The Board of Directors of Dubai Islamic Bank  decided to convert Deyaar Development — a Private Stock Company and a subsidiary of Dubai Islamic Bank — into a public joint stock company.
In its meeting yesterday, the board passed a resolution to this effect in accordance to the UAE Commercial Law No. (8) of 1984 and its amendments thereof.
Meanwhile, the Annual General Meeting of the bank yesterday approved the financial results for the year ending December 31, 2006. The assembly has also approved the distribution of a bonus share of 7 per cent and a cash dividend of 35 per cent.
Dr. Mohamed Khalfan bin Kharbash, UAE Minister of State for Finance and Industry and Chairman of DIB, said: "DIB benefited from the UAE's economic prosperity, which recorded a phenomenal growth rate supported by a strong performance of all its sectors."
"DIB's operations for 2006 were in line with the strategic objective and role set by DIB to support the national economic development, the prosperity of UAE and enhance the country's position as an international hub. These objectives were achieved through the financial solutions provided by DIB. A range of innovative products and services have helped large government organisations and semi government entities as well as private organisations to benefit from DIB's deals," he added.
Dr. Kharbash concluded: "DIB's achievements in 2006 include cementing our position as the world's premier Islamic finance house with a string of transactions, culminating in the world's biggest $3.52 billion Sukuk for the Nakheel Group." The bank reported Dh 1.56 billion in net profit for the year ended December 31, 2006 rising by 47 per cent compared to Dh1.06 billion for the year ended December 31, 2005.
The profit for 2006, including depositors' profits, stood at Dh 3.3 billion, an increase of 65 per cent compared to Dh 2 billion for the year ended December 31, 2005.
Total assets in 2006 reached Dh 64.5 billion, an increase of 50 per cent compared to Dh43 billion in 2005.
Financing and investment operations also delivered strong growth, with total investment and financing assets including investments in sukuks stood at Dh38.8 billion, an increase of 28 per cent over last year. Customer deposits also showed an aggressive growth of 43 per cent over last year reaching Dh47.7 billion in 2006.