MANAMA: Alubaf Arab International Bank saw its profit surge to $24.9 million in the first nine months of the year, an increase of 29 per cent over the same period in 2011. Net profit earned in the third quarter was $8.5m, an increase of 8.5pc and 1.2pc over the first and second quarter respectively.

The bank recorded net operating income of $29.7m for the nine-month period, a 28pc increase compared with the same period the previous year. A significant contribution was from net interest income, which increased by 32pc and income from fees and commission which rose by 20pc. A reduction in the cost-to-income ratio to 16pc also contributed to the increase in net profit.

Alubaf maintained a strong capital adequacy ratio at 47.8pc, well above regulatory norms and sustained an annualised average return on equity at 11pc.

The Alubaf board of directors has announced the appointment of Hasan K Abulhasan as the chief executive of Alubaf-Bahrain, effective from October 1.

Mr Abulhasan has been appointed from Libyan Foreign Bank, a major shareholder of Alubaf-Bahrain. He has more than two decades of experience in banking industry and has held various senior top management positions in Libyan Foreign Bank and its associates in Europe.

Alubaf's new headquarters at Seef district is in its final phase of completion and the bank plans to move to its new location by the year-end.