Dubai Bank raises capital to Dh1.5b for growth plans

Dubai: Dubai Bank is set to triple its capital to Dh1.5 billion to support its ambitious growth plans.

This strategic move coincides with the bank's conversion to a Sharia-compliant financial institution at the start of 2007, and will provide the basis for the bank's growth and prosperity for years to come.

The capital increase, which was agreed upon by the shareholders in the final quarter of 2006, has actually been injected into the business by the existing shareholders, Dubai Holding (holder of 70 per cent) and Emaar (holder of 30 per cent).

Mohammad Al Shaibani, chairman of Dubai Bank, said: "The capital increment clearly shows our shareholders' unswerving commitment to Dubai Bank.

"It is crucial for the bank's growth. This will involve, among others, comprehensive offerings of best-of-breed Sharia-compliant products and services that will cater to the needs of our retail, corporate and investment banking customers.

"The capital raised is being utilised to assist our evolution into one of the leading financial institutions in the UAE. For example, it is propelling the major branch network expansion currently taking place and which will be unveiled soon," Al Shaibani added.

With the realisation of its plans for the year-to-date and the confidence that it is on track to meet the projections laid out in its future plans, Dubai Bank is aiming to further establish itself as a pioneer in the UAE's Islamic banking sector and as an icon of Dubai's success.