27 March 2008
Bahrain-based BankMuscat InternationalBankMuscat International yesterday launched a new investment plan that combines fixed deposits with high quality investment options.

The initiative by the bank's private banking unit is expected to help in growing customers' savings by delivering 'one of the best returns on time deposits with shorter tenors'. The product entails that the customer commits a minimum of $100,000 with BMIBMI, 50 per cent of which goes to the deposits in one of the 1, 3 and 6-month tenors available. The rest is invested into a high quality portfolio of best performing open-ended mutual funds, the bank said. BMIBMI has short listed 166 top performing & high rating mutual funds from various world class fund houses with the aim of offering greater choice to customers in terms of underlying fund and portfolio construction, it added "At a time when interest rates have bottomed out at two per cent to three per cent, this unique offering will provide our customers with the opportunity to get a return of close to 9 per cent for a one-month deposit," the BMIBMI Chief Executive Officer, Andrew Bainbridge said.

"BMIBMI is a strong player in the private banking market and we work on developing products and services that combine exciting rates with top class investment options which provides an excellent opportunity for high net worth individuals, trusts and estates, as well as corporates," he said.

This product offering is valid until April 30, the bank said. BMIBMI's total equity (share capital and reserves) rose to BD133.5 million, an increase of 247 per cent from BD38.5 million at the end of 2007 thanks to a fresh injection of BD95 million from existing shareholders.

Early this month, BMIBMI received a licence from the Central Bank of Seychelles to set up an offshore banking venture. BMIBMI will manage BMIBMI Offshore Bank, a joint venture with locally incorporated Nouvobanq, the largest bank in Seychelles. It also received a license to open its first overseas branch in Qatar this year. BMIBMI was set up in association with some of the strongest and respected financial institutions from across the GCC region, including Bank Muscat (Oman), Royal Court Affairs (Oman), Overseas Investment (Bahrain), Istithmar World Capital (UAE) and Global Investment House (Kuwait).

By K. V. S. Madhav Senior Business Reporter

© Bahrain Tribune 2008