RAKBANK successfully concluded its Annual General Meeting (AGM) today at its headquarters in the emirate of Ras Al Khaimah, where the distribution of a 30% cash dividend of the Bank’s paid-up capital to shareholders for the financial year ended 31 December 2016 was approved. 

During the meeting, attendees unanimously approved all agenda items including the Bank’s balance sheet and profit and loss statements for the financial year ended 31 December 2016. Additionally, the AGM appointed Auditors for 2017 and determined their remuneration as well as approved the remuneration of the Board of Directors. Furthermore, during the AGM, the appointment of Mr. Kantic Dasgupta as a board member was ratified to replace the resigned board member, Mr. Allan Griffiths. 

RAKBANK Chairman, HE Mohamed Omran Alshamsi, presented a review of the year ended 31st December 2016. “The drop in 2016 profit was a result of the Bank’s significant increase in provisions due to our legacy SME loan portfolio, where the global and regional economic headwinds directly impacted the local economy and the performance of our business customers. While 2016 presented many obstacles, we also made substantial progress in the implementation of our three-year strategy, particularly regarding the diversification of our business. We are placing greater emphasis on optimizing synergies within the Group to increase efficiency while supporting the diversification of our revenue streams. By doing so, we aim to better serve our customers by offering them a seamless experience across the Bank’s diverse products and services through industry-leading service excellence, innovation, and simplicity. Furthermore, the new business mix, which includes lower margin and lower risk products, is expected to contribute to a steadier more sustainable growth.”   

RAKBANK CEO, Peter England, said: “The Bank’s diversification strategy that commenced in early 2015 is showing exceptional results with solid growth coming in from both our Wholesale Banking and Treasury unit. We have recognised the need to move away from the Bank’s traditional legacy approach, achieving greater diversity in our balance sheet and income base to minimise the risk of focusing on specific sectors. The Bank effectively merged its online and mobile banking platforms to deliver a seamless digital experience, called RAKBANK Beyond, and we will continue to introduce innovative products and services as well as strengthen our branch and ATM network across the country. We have made significant progress in revamping our Personal Banking segments and have made substantial improvement in our revitalised Credit Card’s business. Additionally, the Bank revolutionized the market for home lending in the region with RAKBANK’s widely acclaimed ‘Home in One’ product that was successfully launched in August 2016.”