National Bank of Ras Al-Khaimah (Rakbank) said its net profit for 2010 jumped 38 per cent to Dh1.02 billion ($277.7 million) compared to Dh726.2 million the previous year.

Rakbank said it has successfully surpassed the billion dirham profit mark in 2010 as it continued to focus on good opportunities in its chosen lending segments of personal, auto, and small and medium enterprise (SME) loans, in addition to credit cards and mortgages.

“Rakbank’s record results at a time of sluggish market conditions are a testament to the Bank’s consistent business strategy and robust performance,” said Graham Honeybill, Rakbank general manager.

“The profitability is a result of the bank’s prudent policies and underwriting processes, and more importantly, the successful foundation in service excellence, which has helped to grow business by retaining and expanding our valued customer base,” he noted.

During 2010, Rakbank was recognised from among 21 national and foreign banks as the ‘Best Overall Bank’ in customer service in the UAE for the fifth consecutive year in an independent study of the UAE retail banking industry conducted by service specialists Ethos Consultancy.

“As Rakbank continued to lend in 2010, we also took advantage of the significant business opportunities identified in the first six months of the year to increase lending volumes,” Honeybill added.

As a result of these opportunities, net interest income increased by 30.9 per cent over 2009 to Dh1.61 billion.

The total advances as at 31st December 2010 increased by 22.1 per cent over the previous year to reach Dh16.4 billion, while total assets jumped by 25 per cent to close at Dh21.4 billion, he added.-TradeArabia News Service