Where the world comes to bank - Emirates NBD

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Review of Performance Review of Performance
H.E. Ahmed Humaid Al Tayer received JP Morgan Chase’s Chairman
year due to selective re-pricing of loan products while fee
income increased driven by continuing customer acquistion
resulting in a larger base, as well as rationalisation and
revision of fee structures.
Emirates NBD’s branch network, the largest in the country,
grew further in 2009 with the addition of 8 new branches,
taking the total to 102, and increasing the number of ATMs,
CDMS and SDMs to more than 600. Further progress was
made with the launch of new banking products such as
London and Jersey Offshore deposits, high yield deposits
for the UAE and KSA, Islamic deposits and Easy Saver online
savings accounts. In addition new insurance products were
introduced for life, motor, and critical illness, as well as an
enhanced Takaful range with NGI-Aviva.
All retail loan products delivered good profits in a
challenging environment. FinnOne was deployed
successfully across NBD branches to create a consistent
origination experience for customers across the Emirates
NBD network.
2009 saw the completion of the final milestone of the
system integration with the migration of NBD customers
onto the new core banking platform Finacle which was
completed on 21 November 2009. This date also marked
the launch of the new Emirates NBD brand which is being
rolled out across the branch network during the first quarter
of 2010.
Emirates NBD | Annual Report 2009
Private Banking
A key event during 2009 was the launch of the Emirates
NBD Private Banking business which now deploys over
50 relationship managers, recorded rapid growth and was
recently recognised as the “Outstanding Private Bank for the
Middle East” at the 19th Private Banker International Wealth
Summit and Awards. Further recognition of the division’s
success came from two additional awards: Best Private Bank
in the UAE from Euromoney and Best Private Bank, Middle
East from Arabian Business magazine.
Along with the increase in senior personnel, the private
banking business began the year with new investment and
structured product platforms and an enhanced trading
capability.
Three new offices were inaugurated during the year:
Dubai Festival City, Burj Al Arab Private Banking Centre and
Emirates NBD Head Office Private Banking Centre. A further
office will be established in Abu Dhabi during the first
quarter of 2010.
2010 will be a crucial year for the Private Banking business
as the team seeks to consolidate its market leading position.
Further recruitment will take place, the product offering will
be expanded and the high levels of customer service will be
Emirates NBD partnered with RTA to offer value-added services
further enhanced. In addition, we will launch our Singapore
booking platform and will also further expand our teams
in KSA and London. Our teams that serve the broader GCC
customer base will be strengthened through the year.
During 2010, growth of fee income will continue to be a key
focus for all CWM Businesses; we will expand our range of
insurance/investment products to customers (9000+ global
products across 49 countries).
Consumer Finance
Since its launch in 2008, Emirates Money has continued to
exceed expectations. In its second year of operations the
business is profitable and has grown its market share to over
10% of the unsecured loan market.
Emirates Money has three core products, all of which have
continued to develop. Personal loans to self-employed
consumers have continued to grow and this area of business
is being expanded into loans against PoS receivables where
the business has been able to utilise the data from Network
International. In addition to commercial vehicle financing the
Bank now offers fleet financing for companies, an area of the
market where the competition has no specific product. The
insurance products offered to customers have continued to
expand to include critical care and motor insurance.
Emirates Money has focussed on strengthening Risk
Management by introducing scorecards and investing to
further develop its risk and underwriting capabilities. Growth
of the fee income business will continue to be a key focus.
Emirates NBD Asset Management
Emirates NBD Asset Management had a successful 2009
with total revenue maintained at the same level as 2008,
despite a decline in assets under management due to global
market conditions. This was achieved through developing
innovative fee income sources within an extended product
offering to clients.
Most of the funds under management performed well. The
MENA Top companies fund returned 19.5%, compared with
the benchmark of 14.8%. The Sukuk fund yielded nearly 11%
in less than 9 months of existence (16% on an annualised
basis) and the MENA High income fund, which was launched
in the first quarter of 2009 yielded over 24% for the year.
To enhance the global distribution platform, the business
signed strategic alliances with several firms including Burj
Global Capital, Nexus, Zurich International and Friends
Provident International. Sales volumes through these
platforms are already showing good growth.
During 2010, we will revamp our sales and distribution
Emirates NBD announced the launch of its Skywards Credit Card Emirates NBD was recognised as ‘Best Retail Bank’ at the Middle East Banker Awards in Bahrain
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