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Kuwait: NBK... 68 Years of Leadership and Growth
16.11.2020There is no doubt that the history of National Bank of Kuwait, which was established in 1952, not only represents a unique and inspiring success story of a bank that rose to success and leadership in the banking business consolidating its position as one of the leading banks in the region today, but also documents the key historical milestones of Kuwait and how the bank contributed to achieving economic and financial independence for Kuwait even before full political independence was attained, and the instrumental role it played in supporting the national economy during critical stages of the country's history.
Today, NBK celebrates the anniversary of opening its doors to the public for the first time in 1952, as the first national bank in Kuwait and the first joint stock company in Kuwait and the Arabian Gulf region.
This year, the celebration is particularly significant as it marks the 68th anniversary of the bank’s actual operation and service provision to customers, which represents a culmination and a continuation of a success journey during which NBK transformed from a small bank that started with a 3-store area and a few employees using rudimentary manual work, to one of the largest, most profitable, leading and innovative banks in the entire Arabian Gulf region.
Everyone knows well the history of Kuwait’s political independence in 1960. However, most people do not know is that 1952 saw another kind of independence that is no less important than political independence, which is the economic independence of Kuwait, by launching the operations of National Bank of Kuwait as the first wholly-owned national bank in Kuwait.
National Bank
In 1952, a small joint stock company with a capital not exceeding one million Kuwaiti Dinar only emerged under the name of “National Bank of Kuwait Limited”, marking the beginning of a new era of economic freedom and independence for Kuwait, which was under British mandate for a long period, and declaring the independence of the region as a whole, which did not have a single national financial institution at that difficult time in its history, since before 1952, there was only one foreign bank in Kuwait, the British Bank of the Middle East in Kuwait, which was officially inaugurated in February 1942 during World War II.
Since 1949, those in charge of the British Bank in Kuwait have felt that Kuwaiti citizens are not satisfied with its activities and services, and they have also learned that some Kuwaiti merchants have thoughts and a tendency to establish their own bank.
Recently, a number of secret letters written by the British Commissioner in Kuwait to the British Foreign Office, in which he expressed his concern and fear about establishing the national bank and the attempts that were made to hinder its incorporation and continuation of its operation.
Incorporation Idea
The idea of establishing a Kuwaiti national bank that basically serves national interests, takes upon itself developing the Kuwaiti economy, boosting the commercial market, and preserving and growing depositors’ savings emerged for the first time in 1952.
To materialize the idea, a group including the following founders: Ahmed Saud Al-Khaled, Khalid Zaid Al-Khalid, Khaled Abdullatif Al-Hamad, Khalifa Khalid Al-Ghunaim, , Sayed Ali Sayed Sulieman Al-Rifai, Abdulaziz Hamad Al-Sager, Mohamed, Abdulmohsen Al-Khorafi, Yousef Ahmed Al-Ghanim and Yousef Abdulziz Al-Fulaij, held a meeting with the late Sheikh Abdullah Al-Salem Al-Sabah, who endorsed their idea and promised them support.
Under the memorandum of association of the British Bank branch in Kuwait with the government of Kuwait, it was not allowed to incorporate other banks in Kuwait, and the opinion of the Amir of Kuwait Sheikh Abdullah Al-Salem at the time was that this does not apply to the incorporating Kuwaiti banks inside the country.
Amiri Decree Law
Accordingly, the incorporation of National Bank of Kuwait was permitted on 19 May 1952, by virtue of an Amiri Decree Law to this effect. On 15 November 1952, NBK started official operation as a Kuwaiti shareholding company conducting banking business.
National Bank of Kuwait is the first ever national bank in Kuwait and the Gulf, with all board members and founders from Kuwaitis who have a long-standing business activity inside and outside Kuwait.
The bank was incorporated with a capital of 13.1 million rupees, equivalent to only one million Kuwaiti Dinars, divided into 13.1 thousand shares of one thousand rupees each.
In a small building located on the new street, NBK started operation with a small number of people, not exceeding the number of fingers, and with an area not exceeding 3 stores, and at the beginning, it conducted simple and basic banking activities including LCs, currency exchange, simple bank transfers, deposits and withdrawals.
This was how the beginning was, but as time went by, NBK proved its efficiency and worthiness as a participant and supporter of the renaissance movement in Kuwait, providing all kinds of support to individuals and institutions to finance the construction of infrastructure projects in Kuwait of the 50’s, where it was the only Kuwaiti bank at that time.
Replacement of Currency
NBK played a key role in replacing the local currency twice, first in May 1959 when the Indian Rupee notes were replaced by new rupee notes called the Gulf rupees.
As for the second replacement, it was in April and May 1961 when the Kuwait Currency Board issued Kuwaiti Dinars instead of Gulf rupees banknotes. This replacement was a necessity for independence giving Kuwait an independent character and manifesting the country’s sovereignty over its economy and currency.
Financing Development
NBK is the largest major financier of all government development projects as well as the private sector. The bank also has a dominant share in trade finance and financing of foreign companies working in these projects. This represents an extension of a long record of supporting economic development and contributing to building modern Kuwait.
In the 1970s, NBK continued to finance infrastructure and development projects in modern Kuwait. These projects comprised water desalination plants, power stations, road networks, construction and development of oil fields, refineries and support services, import services, construction of hospitals and schools, and support for urban expansion in the country, thus opening vistas for the future of Kuwait.
The bank began to develop its real corporate character through development, restructuring and re-organization plans, the period which acted as the basis for NBK’s progress and booming.
