Shamil Bank is a leading Islamic commercial and investment bank based in Bahrain. The Bank provides a diverse range of Sharia-compliant products and services that cater to the financing and investment needs of individuals and institutions.

Strategically, the acquisition by Ithmaar Bank of the remaining 40 per cent of Shamil Bank shares, which were publicly held, further strengthened the synergy between the two institutions, whose activities have always complemented each other.

Shamil Bank performed well during 2007, posting a net profit of $73.5 million, while its contribution to Ithmaar’s profits stood at $46 million, a $25.2 million jump compared to last year. Total assets rose 40 per cent to $1 billion, from $780 million at the close of 2006. Total funds under management increased to $782 million from $755 million.

With the opening of two new branches and the installation of three additional ATMs during 2007, the Bank’s network now comprises nine branches and 18 ATMs across the Kingdom of Bahrain. In addition, a marketing agreement was signed with Ithmaar Bank associate Solidarity to sell its car insurance products as a value-added feature to the Shamil Car Finance campaign. New commercial banking products launched during the year include an innovative car financing package, and the Nibrass Financing Scheme for small-to-medium enterprises (SMEs), which is a groundbreaking joint initiative with the Kingdom’s Labour Fund.

The Bank launched three new investment funds during the year: the capital-protected Shamil Navigator Modaraba, with exposure to two profiles of diversified assets comprising global Islamic equities and commodities; the $90 million Shamil Bosphorus Modaraba that will invest in residential and mixed-use real estate  developments in Turkey; and Aldar Fund, which provides investors with access to alternative asset investments globally.

In addition, the Bank successfully implemented its new core banking system in 2007. This has resulted in improved business processes, reduced costs and greater responsiveness to customers.