Commercial Bank of Kuwait (CBK) reported improved earnings this week but challenges remain as the lender tries to rebuild from damage incurred in the global financial crisis.
The bank posted a profit of 19.6 million dinars in the third quarter, against a loss of 2.5m dinars in the same period last year, a regulatory filing on the Kuwait Stock Exchange showed yesterday. But only a few thousand shares changed hands after the release, with the stock trading up slightly more than 1 per cent to 920 fils a share as investors recognise the bank has not yet fully recovered.
Elena Sanchez, a banking analyst based in Dubai for the Egyptian investment bank EFG Hermes, said the results were in line with EFG Hermes's expectations.
CBK took a larger hit in the financial crisis than most of its peers. It was heavily exposed to many of the Kuwaiti investment companies that went under. As a result, "they haven't been able to focus on growth in their loan book or international expansion", Ms Sanchez said.
CBK is also a creditor to Awal Bank in Bahrain,controlled by Maan al Sanea and his Saad Group, which recently filed for bankruptcy protection.
Awal Bank last week requested an extension to the deadline to compile its schedule of assets and liabilities for the case.
According to its petition filed with the US bankruptcy court in Manhattan, Awal has between US$50m and $100m of assets and more than $1 billion of liabilities.
The bank withdrew from ratings by Standard & Poor's (S&P) in September, which could make it difficult to raise debt in the future. In its final report, S&P raised the possibility that the Kuwait government would provide support for the bank.
"This year should be the last of the high provision charges the bank should take and then we should see some profitability improving by 2011," Ms Sanchez said.
halsayegh@thenational.ae
A timeline of the Historical Dictionary of the Arabic Language
- 2018: Formal work begins
- November 2021: First 17 volumes launched
- November 2022: Additional 19 volumes released
- October 2023: Another 31 volumes released
- November 2024: All 127 volumes completed
TEACHERS' PAY - WHAT YOU NEED TO KNOW
Pay varies significantly depending on the school, its rating and the curriculum. Here's a rough guide as of January 2021:
- top end schools tend to pay Dh16,000-17,000 a month - plus a monthly housing allowance of up to Dh6,000. These tend to be British curriculum schools rated 'outstanding' or 'very good', followed by American schools
- average salary across curriculums and skill levels is about Dh10,000, recruiters say
- it is becoming more common for schools to provide accommodation, sometimes in an apartment block with other teachers, rather than hand teachers a cash housing allowance
- some strong performing schools have cut back on salaries since the pandemic began, sometimes offering Dh16,000 including the housing allowance, which reflects the slump in rental costs, and sheer demand for jobs
- maths and science teachers are most in demand and some schools will pay up to Dh3,000 more than other teachers in recognition of their technical skills
- at the other end of the market, teachers in some Indian schools, where fees are lower and competition among applicants is intense, can be paid as low as Dh3,000 per month
- in Indian schools, it has also become common for teachers to share residential accommodation, living in a block with colleagues
Dust and sand storms compared
Sand storm
- Particle size: Larger, heavier sand grains
- Visibility: Often dramatic with thick "walls" of sand
- Duration: Short-lived, typically localised
- Travel distance: Limited
- Source: Open desert areas with strong winds
Dust storm
- Particle size: Much finer, lightweight particles
- Visibility: Hazy skies but less intense
- Duration: Can linger for days
- Travel distance: Long-range, up to thousands of kilometres
- Source: Can be carried from distant regions