Bahrain-based BMI Bank has posted a net profit of $400,000 in the first quarter of the year compared to a net loss after provisions of $4.5 million for the same period last year.

Total assets stood at $1.8 billion and rose by 20 per cent over the $1.5 billion recorded at the end of March 2011.

The bank maintains an excellent capital adequacy ratio at above 19 per cent.

In addition, the bank witnessed healthy growth in both its loan portfolio and customer's deposits as a result of several key reward-based promotions and services that were rolled out during the period.

'I am pleased with our first quarter financial results, the third consecutive net quarterly profit for our bank, achieved against a tough operating environment which we believe will remain difficult and challenging,' said chief executive Jamal Al Hazeem.

'Our performance reflects the positive momentum achieved across all our business units within Bahrain, Qatar and Seychelles as well as at our associate in Kenya, Gulf African Bank, which is 21.33 per cent owned by BMI Bank, through the support of both existing and new customers,' he said.

'In line with our core strategy of developing a stronger retail business within Bahrain, we launched several reward based promotions on our bouquet of products including a swipe to spin and win promotion on our range of credit cards.

'Our priorities for the business going forward remain unchanged,' he said.

'Backed by our excellent capital position and strong liquidity we will continue to invest in our business, brand and people to consistently deliver innovative products and services as we grow our branch and ATM network, further consolidating our position as a strong Bahraini bank,' he added. – TradeArabia News Service