Emirates NBD And Dubai Shopping Festival: A Fruitful Partnership
The relationship between the Dubai Shopping Festival (DSF) and Emirates NBD Bank goes back a long way. The foundation for that relationship was laid 18 years ago, right at the launch of the DSF, by Emirates Bank International (EBI), even before Emirates NBD emerged as a single entity after a merger between EBI and the National Bank of Dubai.
Emirates NBD is a Key Sponsor of DSF 2013 organised by Dubai Events and Promotions Establishment (DEPE), an agency of the Department of Economic Development.
Speaking to DEPE’s Media Centre about the group’s past and continuous association with the DSF, its growth and about its future plans and expansions. Saif Al Mansoori, Deputy Head, Group Marketing and Branding, at Emirates NBD (ENBD), said that the bank’s relationship with the festival has deepened over the years and is in line with ENBD’s goal to contribute to the development of trade and tourism activities in Dubai and the UAE.
On the performance of ENBD, he said that the bank delivered a strong set of financial results during the first nine months of 2012, with operating profits for the period up 87 per cent. ENBD’s goal in 2013 is to raise its revenue by 15 per cent and Al Mansoori said measures such as more aggressive lending to the SME sector, a transformation in their wholesale banking operations as well as extending the retail and wealth management streams, along with making the most of geographical expansion opportunities, would help the bank realize its goal.
He also spoke about Emiratisation and how ENBD was leading the banking sector in the employment and training of UAE nationals.
Over many years, Emirates NBD has been one of the main supporters of Dubai Shopping Festival. When did this relationship start?
Emirates NBD, has been supporting Dubai Shopping Festival since the event was first launched some 18 years ago. At that time, it was Emirates Bank International that started this partnership, being one of the oldest financial institutions in the country that helped support the national economy and encourage creative initiatives. At that time, Dubai Government’s leadership strategy aimed to transfer Dubai into the region’s main hub for trade, tourism and shopping activities and Dubai Shopping Festival was looked at as a key player in the new strategy. Furthermore, the bank foresaw the promising prospects of DSF and its positive contribution to the economy of Dubai and the UAE.
Following its merger with National Bank of Dubai and emergence of a new institutional identity in 2009, Emirates NBD has continued the relationship with DSF, which has proved - over the years - to be one of the most successful annual events that attract millions of visitors and local residents alike.
What are your strategic goals behind supporting the DSF?
By supporting Dubai Shopping Festival, we aim to contribute to the development of tourism and trade activities in Dubai and the UAE. Over the years, Dubai has managed to retain a firm place on the global tourism map, thanks to the Emirate’s innovative ideas and visionary leadership. In this context, the Dubai Shopping Festival is seen as an example of creativity and innovation, as it has proved over the past 18 years its ability to re-energise and develop the tourism and retail sectors in the country and the region.
Our partnership with the Festival reflects Emirates NBD’s essential role in the integrated economic progress of the Emirate throughout all its various sectors. As a leading national institution, our role is not limited to offering best retail and corporate banking services and solutions, but also contributing to various activities and initiatives that help shape the socio-economic environment of the Emirate in a fast evolving world.
Emirates NBD is keen to fund charitable efforts in Dubai in partnership with several organisations. How do you see the importance of these efforts in the long run?
As one of the largest financial services organisation headquartered in the UAE, Emirates NBD understands and accepts its inherent role within the community it serves. In addition to providing the full range of financial services, the bank is involved with various aspects of community and social development within the UAE, and continues to devise and support several leading charitable initiatives and organisations. We believe this close and continuous involvement with the community is very significant and enables us to underline our commitment to supporting all the developmental goals of the country.
Within the broader framework of the corporate social responsibility initiative, the bank has three main pillars of community development including sports, education and career development for youth and promotion of Emirati culture. The bank works closely with various sport and education-related organisations to offer the resident and national population of the country several opportunities for progress and individual growth. More importantly, our national and international partnerships enable the members of the community to access opportunities and have exposure on a global level and enable us to truly be an integral part of the community.
How did the bank perform financially during the last year?
During the first nine months of 2012, Emirates NBD has delivered a strong set of financial results with operating profits for the period up 87 per cent. This performance demonstrates the bank’s ability to take advantage of gradually improving economic conditions and deliver on a clear strategic course. While the outlook continues to be cautious, Emirates NBD’s strong levels of capitalisation and liquidity offer both resilience and flexibility for the future, and an ability to take advantage of selected growth opportunities.
Total income for the nine months ended 30 September 2012, amounted to Dhs7,706m, up 4 per cent compared with Dhs7,439m in the same period of 2011. Net interest income for the nine months ended 30 September 2012, reduced by 3 per cent to Dhs5,146m from Dhs5,329m in the comparable period of 2011. Non-interest income recorded a year-on-year increase of 21 per cent to Dhs2,560m for the first nine months of 2012, driven by higher investment securities income and a 5 per cent improvement in core fee income across most fee income categories.
Local banks have not been affected much by the bad economic conditions sensed in Europe. Can you explain that?
As a country that is considerably well integrated into the global economy, it is only natural that impact of global events will be reflected in the UAE’s economy. Having said that, the effects have been limited on the UAE economy, especially if you consider its active trade and flourishing tourism and services sectors.
The UAE banking system has shown flexibility in adapting to the global changes, by continuing with strong levels of capitalization and liquidity. Deposits, loans and lending have even shown some growth during last year. To regularize and streamline the banking sector and protect the customers, the UAE Central Bank has introduced more regulatory restrictions at a time when local banks continued to remove risk items from their balance sheets. As a result, the competition among banks has grown due to the growing pressure on margins.
The sector has been opened to more institutions and organizations and the banks have leveraged on this to extend their financing terms.
Emirate: Dubai
Date: Jan 28, 2013
Back