Record-Breaking Profits for Omani Banks in 2024: $1.36 Billion
According to a report released on January 19, 2025, seven Omani banks listed on the Muscat Stock Exchange achieved record-breaking financial performance in 2024. Their combined net profit reached RO522.4 million (approximately $1.36 billion), reflecting a 21.9% increase compared to 2023 (RO453 million or approximately $1.18 billion).
Key Factors Driving Profit Growth
- Increase in operational income driven by higher net interest income and Islamic financing revenue.
- Successful bank mergers, such as the merger between Sohar International Bank and HSBC Oman.
- Growth in loans, deposits, and investments in technology and human resources.
- Improved risk management and reduced credit losses.
Top Bank Performances
Sohar International Bank:
- Net Profit: RO100.2 million (around $260.5 million); 42% growth compared to 2023.
- Operational Income: Increased by 50% to RO245 million (around $637.7 million).
- Total Assets: RO7.3 billion (around $19 billion); 10% increase.
Bank Muscat:
- Net Profit: RO225.58 million (around $586.5 million); 6.2% growth.
- Net Interest Income and Islamic Financing Revenue: RO397.7 million (around $1.03 billion); 6.1% growth.
- Loan Portfolio: Increased by 3.7% to RO10.247 billion (around $26.6 billion).
Bank Nizwa:
- Net Profit: RO18.1 million (around $47 million); 6% growth.
- Total Assets: RO1.8 billion (around $4.68 billion); 17% increase.
- Sukuk Issuance: RO9.9 thousand (around $25.7 thousand) to support growth.
National Bank of Oman:
- Net Profit: RO63 million (around $163.8 million); 8.7% growth.
- Total Assets: RO5.2 billion (around $13.8 billion); 8.7% increase.
Bank Dhofar:
- Net Profit: RO43.61 million (around $113.4 million); 12.52% growth.
- Total Assets: Over RO5 billion (around $13.3 billion); 8.6% increase.
Oman Arab Bank:
- Net Profit: RO30.4 million (around $79 million); 48.1% growth.
- Operational Income: RO126.4 million (around $328.5 million); 5.2% growth.
Ahli Bank:
- Net Profit: RO41.6 million (around $108 million); 14.3% growth.
- Loans and Financing Portfolio: Over RO3 billion (around $7.8 billion); 12.2% growth.
Conclusion
The exceptional performance of Omani banks in 2024 underscores sustainable growth and efficient resource management. Investments in modern technologies, human resources, and strategic mergers have played a pivotal role in boosting the banks’ profitability and efficiency.
