeping in mind the key objectives of the new strategy, which resulted in outstanding results adding value to its customers and shareholders.

“In 2016, and in line with our new strategy, we have opened our 11th branch, located in Juffair Mall. The bank further revamped its EBanking application by adding extra security features and launching its new mobile banking application.”

“We began this year with  positivity and confidence to achieve more outstanding results. At the same time we are vigilant given the recent disturbance in the international markets. The local market, however, will remain the main focus of our strategy, as we look forward to providing more innovative services and products for our clients, and at the same time maintain our current operations and to make our services more accessible and expand through our various online channels,” Al Meer concluded. – TradeArabia News Service