You are on page 1of 2

Bank Islam Brunei Darussalam Berhad (BIBD) is Bruneis largest bank and flagship Islamic financial institution.

It was announced on 7th July 2005, by the Ministry of Finance that His Majesty Sultan Haji Hassanal Bolkiah Muizzaddin Waddaulah, Sultan and Yang Di-Pertuan of Negara Brunei Darussalam has consented for the proposed merger of the Islamic Bank of Brunei Berhad (IBB) and the Islamic Development Bank of Brunei Berhad (IDBB). Therefore, a Vesting Order was obtained from the High Court of Brunei Darussalam on the 1st of May 2006, effectively transferring all assets and liabilities of both IBB & IDBB and its subsidiary companies to Bank Islam Brunei Darussalam Berhad (BIBD). Thus BIBD was fully operations on 3rd July 2006. With majority government shareholding, it is also committed to Brunei Darussalam National Vision 2035 of attaining developed nation status. The core values of BIBD are to ensure that its personnel maintain high ethical standards in carrying out their responsibilities and adopt Shariah standards in accordance with best industry practices in offering its products and services to its customers. Hence, to ensure the core values of Islamic finance BIBDs own Shariah Advisory Body with five members in which are expertise in Shariah. Therefore, before any new product or service is introduced to customers, it must be approved by two different Shariah authorities-first, BIBD's own Shariah Advisory Body, and then the Shariah Financial Supervisory Board of Autoriti Monetari Brunei Darussalam (formed by Section 3 of the Shariah Financial Supervisory Board Order 2006). When BIBD reports the year's activities at the Annual General Meeting, the Shariah Advisory Body Report is an integral part of its submission. Most of BIBD products are using the shariah concepts of Al-Bai Bithaman Aajil (BBA) for BIBD Personal financing and Childrens education, while Home financing are using either Al-Bai Bithaman Aajil (BBA) or Musyarakah Mutanaqisah. BIBD has more than 14 branches located strategically in all the four districts; 11 branches located in the Brunei Muara District, 1 Branch in the Tutong District, 2 located in the Kuala Belait District and 1 located in the Temburong District. In furtherance of its obligation to provide the best services and facilities to its customers, BIBD has the single largest distribution of ATM networks in the country situated at all BIBD branches and offsite locations in all the districts. Furthermore, there are three subsidiary companies under it, which are BIBD At-Tamwill Berhad, which provides fixed deposits, vehicle hire purchase and consumer product financing, Syarikat Takaful Brunei Darussalam, which provides general and family takaful services, and BIBD Securities, which provides

Islamic shares listed on the Kuala Lumpur and Singapore stock markets, as well as brokerage services for both local and foreign shares. BIBD was the first institution in Brunei to launch mutual funds domiciled in Brunei, which is 30 % of Syarikat Takaful Brunei Darussalam owned by Affiliate Company, while BIBD At-Tamwil Berhad and BIBD Securities are wholly owned subsidiaries. In 2011, BIBD helped arrange transactions totalling more than USD 2b, including as co-lead manager for The Republic of Indonesia.s USD 1b sukuk issuance and as co-lead manager for Kuveyt Turks USD 250m syndicated murabaha financing facility, which was awarded Turkey Deal of the Year by Islamic Finance News. In 2009, BIBD was a mandated lead arranger for the Islamic Development Banks USD 850m sukuk issuance as well as a joint lead manager for General Electric Capital Corps USD 500m sukuk issuance, which was awarded Best Sukuk Deal by Euromoney. BIBD is a full-service bank, providing Islamic financial services to all customer segments. Consumer Banking contributes the majority of the banks revenue (65%), with Corporate Banking contributing 19% and Institutional Banking contributing 13% (all figures 2011).