Key facts

Name Bank Islam Brunei Darussalam Berhad (BIBD)
Business Full-service Islamic financial institution
Total assets BND 6.4b At year end (2013, audited)
Total equity BND 1.1b
Profit before tax and zakah BND 141.9m
Capital adequacy ratio 24.3%
Shareholders Brunei Ministry of Finance, Sultan Haji Hassanal Bolkiah Foundation, Fajr Capital Limited, and some 6,000 individual Bruneian investors
Subsidiaries BIBD At-Tamwil, BIBD Securities, Syarikat Takaful Brunei Darussalam (affiliate)
Head office Lot 159, Jalan Pemancha, Bandar Seri Begawan, BS 8711, Negara Brunei Darussalam
Website www.bibd.com.bn

History

BIBD is Brunei's largest bank and flagship Islamic financial institution. It was formed by the 2005 merger of two earlier local Islamic financial institutions, Islamic Bank of Brunei and Islamic Development Bank of Brunei. The Islamic Bank of Brunei was established in February 1981 as the Island Development Bank and was converted to the first full-fledged Islamic bank in Brunei Darussalam in January 1993. With majority government shareholding, it is also committed to Brunei Darussalam's National Vision 2035 of attaining developed nation status.

Financial highlights

BIBD is Brunei Darussalam's premier financial institution. At year-end 2012, the total Group assets stood in excess of B$ 6 billion, with a net profit after Zakat and taxation of B$ 119 million. With a Group tier 1 capital of above B$ 1,025 million and an adequacy ratio of 25.7%, BIBD has significant capacity to expand its business. BIBD maintains conservative provisioning and write-off policies, and provides a consistent dividend stream to shareholders.

Market reach

BIBD is headquartered in Bandar Seri Begawan, with fourteen branches at strategic locations in Brunei's four districts, and has the largest network of ATMs in the country. BIBD leads the Brunei market in assets, financings and deposits.

BIBD leads the Brunei market in assets, financings and deposits. It is also the preferred payroll bank for Government employees.

Services

BIBD provides a wide array of Islamic financial services to all customer segments. Consumer Banking contributes the majority of the Bank's revenue (53%), with Corporate Banking contributing 14% and Institutional Banking contributing 26%.

BIBD was the first institution in Brunei to launch mutual funds domiciled in Brunei.

  • At-Tamwill

    A wholly-owned subsidiary, mainly provides hire purchase and fixed deposits.

  • BIBD Securities

    A wholly-owned subsidiary, provides brokerage services for both local and foreign Islamic shares listed on the Kuala Lumpur and Singapore stock markets.

  • Syarikat Takaful Brunei Darussalam

    It is 31% owned by BIBD. It provides general and family takaful services through its subsidiaries Takaful Brunei Am and Takaful Brunei Keluarga.

  • Landmark transactions

    In July 2012, BIBD became the sole arranger for an Ijara financing facility worth US$ 83 million to Brunei Gas Carriers Sdn Bhd, to re-finance an LNG vessel along with being one of the mandated lead arrangers to successfully close a US$ 170 million and a US$ 184 million long-term Ijara financing facility for the construction and deployment of two LNG vessels.

In 2009, BIBD was a mandated lead arranger for the Islamic Development Bank.s USD 850m sukuk issuance as well as a joint lead manager for General Electric Capital Corp.s USD 500m sukuk issuance, which was awarded Best Sukuk Deal by Euromoney.

To date, BIBD is the only Bruneian bank to have won international mandates.

People

BIBD Group has over 700 staff and its governance is rooted in global best practices.

Corporate Social Responsibility

BIBD actively supports the welfare of Bruneian society through organizing and supporting research and development activities, youth empowerment programmes and social causes. BIBD has also rapidly increased its efforts in this domain, where active volunteers in 2012 for all CSR activities reached 480 personnel, consisting of BIBD employee and members of the public. This showed an increase of 140% of volunteers from the year before.

Contacts

MD'S Office Muhd Azim bin Hj Abd Razak azim.razak@bibd.com.bn
MD'S Office Ak Ashrin bin Pg Md Zaidi ashrin.zaidi@bibd.com.bn
Media Dk Rodzi Pg Hj Abd Rahman corporate.communications@bibd.com.bn
Media Abang Shairazi Abang Zainuddin corporate.communications@bibd.com.bn