Dubai Islamic Bank (DIB) has delivered a resilient performance for the first half of 2026, reporting gross revenue of AED 12.4 billion, up 10 percent year on year, supported by growth across both funded and non-funded income streams. The bank also recorded continued expansion in financing, stronger asset quality and solid capital ratios, reinforcing the strength of its diversified Islamic banking franchise.
Revenue Growth and Resilient Profitability
DIB maintained healthy earnings momentum during the first half of the year:
- Gross revenue: AED 12.4 billion (+10% YoY)
- Operating profit: AED 4.8 billion (+6% YoY)
- Pre-tax profit: AED 4.3 billion
- Pre-tax return on tangible equity: approximately 20%
The performance was supported by continued revenue diversification, disciplined cost management and a low cost of risk.
Financing and Deposits Continue to Grow
The bank reported steady balance sheet expansion across its core businesses:
- Net financing assets: AED 281 billion (+7% YTD)
- Net financing assets and Sukuk investments: AED 366 billion (+4% YTD)
- Customer deposits: AED 327 billion (+2% YTD)
- Total assets: AED 423 billion (+2% YTD)
DIB originated AED 43 billion in gross new financing during the first half, reflecting sustained demand across consumer and wholesale banking.
Asset Quality and Capital Continue to Strengthen
The bank further improved its risk profile while maintaining robust capital and liquidity:
- Non-performing financing (NPF) ratio: 2.4%
- Cost of risk: 28 basis points
- Cash coverage ratio: 122%
- CET1 ratio: 13.0%
- Capital adequacy ratio: 16.1%
- Liquidity Coverage Ratio (LCR): 140%
- Net Stable Funding Ratio (NSFR): 105%
These metrics highlight DIB’s disciplined risk management and strong balance sheet resilience.
Management Commentary
His Excellency Mohammed Ibrahim Al Shaibani
Director-General of His Highness The Ruler’s Court of Dubai and Chairman of DIB
Director-General of His Highness The Ruler’s Court of Dubai and Chairman, DIB
“The first half of 2026 unfolded in a challenging operating environment, with geopolitical developments, shifting rate expectations and market confidence continuing to shape decision-making across global markets. Against this backdrop, the UAE remained resilient, supported by economic diversification, disciplined policy execution and the depth of its financial system. Dubai’s latest economic data provides a clear example of this resilience, with GDP reaching AED 232 billion in Q1 2026, up 2.4% year-on-year.
For the banking sector, such conditions reinforce the importance of sound governance, balance sheet strength and responsible capital allocation. DIB’s performance in the first half reflects these priorities. Net financing assets grew 7% year-to-date to AED 281 billion, while customer deposits increased 2% year-to-date to AED 327 billion, demonstrating the confidence the Bank continues to command from customers and the market.
The Board remains focused on ensuring that DIB grows with discipline and not merely for scale. In an evolving cycle, preserving asset quality, liquidity and capital strength is as important as expanding the franchise. The Bank’s results show that growth has been delivered on a healthy footing, supported by prudent risk management and a business model anchored in Shariah-compliant banking.
The successful issuance of DIB’s USD 1 billion Additional Tier 1 Sukuk during the period was another important marker of confidence. It reaffirmed the Bank’s access to global capital markets and the strength of its credit profile, while supporting DIB’s capacity to pursue future growth from a position of resilience.
As the UAE continues to advance its economic ambitions and strengthen its global standing, DIB remains committed to supporting this progress. Our priorities remain clear: to preserve the strength of the Bank, support the real economy, deepen customer trust and continue advancing Islamic finance as a competitive and responsible model for modern banking.”
Dr. Adnan Chilwan
Group Chief Executive Officer of DIB
Group Chief Executive Officer, DIB
“DIB delivered a strong first-half performance in 2026, with gross revenue increasing 10% year-on-year to AED 12.4 billion. Growth was supported by both funded and non-funded income streams, reflecting the breadth of earnings across the franchise and continued demand for our Shariah-compliant products and services.
Profitability remained robust. Operating profit rose 6% year-on-year to AED 4.8 billion, supported by revenue growth, disciplined cost management and continued operating efficiency. Pre-tax profit reached AED 4.3 billion, while post-tax profit remained stable at AED 3.7 billion. Pre-tax return on tangible equity remained close to 20%, reflecting the quality of our earnings and our focus on returns, not simply balance sheet growth.
Balance sheet growth was measured and well supported. Net financing assets grew 7% year-to-date to AED 281 billion, driven by sustained financing demand across consumer and wholesale banking. Total assets reached AED 423 billion, while customer deposits increased to AED 327 billion, supported by customer acquisition and growth in CASA balances.
Asset quality continued to improve, an important outcome in the current environment. The non-performing financing ratio improved to 2.4%, cost of risk remained low at 28 bps and cash coverage stood at 122%. These indicators reflect disciplined underwriting, active portfolio management and the quality of the Bank’s financing book as we continue to grow.
Capital and liquidity remained strong, with CET1 at 13.0%, CAR at 16.1%, LCR at 140% and NSFR at 105%. The successful issuance of our USD 1 billion Additional Tier 1 Perpetual Non-Call 6-Year Sukuk further strengthened our capital base and demonstrated investor confidence in DIB’s credit fundamentals and strategy.
Our priorities for the second half are clear. We will continue to grow with discipline, diversify revenues, maintain asset quality and invest in capabilities that improve efficiency and customer service. With a resilient balance sheet and focused strategy, DIB is well placed to continue supporting customers, businesses and the wider economy through Islamic banking solutions that remain relevant, responsible and commercially competitive.”
Business and Strategic Highlights
DIB continued to strengthen its core businesses and strategic initiatives during H1 2026:
- Consumer banking portfolio expanded 12% YTD to AED 86 billion, while personal finance volumes grew 30% YoY.
- Corporate financing assets increased more than 5% YTD to AED 186 billion, with participation in over USD 20 billion of Sukuk issuances and nearly USD 6 billion of syndicated financings.
- Digital banking registrations rose 16% YoY, with 83% of new CASA customers onboarded digitally and 98% of customers transacting through digital channels.
- DIB successfully issued a USD 1 billion Additional Tier 1 Perpetual Non-Call 6-Year Sukuk, strengthening its capital base.
- The bank originated AED 3.1 billion in sustainable finance and AED 2.1 billion in sustainability-linked finance, while launching its Green Concierge platform to support clients’ sustainability transition.
