Regional Winner: Ahli United Bank

Ahli United Bank, one of the largest banks in Bahrain, has expanded rapidly in the past few years as part of a clearly defined strategy to become the primary regional bank in the Gulf area. AUB now has a presence in five countries in the region and plans to create a branch network in all eight nations

bordering the Gulf. Its Future Bank joint venture with Bank Melli Iran and Bank Saderat Iran has three branches and an offshore banking unit in Bahrain and is about to open a branch on Kish Island, a free-trade zone in Iran. Future Bank recently was granted permission to invest euro100 million in companies listed on the Tehran Stock Exchange and plans to launch the first Iranian country fund. In December 2005 AUB acquired a 49% interest in Commercial Bank of Iraq, one of the largest private banks in the country. Last August AUB increased its holding in the Bank of Kuwait and Middle East to 75% from 48%. In August 2004 AUB acquired a 40% stake in Ahli Bank in Qatar and signed a 10-year renewable agreement to manage the bank. AUB's net profit rose 55% to $165 million in 2005. The bank reinforced its capital base with a $100 million subordinated floating-rate note issue in December 2005. AUB is the only Middle East-based bank with a regional presence.

Adel A. El-Labban, group CEO, managing director

www.ahliunited.com

BAHRAIN

Ahli United Bank

Bahrain is well established as the leading regional banking center in the Middle East. AhIi United Bank is one of the kingdom's leading banks, with $14 billion in assets. It provides wealth management, retail, corporate finance, treasury and private banking services to clients throughout the Gulf region. In January 2006 AUB signed an agreement with the Arab Trade Financing Program for a $30 million trade-credit facility to support exports. For many years AUBs London subsidiary has served European exporters seeking access to Middle Eastern markets. It also offers Islamic mortgages in the United Kingdom.

Adel A. El-Labban, group CEO, managing director

www.ahliunited.com

BOTSWANA

Standard Chartered Bank Botswana

Standard Chartered Bank Botswana, the country's oldest bank, operates a network of 11 branches and five agencies serving both consumer and corporate clients. The consumer banking division provides services such as wealth management, credit cards, auto and home loans and small business lending and advice. The wholesale banking division offers cash management and trade and credit facilities, as well as access to global markets using the network of its London-based holding company. The bank is an active participant in the communities in which it operates and has sponsored programs to combat AIDs and malaria.

Nigel R. Jones, managing director

www.stanbic.com

EGYPT

Commercial International Bank (CiB)

Egypt's largest private-sector bank, CIB is a universal bank with a complete range of financial services. It has invested in technology and training of personnel to position itself to take advantage of the country's fast economic growth. The bank posted record earnings in 2005, with a 20.6% growth in profits. In February 2006 a group of US private equity firms led by Ripplewood Holdings purchased an 18.7% stake in CIB from the National Bank of Egypt. The private-equity investors vowed to back CIB's expansion in Egypt and regionally. CIB has five subsidiaries offering life insurance, stock brokerage, auto loans, leasing and asset-management services. CIB has more than 100 branches in Egypt and nearly 300 ATMs.

* Hisham Ezz Al-Arab, chairman, managing director

www.cibeg.com

ETHIOPIA

NIB International Bank

NIB International Bank, founded in 1999, is Ethiopia's newest yet most widely held bank. With a network of 11 branches and an agency at the airport in Addis Ababa, NIB International has upgraded its core technology and provides efficient service. While it is smaller than some of its competitors, it is growing more quickly. The bank offers insurance and micro-finance lending activities through affiliates. Befitting the "international" in its name, NIB offers proficient handling of letters of credit and international remittances. It maintains a network of correspondent relationships with banks around the world.

Legesse Tickeher, general manager

www.nibbank.com

GAMBIA

Trust Bank

Banjul-based Trust Bank offers a full range of corporate and retail banking services and still finds time to take an active role in the social development of the 10 communities in which it operates. The bank sponsors health, education and sports programs for Gambian youth. Its banking services include letters of credit and guarantees, foreign exchange, international money transfers and cash management. Trust Bank's shares trade on the Ghana Stock Exchange.

Pa Macoumba Njie, managing director

www.trustbank.gm

GHANA

Ghana Commercial Bank

Ghana Commercial Bank, based in Accra, has 60 branches spread throughout the country and is one of Ghana's largest employers. It offers a range of corporate, retail and investment services, including cash management, foreign exchange and global payment and trade services. The bank has trimmed its non-performing loans and has launched a new division to focus on small and medium-size enterprises.

Lawrence Newton Adu-Mante, managing director

www.gcb.com.gh

GUINEA

International Commercial Bank

International Commercial Bank is focusing on small companies and exporters as the source of future growth in Guinea, which has undeveloped natural resources, including bauxite, diamond, gold and iron-ore deposits. The bank has invested in core banking technology to improve customer service and has pared back its non-performing loans. It offers foreign remittance and trade finance services, as well as online banking connections among its branches.

Sashidharan Nair, CEO

www.icbank-guinea.com

JORDAN

Arab Bank

Jordan-based Arab Bank will have equity capital of $5.4 billion following completion of its current share issue on May 2. Arab Bank is the largest bank operating in the Palestinian territories. The group's earnings rose 54% to a record $503 million in 2005, with the profits of its Jordan-based branches up 97% from a year earlier. The bank provides corporate and retail banking, as well as asset-management and project financing services. Arab Bank increased its lending activities by 12.8% last year. Return on equity rose to 14% from 10% a year earlier.

Abdel Hamid Shoman, chairman, CEO

www.arabbank.com.jo

KENYA

Barclays Bank of Kenya

Barclays Bank of Kenya, established in 1916, is the market leader in retail banking in this East African nation of more than 30 million people. With assets of more than $1 billion, it is the largest of UK-based Barclays' banks in Africa. Shares in Barclays Kenya are listed on the Nairobi Stock Exchange, but some 68.5% of the shares of the locally incorporated bank are held by the UK parent. Last year Bar clays became the first bank to launch Islamic banking products in Kenya. The bank has 61 branches across the country, and it is seeking to boost its corporate banking activity.

Adan Mohamed, managing director

www.barclays.com/africa/kenya

KUWAIT

National Bank of Kuwait

National Bank of Kuwait's earnings rose 37% last year to a record $705 million, and return on equity reached 36.6%.The highly profitable bank, the largest in Kuwait, is the highest-rated in the Middle East. It began operations last year at its 75%-owned Credit Bank of Iraq and opened four new branches in Kuwait. NBK's assets reached $21.2 billion at the end of 2005. The bank has a London subsidiary, as well as branches in New York, Paris, Singapore and Bahrain and a string of representative offices in Asia. The group also comprises NBK Suisse, based in Geneva, and holds a majority stake in National Bank of Kuwait in Lebanon and a 20% interest in International Bank of Qatar.

Ibrahim Dabdoub, CEO

www.nbk.com

LEBANON

BLOM Bank

BLOM Bank, Lebanon's largest bank, reported a 50% rise in earnings in 2005 to $137 million. The bank's international expansion continued with the acquisition of 97% of Egyptbased Misr Romanian Bank, which has eight branches in Egypt and five offices in Romania. BLOM has 44 branches in Lebanon, and another four are being set up. It also has the largest international branch network of any Lebanese bank, with branches in London, Paris, Geneva, and Dubai and Sharjah in the United Arab Emirates. BLOM has two branches in Jordan, one in Cyprus and six in Syria.

Naaman Azhari, chairman, general manager

www.blom.com.lb

MOROCCO

Attijariwafa Bank

Attijariwafa Bank, Morocco's largest bank, has a 25% share of the country's banking market. It has the biggest branch network in Morocco, with about 500 outlets and more than 1 million customers. Attijariwafa Bank recently joined with Santander of Spain to acquire a 33.5% stake in Banque du Sud, the seventhlargest bank in Tunisia. Attijariwata also has operations in Algeria and is the largest bank in the Maghreb region of northwest Africa.

Khalid Oudghiri, president-director general

www.attijariwafabank.com

NAMIBIA

Standard Bank Namibia

Standard Bank Namibia, the country's largest commercial bank, is a subsidiary of Standard Bank Group of South Africa, which has operations in 17 African countries and 21 countries outside ot Africa. Windhoek-based Standard Bank has operated in Namibia for more than 90 years. It has 19 branches and 17 agencies in the country and is expanding its ATM network.

Theofelus Mberirua, managing director

www.standardbank.com.na

NIGERIA

First Bank of Nigeria

First Bank of Nigeria, the country's largest bank, posted a 24.5% increase in earnings for the nine months ended December 31, 2005.The bank has 387 branches across the country and also offers Internet banking. Later this year First Bank is expected to merge with Ecobank Transnational to create a pan-African banking group with a presence in 15 countries. First Bank also has a subsidiary in London and a representative office in Johannesburg. It plans to launch a venture capital subsidiary, FBN Capital, which will unite its investment banking capabilities with those of its recently acquired banks, FBN (Merchant Bankers) and MBC International Bank.

Jacobs Moyo Ajekigbe, managing director, CEO

www.firstbanknigeria.com

OMAN

BankMuscat

BankMuscat, Oman's leading bank, with assets of more than $5.2 billion, has a network of 19 branches in the sultanate and a representative office in Dubai. It also has a strategic stake in Centurion Bank of Punjab in India and owns 49% of BankMuscat International, an independent bank in Bahrain, over which it exercises management control. BankMuscat International, established in January 2005, is owned by the investment arms of various Gulf countries and intends to become a regional bank with both corporate and retail customers.

AbdulRazak AIi Issa, CEO

www.bankmuscat.com

QATAR

Qatar National Bank

Qatar National Bank, the largest bank in Qatar, controls about 45% of the total assets of the country's banking system. QNB's earnings rose 86% in 2005, as loans grew 18.4% and deposits increased 23.1%. The bank introduced its first Islamic banking services last year through a specialized branch. It operates 32 local branches and offices and has international branches in London and Paris. QNB has taken a 25% stake in Mansour Bank, a newly formed bank in Iraq. Its London-based wealth management company Ansbacher was recently granted permission to operate in the Qatar Financial Center.

AIi Sharif Al-Emadi, acting CEO

www.qatarbank.cotn

RWANDA

Bank of Commerce, Development and Industry

Bank of Commerce, Development and Industry, which was established in 1995, offers corporate and retail banking services. It is the secondlargest bank in Rwanda, with a 30% market share. BCDI finances a large share of the country's coffee and tea exports, which are Rwanda's biggest foreign exchange earners. The bank was granted a $10 million loan last year by the US Overseas Private Investment Corporation to increase lending for home mortgages and small businesses. BCDI was the first bank in Rwanda to install a network ofATMs.

NK Passwell Shapi, managing director

www.bcdi.co.rsv

SAUDI ARABIA

Samba Financial Group

Riyadh-based Samba Financial Group posted record earnings of $380 million for the first quarter of 2006, an increase of 75% from the same period in 2005. Return on equity was 45.1%. The bank cited its broad revenue base and the introduction of new investment products as two of the reasons for its success. The fast growth in Saudi Arabia's economy also played a part. The bank managed some of the largest initial public offerings in the kingdom last year, including those for mobile-phone operator Etihad Etisalat, newly created Islamic bank Al Bilad andYanbu National Petrochemicals.

Eisa Al-Eisa, managing director, CEO

www.samba.com

SOUTH AFRICA

Standard Bank

Standard Bank's earnings rose 23% in 2005, as South Africa's economy continued to exhibit strong growth, with increased consumer spending and relatively low inflation. Most consumer-lending categories in the bank's home market benefited from lower interest rates. Mortgage loans in South Africa increased by 32%, and card balances grew by 55%. Internationally, loan growth was 45%. Standard Bank plans to continue to expand its activities in emerging markets outside of South Africa. In December 2005 a consortium led by Standard Bank signed an agreement with Bank of America to buy BankBoston Argentina. Meanwhile, Standard Bank has invested about $185 million in its existing banking operations in Nigeria in order to meet a new minimum capital requirement and to position itself to make new acquisitions should the opportunities arise. Standard Bank operates in 38 countries, including 17 African nations.

Jacko Maree, CEO

www.standardbank.co.za

TUNISIA

Banque de Tunisie

Relatively small Banque de Tunisie is the only consistently profitable bank in Tunisia, a country with a poorly developed credit culture and a high level of government control of banking system assets. Banque de Tunisie has avoided some of the problems with non-performing loans that have plagued the majority of Tunisia's 44 banks, including 19 commercial banks. Banque de Tunisie is an independent bank with a 20% equity stake held by Cr?dit Industriel et Commercial of France. It is well capitalized and makes carefully considered lending decisions.

Faouzi Belkahia, president

director general

UGANDA

Stanbic Bank Uganda

Stanbic Bank Uganda is part of a subSaharan African network of banks owned by Standard Bank of South Africa. Stanbic Bank has 67 branches in Uganda, where customers may now pay their water bills and avoid the long lines at the water board. In addition, Stanbic has installed an ATM network across the country. Meanwhile, Standard Bank Kenya has launched a money-transfer service in southern Sudan to serve businesses in Kenya and Uganda that are active in oil-rich regions of Sudan.

Keith Mbathi, managing director

www.stanbicbank.co.ug

UNITED ARAB EMIRATES

National Bank of Dubai

National Bank of Dubai's earnings for 2005 increased 18.9% as the UAE economy grew by 6.7%, boosted by high oil prices. While its net interest margin contracted, the bank's loan portfolio rose 68% and the return on average capital increased to 22.6%. NBD experienced solid growth across all of its core business areas, including corporate, retail and wealth management. The bank plans to open at least two new domestic branches this year and is looking for opportunities to expand in the Gulf region, possibly in Qatar, Kuwait or Oman. NBD already has a branch in London and a representative office in Tehran.

R. Douglas Dowie, CEO

www.nbd.com

ZAMBIA

Standard Chartered Bank Zambia

Standard Chartered Bank Zambia, the country's oldest bank, is celebrating its 100th anniversary this year. Part of London-based Standard Chartered Bank, it is also one of the largest banks in Zambia, with a market share of about 30%. Standard Chartered Zambia has 14 branches across the country and was among the first banks to introduce ATMs in Zambia. It offers trade finance, cash management, treasury, corporate lending and consumer banking services.

Thomas Aaker, managing director

www.standardchartered.com/zm

ZIMBABWE

Stanbic Bank Zimbabwe

Stanbic Bank Zimbabwe, part of South Africa-based Standard Bank Group, has 16 branches and an ATM network with about 22 outlets in Zimbabwe. The bank's earnings for 2005 rose 546% to 1.4 triUion Zimbabwe dollars from 218 billion Zimbabwe dollars in 2004. The average inflation rate for 2005 was 267%, and the year-over-year rate was 586%. As a result of inflationary pressures, Stanbic's operating costs increased by 347% last year. Despite the rising costs, the bank managed to achieve a significant increase in volumes, with revenue rising to 3 trillion Zimbabwe dollars from 541 billion Zimbabwe dollars in 2004.

Pindie Nyandoro, managing director

www. stanbicbank. co.zm

-Gordon Plait