DIB told to reduce dividend by a third
Dubai Islamic Bank cut its dividend by a third - to 10 % - after the Central Bank denied approval for its payout to shareholders. But according to Kashif Moosa, the bank's head of investor relations, the regulator gave no reason why it had advised Dubai Islamic Bank (DIB) to cut its dividend.
The bank's shares fell 1.3 per cent to Dh2.19 each in trading after the announcement.
Last year, a consultation with the IMF recommended the UAE rein in dividend payments in its banking sector to prevent difficulties in managing the after-effects of Dubai's debt crisis.