Al Baraka Banking Group, Bahrain

Al Baraka Banking Group is considered a pioneer in Islamic Banking with one of the largest banking groups worldwide, managing 12 Subsidiaries and providing the following types of products:  

• Investment Products
• Commercial Banking
• Retail
• Treasury services

Vision
‘We believe society needs a fair and equitable financial system: one which rewards effort and contributes to the development of the community.’

Mission
‘To meet the financial needs of communities across the world by conducting business ethically in accordance with our beliefs, practicing the highest professional standards and sharing the mutual benefits with the customers, staff and shareholders who participate in our business success.’

Al Baraka Banking Group is a leading bank with Standard and Poors long and short term credit ratings of BBB- and A-3 respectively. It is listed on the Bahrain Stock Exchange and NASDAQ Dubai. The authorised capital of Al Baraka Banking Group is US$1.5 billion, while the total equity amounts to about US$1.7 billion.

Although the Al Baraka Banking Group is relatively new, its antecedents go back almost 30 years. The Group has come about as a result of a consolidation of various interests of Shaikh Saleh Abdullah Kamel in 10 Islamic banks, with the objective of adding strength and purpose to his vision of creating a global Islamic banking group.

Al Baraka Banking Group is committed to the society and its needs. Through sponsoring educational and social projects that boost the living conditions of the local community, we make all possible efforts to apply one of the important philosophical pillars of Islamic banking: the concept of “construction of land”, which means adding tangible value to assets.

Islamic principles are followed in all countries that Al Baraka Banking Group operates in. They are:

First:
Investments that contribute to the production of alcoholic beverages, tobacco or weapons, or are associated in any way with gambling, pornography or the abuse of children, women and minorities, or any other morally questionable practices are forbidden.

Second:
All Islamic banks and financial institutions refrain charging or paying of interest as Islam prohibits it. Instead, Al Baraka Group’s banking subsidiaries, like all Islamic banks; accept deposits on an investment basis whereby depositors share with the bank in the actual results of the realisation of their investments. Financing is provided to businesses in turn mainly on the basis of installment sale, leasing or equity participation. Nevertheless, customers share with their depositors the profit received from the partnership between investors and entrepreneurs in which both the risks and the rewards are shared. Returns on invested capital are based on profits actually generated rather than predetermined interest rates.

Third:
All contracts entered into by Al Baraka Group’s banking subsidiaries, and all their relations with businesses and depositors, must comply with the ethical standards of the Shari’a.

PARTNERSHIP
Our shared beliefs create strong bonds that form the basis of long-term relationships with customers and staff.

DRIVEN
We have the energy and perseverance necessary to make an impact on our customers’ lives for the greater good of society.

NEIGHBOURLY
We value and respect the communities we serve, our doors are always open, our customers always experience a warmhearted, hospitable welcome and accommodating service.

PEACE OF MIND
Our customers can rest assured that their financial interests are being managed by us to the highest ethical standards.

SOCIAL CONTRIBUTION
By banking with us, our customers make a positive contribution to a better society - their growth and our growth will benefit the world around us.

The Kingdom of Bahrain is home to more than 400 banks and financial institutions. In face of such heavy competition, Al Baraka Banking Group continues to grow at an enviable pace with more than 300 branches in 12 countries within the MENA region and around the globe. Not surprising, when we work to create a win-win atmosphere. Based on Shari’a principles – Partnership and Ethics, we ensure that all parties involved in a transaction receive an added value. Our dedication holds true even when a large opportunity with a lucrative return has to be missed. Our intention is to grow worldwide while gaining confidence of our investors. Through technology and innovation, the network is growing with a prospective of 350 branches by end of 2010 and 500 branches worldwide by 2014.

Also, Al Baraka Banking Group has established Islamic banking principles in England, setting up the Islamic Bank of Britain and the European Islamic Investment Bank of which we hold shares. We are encouraged to build our next branch in France as we have seen demand grow.

Individuals, globally, come to us for three main reasons, first because they are satisfied with our products, second because of our service quality and third because of the good returns on our transactions. And we are simply happy that our efforts have been recognised. We are honored and humbled to receive the title of the World Islamic Banking Conference (WIBC) Islamic Banker of the Year in both 2004 and 2009. After all it is our job to contribute to the community and to promote Bahrain as the financial centre of the region.