Al Baraka Bank Pakistan Limited Starts Operation.
Al Baraka Islamic Bank Pakistan (AIBP), the branch operations of Al Baraka Islamic Bank (AIB) Bahrain, a majority owned subsidiary of Al Baraka Banking Group (ABG) Bahrain, and Emirates Global Islamic Bank (Pakistan) have successfully merged their operations under the name of Al Baraka Bank Pakistan Limited (ABPL). The Head office will be located in Karachi.
ABPL will have assets in excess of Rs. 50billion, a workforce of 1400 professionals and a network of 89 branches in 36 cities and towns across the country. ABPL has commence operations on 29th of October 2010 and consequently, all branches of AIBP and Emirates Global Islamic Bank will be re-branded as ABPL.
The merger, a first in the Islamic Banking sector in Pakistan, positions ABPL to play an important role in further growing an industry which has witnessed tremendous growth over the last 5 years. Substantial capital resources, combined with a nationwide branch network will enable ABPL to provide a full range of Islamic banking services, supported by the experience and expertise of the parent company, ABG.
The operations of AIBP dates back to 1991, and at the time of merging its operations it had 29 branches across Pakistan, an asset base of Rs. 31billion and profit before tax of Rs.168million.
Emirates Global Islamic Bank began its operations in Pakistan in 2007 with principal shareholders being Emirates Investment Group (through Emirates Financial Holding Company) and Al Rajhi Investment Group (through Mal Al Khaleej Investment Company).
At the time of merger, EGIB had a 60 branch network located in 31 cities and towns throughout the country.
AIB is a subsidiary banking unit of ABG, Al Baraka Banking Group is a Bahrain Joint Stock Company listed on Bahrain and NASDAQ Dubai stock exchanges. It is a leading international Islamic bank with Standard & Poorâ€™s long and short-term credit ratings of BBB- and A-3 respectively. Al Baraka Banking Group offers retail, corporate / investment banking and treasury services strictly in accordance with the principles of the Islamic Shari'a. The authorised capital of Al Baraka Banking Group is US$1.5 billion, while total equity amounts to about US$1.7 billion.
The Group has a wide geographical presence in the form of subsidiary banking Units and representative offices in twelve countries, which in turn provide their services through more than 400 including Pakistan branches. These banking Units are Jordan Islamic Bank, Al Baraka Islamic Bank â€“ Bahrain, Al Baraka Bank Pakistan Limited, Banque Al Baraka D'Algerie, Al Baraka Bank Sudan, Al Baraka Bank Limited - South Africa, Al Baraka Bank Lebanon, Al Baraka Bank Tunisia, Al Baraka Bank Egypt, Al Baraka Turk Participation Bank - Turkey, Al Baraka Bank Syria and a Group representative office in Indonesia and Libya (under formation).