This study is designed to present an overview of the lending operations of Islamic Bank (Al-Amanah Islamic Investment Bank of the Philippines). The research subjects were fifty two (52) officials of Al-Amanah Islamic Investment Bank of the Philippines, out of 58 who returned the questionnaires. The researcher utilized the historical and descriptive methods. Interviews conducted with two selected officers of the Islamic Bank and the questionnaires answered by the respondents are the primary source of gathering data. Based on the data gathered, the main problems encountered by the Islamic Bank are lack of Bank's capital, lack of Bank's resources and uncontrollable expenditures.