Doha - QNA
Buoyed by good second quarter performance, Qatar Islamic Bank (QIB) has posted a net profit of QR 339 Million, a growth of 16.4% over the first quarter of 2013. This figure, however, is 2.9% below the corresponding period in 2012, a Qatar Exchange notification said. The total shareholders equity reached QAR 11.2 billion at the end of the second quarter 2013, enabling the Islamic financial institution to maintain good capital adequacy ratios. Total income for 2013 first half reached QAR 1.49 Billion based on strong growth in investment income which was offset by lower financing income and fees due to margin compression. Stringent cost controls by QIB has ensured only 1% increase in the first half operating costs comprising of staff costs, deprecation and other expenses. QIB\'s total assets stand at QR 74 Billion, an increase by 17.2% compared to 2012 second quarter. Financing activities have strongly rebounded in the second quarter to reach QR 41.4 Billion, up 9% compared to Q1 2013 and 15.6% compared to June 2012. Deposits increased QR 46.3 Billion, a strong growth of 14.1% compared to Q1 2013 and 38.3% compared to June 2012, this enabled QIB to effectively fund its asset growth. Ratings agency Fitch affirmed QIB\'s long term Issuer Default Rating (IDR) of \'A\' with a stable outlook during the second quarter of 2013. Standard & Poor\'s Rating Services have also maintained QIB\'s Counterparty Credit Rating at \'A-\' with a stable outlook which reflects the strong position in Qatar\'s rapidly expanding Islamic banking market, favourable operating environment and strong capitalization.