Tuesday, May 11, 2010

National Bank of Kuwait - Dabdoub Did Not Resign



AlQabas has an article in which the Chairman of NBK, Muhammad Abdul Rahman Al-Bahar, denies that Ibrahim Dabdoub has resigned from the bank.

And here's one from AlWatan in which Abu Shukri himself denies the report.  AlW says that resignation supposedly occurred in an exchange of emaisl.

This is a strange story and I'm guessing there's more here than meets the eye.  

The typical Kuwaiti investor pattern of making a small fortune by destroying an even larger one?

Perhaps one of our Kuwaiti readers will comment.

BTW when you see Abu Shukri resign that will be a sign to very very carefully re-evaluate your holdings of NBK shares.   His shoes are going to be very hard to fill.

2 comments:

Advocatus said...

Story is that NBK wants to cut costs by firing expats - saying Kuwaitis are more than capable of running the bank. Dadoub apparently fighting against this.

I think a high level expat left fairly recently (Head of International?)going to Arab Bank (?) - story is that Dabdoub had told her that he was going to be leaving soon and she would be the only expat at very senior level.

Abu 'Arqala said...

Advocatus

Thanks.

The nice thing about NBK is that it has stood against the tide of irrational exuberance over the years. I think that Abu Shukri deserves a lot of credit for avoiding getting caught up on the periodic waves of irrational exuberance.

And as demonstrated in more "highly developed" West, bankers' herd mentality and silliness knows few if any national boundaries.

The trick will be to continue to manage NBK as an exceptional bank. The bank that can "say no". It will be quite easy to join the ranks of the rest of the Kuwaiti financial institutions. And there are lots of "seasoned" managers out there -- a recent Chairman and GM of one bank with a revolving board door - make that two banks - who could accelerate that process.