Gulf Bank of Kuwait
 | |
| Public | |
| Industry | Banking |
| Founded | 1960 |
| Headquarters | Kuwait City, Kuwait |
| Website | www.e-gulfbank.com |
Gulf Bank is one of the largest leading banks in Kuwait.
About Gulf Bank
Gulf Bank - Kuwait is a premier bank in Kuwait with a broad offering of consumer banking, wholesale banking, treasury, and financial services. Gulf Bank (GBK) was listed on the Kuwait Stock Exchange (KSE) in 1984. The Bank has large network of 56 branches, with total assets of KD 5,438 million for year ended 31 December 2015.
Gulf Bank is currently ranked ‘A’ by the three leading international credit rating agencies. Prior to 2015, Gulf Bank was rated A+ by Fitch Ratings. In June 2015, the Bank received a rating upgrade from Standard & Poor’s to ‘A-‘ from “BBB+”. In November 2015, the Bank received a rating upgrade from Moody’s to ‘A3’ from “Baa1”.
Gulf Bank has been recognized with numerous awards, spread over different sectors of its work, including consumer banking, wholesale banking, products, performance, marketing, human resources, and its corporate social responsibility program. These include awards from respected international publications such as The Asian Banker, International Finance Magazine (IFM); International Banker; Banker Middle East, and Arabian Business Magazine, among others.
Gulf Bank is strongly committed to giving back to Kuwait and society through its corporate social responsibility program. The Bank supports numerous events focusing on youth, education, health and fitness, helping the underprivileged, women’s empowerment, as well as promoting Kuwait’s heritage and culture.
History
Gulf Bank was founded in 1960 and it commenced business operations in a rented flat on Fahad Al-Salem Street in Kuwait City with a total of 50 employees and a capital of 24 million rupees, equivalent to KD 1.8 million (USD 6 million). The Bank received permission from the Kuwait municipality in 1961, to construct its headquarters and was initially granted permission to build up to four floors and an optional basement. Over the years, additional floors were constructed in the headquarters, but care was taken to maintain the original architecture and design of the building whereby maintaining its historic look and keeping to its early roots. The Bank's Headquarters is considered to be one of Kuwait City’s landmarks.
The Bank's logo and branch concept design is strongly inspired by Kuwait's seafaring heritage. The decor of the customer area and furnishings have been specially designed in the shape of a dhow and fitted with complementary accessories matching the intrinsic nautical theme. Customers entering the branch experience the warmth and spirit of true Kuwaiti heritage coupled with an efficient and high-quality banking service environment, as well as exceptional customer service.
Latest bank results
Gulf Bank's first half 2016 financial results announced a net profit of KD 20.7 million for the first half of 2016, an increase of 11% or KD 2 million over the same period last year. Operating profit, excluding general provision expenses improved significantly from KD 32.6 million to KD 41.9 million, an increase of 29%.
Loan quality continues to improve as credit costs of KD 3.2 million (specific provisions plus write-offs less recoveries) were booked in H1 2016, down 85% from KD 22.0 million during the same period last year. The bank’s total loan loss reserves on the balance sheet stood at KD 302 million. General provisions comprise nearly KD 200 million or 66% of the total provisions.
The Bank successfully completed the issuance of KD 100 million in Tier 2 capital in May 2016, pushing its Capital Adequacy Ratio under Basel III to 18.3% against the minimum regulatory requirement of 14.0%.