A Safe Haven
During the 80’s, NBK went through a tough test, when the stock market crashed in the so-called "Souk A;-Manakh Crash” in 1982. However, thanks to the balanced and conservative banking methodology of adopted by NBK during this period, it was the only bank that was not adversely impacted by the crisis.
As a result, it was called "The Sole Surplus Bank". NBK also warned several times in its economic reports and publications from the risk of this crash before it occurred and impacted many institutions.
Then came the crisis of the Iraqi invasion of Kuwait in 1990, which was a hard test for the solidity of the bank’s position, as it continued to perform its business from outside Kuwait and meet all its obligations towards its customers and banks abroad, and it also had an instrumental role in financing Kuwait's reconstruction projects.
This outstanding performance of NBK during these two crises has promoted the support and continued trust provided by the bank’s customers as well as strengthened international banks’ trust in it.
Continuous Development
During the 90’s and after the liberation of Kuwait, NBK played a leading and essential role in serving the Kuwaiti economy by arranging mega loans, including the loan arranged in favor of the government after the liberation of Kuwait in 1991 amounting USD 5.5 billion, which is the largest loan the Arab region has ever known by that time.
It can be said that the 90’s and the end of the 20th century was the golden era of the bank, during which it showed the signs of maturity and banking prosperity and regional as well as international expansion. Today, the bank has dozens of branches in Kuwait, as well as branches and representative offices and overseas companies in New York, London, Paris, Geneva, Singapore, Vietnam, Turkey and China, in addition to Lebanon, Bahrain Jordan, Qatar, UAE, Iraq and Saudi Arabia.
With the beginning of the 21st century, NBK succeeded in developing into an integrated financial market for advanced banking and financial services and for all customer segments, including individuals, companies and large institutions. It also consolidated its position as a comprehensive investment and financing bank through many deals in the Middle East region.
Digital Transformation
The COVID-19 pandemic has highlighted the importance of digital banking and electronic payment methods for the future of the banking sector. This proves the success of NBK's insightful and forward-looking vision in its implementation of Digital Transformation Strategy and the development of its digital banking services over the last years, which added greater flexibility to the bank’s methodology and contributed to enriching customers’ banking experience and meeting their various banking needs.
Among all regional banks, NBK was the first to launch a digital transformation map, which contributed to consolidating its leadership in providing the latest digital banking services and electronic payment methods, as the digital culture has become part of the fabric of the bank’s system that is spread across all the group’s business units and different markets in which it operates.
In recognition of these efforts, NBK was awarded the Best Consumer Digital Bank as well as the Best in Mobile Banking in Kuwait for 2019 by the international Global Finance magazine.
Expansion and Diversification
Thanks to its founders, employees, customers and all stakeholders, NBK has become a leading Kuwaiti brand that crosses borders and spans 4 continents.
Although the main operations of NBK are concentrated in the Middle East and North Africa region, it seeks to preserve its international character and its presence in many countries which is best manifested in the group's international footprint comprising China, France, Singapore, Switzerland, Turkey, UK and USA.
The bank’s operations also range from consumer and private banking, corporate banking, Islamic banking through the group’s subsidiary Boubyan Bank, as well as investment banking and asset management through the group’s subsidiary NBK Capital Investment Company.
The diversification of income sources, both geographically and sectorally, represents a key pillar of NBK's strategy to achieve sustainable growth, as international operations have contributed to increasing the volume of the group's business, while focusing on growth in the main markets in Saudi Arabia and Egypt, in addition to continuing growth in the Kuwaiti market.
As part of the bank’s efforts to expand in the main markets in which it operates, NBK supports the activities of the wealth management company in KSA and links it to the bank’s global wealth management platform, while striving to increase commercial banking products and services to sell the group’s products and services to the bank’s customers in KSA. In Egypt, the bank aims to expand in the retail market, by focusing on enhancing customer acquisition, facilitating their transactions, and investing in digital banking services.
Sustainable Development
NBK has an unwavering commitment to the community to which it belongs, which made it one of the largest contributors to the development of Kuwaiti society, with contributions exceeding half a billion US Dollars over the past decades, with a rich record of social initiatives in all fields and activities.
NBK Children’s Hospital remains an icon of NBK's social contributions, as the bank continued its endeavor to develop this hospital by opening a "Stem Cell Therapy Unit" in Al-Sabah Medical Area three years ago, which is the first of its kind in Kuwait that us specialized in spinal cord transplants for children under 16 years of age free of any charge, for which the bank engaged international consultants specialized in designing children's specialized hospitals.
In appreciation of its achievements in the area of sustainable development, environmental conservation and social responsibility, NBK continues to receive international recognitions, the latest of which was the bank’s inclusion in Refinitiv AFE Low Carbon Select Index for MENA region, which was launched by Refinitiv this October in cooperation with Arab Federation of Stock Exchanges (AFE).
Strength and Growth
NBK enjoys a solid financial position based on a diversified and stable deposit base, strong capitalization ratios, high assets quality and comfortable liquidity levels, which reflect on the bank’s solid financial position and the continuous growth of its balance sheet as the growth of the bank’s assets reached about USD 100 billion by the end of last September, supported by the continuous growth in loan portfolio that reached USD 57.6 billion.
NBK is the largest financial institution in Kuwait and has de facto dominance in the commercial banking sector. NBK maintained the highest credit ratings among all banks in the region, from all global credit rating agencies: Moody's, Standard & