By Amr Adel
Manama – Mubasher: Bank Nizwa, Oman’s first Islamic bank, is preparing to register its first ever profits in 2016, said CEO Jamil Al Jaroudi.
In an interview with Mubasher during the World Islamic Banking Conference currently held in Bahrain, the top executive added that the bank’s losses would shrink by the end of this year.
The bank will reach the break-even point as of early 2016, revealed the CEO.
The Muscat-listed bank earlier logged OMR 4.23 million ($10.95 million) net loss for the first nine months of 2015, down 29% from OMR 5.96 million ($15.43 million) in the prior-year period.
Al Jaroudi also said that the bank is continuing with its expansion plan that target wider foothold in the local market over the first five years of operations.
The CEO also revealed that Bank Nizwa would open three to five new branches next year, in addition to adopting other alternative services like Internet banking, mobile banking and mobile ATM vehicles.
Since inception, the bank has offered OMR 200 million total financing, while deposits reached OMR 160 million. The bank’s market share currently stands at 26% of the Sultanate’s Islamic banking sector.
Bank Nizwa is not considering any mergers currently after it pulled back an offer to merge with United Financing Company, according to the CEO.
Al Jaroudi also said the bank may raise capital if it faces pressures on liquidity and is prepared to invest in any new sovereign sukuk.
Translated by Sayed Abdel Rahman
