MUSCAT, August 8: Bank Nizwa, the leading and the fastest-growing Islamic Bank in the Sultanate of Oman , recorded growth as reflected in its financial results for the first half of 2022.
Dedicated to bringing about a positive change in the economic landscape, Bank Nizwa continues its strategic roadmap of shaping the future of Islamic finance in the country by continuously recording outstanding performance in its financial results.
As a testament to its progress, Bank Nizwa has turned in a commendable financial performance by registering a six per cent growth in net profit. The bank’s total assets also increased by 13 per cent over time, reaching RO 1,493 million in June 2022 from RO 1,322 million in June 2021.
The gross financing portfolio improved by 12 per cent to RO 1,207 million, while the total customer deposit portfolio rose by 16 per cent to RO 1,211 million. This increase in financing and deposit portfolio in retail and corporate businesses has supplied the bank with the impetus it needs to maintain its growth trajectory. This momentum will allow it to attain its long-term goals.
Commenting on the bank’s extraordinary performance, Shaikh Khalid al Khalili, Chairman of Bank Nizwa said, “The start of 2022 was promising, supported by rising international crude oil prices and global recovery as a consequence of stronger economic activities. Bank Nizwa delivered a positive financial performance throughout the first half, increasing net profit by six per cent. This is due to the bank’s ability to conform to economic realities, such as the competitive market in which we operate, as well as a solid balance sheet.”
Bank Nizwa witnessed sustained development in its core businesses, where it has been investing to create additional value for its clients and shareholders. The Islamic bank recorded a 45 per cent increase in shareholder equity, including the successful completion of RO 70 million right issue exercise and a 12 per cent increase in operating income, driven by healthy activity across both its wholesale and retail businesses and cost control. This is due to the successful implementation of their 2025 strategy, which calls for a continued focus on growing the balance sheet in a controlled manner, diversifying revenue streams, controlling expenses, improving margins, enhancing the bank’s digital capabilities and expanding products and client base.
“At Bank Nizwa, we believe Islamic banking serves a higher purpose – and we continue to fulfil ours, enriching the lives of our customers and communities. From the depths of the difficult period last two years to the recovery that is now emerging, we have helped facilitate the government programmes that remain a lifeline for so many households and businesses; and we remain committed to providing ongoing support for our communities,” added Shaikh Khalid.
The Islamic Banking in the Sultanate of Oman witnessed rapid growth and progress, becoming significant in a short span of time. The total assets of the Sultanate of Oman’s Islamic banks and windows grew by 9.4 per cent year-on-year to hit the RO 6 billion mark in the first half of 2022, where Bank Nizwa is at the forefront of this remarkable growth of Islamic banking and continues its success journey by achieving positive financial results. In addition, the bank has devised its 2025 strategy for growth and has been committed to providing Sharia-compliant innovative financial solutions, to offer customers a unique banking experience, leading the way forward for the Islamic banking industry to grow.
Positioning itself as a robust, progressive, and customer-centric Islamic banking institution, Bank Nizwa has established a remarkable reputation as the Sultanate Of Oman’s premier Sharia-compliant bank, leading it to earn the ‘Most Innovative Islamic Bank’ Award by International Finance Magazine.
While playing a critical role in propelling the bank to new heights, the bank was awarded the ‘Best Bank in Mid-Size Banks’ and received the ‘Excellence in Mobile Banking’ award at the New Age Banking Summit (NABS) 2022.
