VOL. XXXI

NO. 35

6-JUNE-1988

Financial and Banking News

REGIONAL BANKING

FGB Loses 10% of Equity

The small Ajman-based First Gulf Bank (FGB) has posted a Dh22.8mn ($6.2mn)loss for 1987 and is the first of the smaller banks in the UAE to declare aloss. FGB's loss came about as a result of an increase in loan loss provisioningfrom Dh38mn (16.8% of total loans) in 1986 to Dh64.4mn (30% of total loans) in1987, although the bank's pre-provision income also declined by 25% to Dh24.7mn.Underlying this...