For Immediate Release 						January 25, 2000


TAIB BANK ANNOUNCES RECORD PROFITS FOR ITS 20TH YEAR

"TAIB Bank E.C. has posted a Net Profit of US$ 14 million in 1999, the highest profit achieved by the Bank so far, and which is 39% higher than the figure for 1998", said Mr. Iqbal G. Mamdani, Vice Chairman and CEO, in a statement issued here today.

"TAIB's Board of Directors will be recommending a cash dividend of 6% of paid-up capital, and additionally a bonus share issue of 1 share for every 20 shares, for approval by the shareholders in March", he added.

Operating Revenues of US$ 41.7 million and Net Operating Income of US$ 25 million for 1999 are the highest achieved by the Bank so far. The Bank has been continuously able to increase its non-interest income, based on the strategic shift away from loans a few years ago. Non-interest income thus reached a record level of 77% of the Total Operating Income.  Notable in the all-round revenue growth, are the 113% growth in Fees and Commissions and the 55% growth in Securities Trading income. Investments in Real Estate and Private Equity transactions continued to perform well. During the year the Bank successfully exited from two US Real Estate investments and one Information Technology related private equity investment with considerably high returns for the Bank and its investors.
  
On its Funds too, TAIB recorded significant achievements. In terms of Net Asset Values per share, Everest Fund, the India-dedicated fund, took the pride of place with a year-on-year growth of 204%. The American Explorer Fund, which focuses on the US technology sector, and the Golden Horn Fund in Turkey, notched up handsome increases of 74% and 69% respectively in their Net Asset Values over the same period.

TAIB's subsidiaries performed well in 1999 despite the political and economic uncertainties that prevailed in the countries of our focus for much of the year. TAIB YatirimBank and TAIB Capital Corporation, in Turkey and India respectively, were quickly able to seize the opportunities presented by the positive economic developments in the second half of 1999. In Kazakhstan, TAIB Kazak Bank, achieved its full-fledged banking status during the year.

"The Group's Total Assets at the year-end grew 27% over the previous year, to exceed a half a billion US Dollars for the first time, and stood at US$ 512 million", Mr. Mamdani added.
 
"The results of 1999 bear testimony to our continuing focus on our investment strategy, on our cautious approach in structuring transactions, and on asset quality", said Mr. Mamdani. "The Bank and its subsidiaries are poised to build upon these successes and we look forward to further high points in our growth in the coming year", Mr. Mamdani concluded.

TAIB Bank E.C., an international Investment Bank based in Bahrain and listed on the Bahrain Stock Exchange, focuses on business activities in the regional markets of the Gulf, the Indian Sub continent, Turkey and Central Asia.

For more information, please contact the press coordinator, Mr. Ali Khunji (Tel: +973 533334 Fax: +973 533174)