Al Baraka Bank Tunisia, a subsidiary banking unit of Al Baraka Banking Group, announced that first quarter net income jumped by 100 per cent to reach four million Tunisian dinars ($2.1 million) compared to the same period in 2014.

Total assets also increased by 14 per cent, financing and investment portfolio by 15 per cent and customer deposits by 15 per cent at the end of first quarter compared to the end of 2014.

The bank's financial statements for the first quarter of 2015 shows that the total income stood at 11m Tunisian dinars, increasing by 22 per cent compared to 9 million Tunisian dinars for the same period in 2014.

This growth reflects the bank's success in diversifying and increasing sources of income through providing products and services in line with clients needs from individuals and companies.

After deducting operating expenses, which increased by 18 per cent, net operating income reached 5 million Tunisian dinars in the first quarter of 2015 compared to 3 million Tunisian dinars in the same period of 2014, reflecting an increase of 67 per cent.

After allocating for provisions taxation, net income for the first quarter of 2015 increased to 4 million Tunisian dinars ($2.1 million) compared to 2 million Tunisian dinars for the first quarter of 2014, recording a big jump of 100 per cent.

On the balance sheet side, total assets of Al Baraka Bank Tunisia stood at 1.4 billion Tunisian dinars ($708 million) as at the end of March 2015, an increase of 14 per cent compared to the end of 2014.

Total financing and investments portfolio grew by 15 per cent to reach 1.1bn Tunisian dinars ($563 million) during the same period.

Customer deposits reached 1.2bn Tunisian dinars ($615 million), growing by 15 per cent at the end of March 2015 compared to the end of 2014. The bank's equity remained almost unchanged from the end of December 2014's level at 166m Tunisian dinars ($85 million) as at the end of March 2015.

Al Baraka Bank Tunisia chairman Abdul Elah Sabbahi said the good results confirm the success of the important step taken by the bank in the transformation to an integrated bank providing full banking services, including retail and wholesale banking services, and various financial and investment products, as well as launching of an ambitious plan for geographic expansion and strengthening of human and technical infrastructure of the bank, in addition to the generous support provided by the parent company, Al Baraka Banking Group.

"All these factors provide the bank significant opportunities for growth and expansion during the next phase."

Al Baraka Banking Group president and chief executive Adnan Ahmed Yousif said that Al Baraka Bank Tunisia ranks pioneer in the field of Islamic banking in Tunisia and the Maghreb.

"The bank was established since 1983 as a non-resident bank. It obtained a licence in 2013 to convert its activity from non-resident bank to a resident bank offering all Islamic banking services.

"Over the past year, the bank opened five new branches, including three exchange bureaus.

"It was up to the first quarter of this year, the bank opened another two new branches, bringing the number of branches to 15 branches. According to the five-year plan for expansion, the bank intends to establish a network of 41 branches by 2019."

General manager Fraj Zaag said that Al Baraka Bank Tunisia, as onshore banking institution, was able to launch six new financing and deposit products, ranging from motor vehicle, home improvement and household goods financings to house purchase savings schemes combined with finance and Umra and Haj savings schemes introduced for the first time to the Tunisian market.

"It plans to unveil other products in the current year, including students' loan and study accounts.

"Similarly, its current ATM network will be expanded in 2015 to 70 machines, dealing with local currency transactions, with 58 dealing machines in foreign exchange." – TradeArabia News Service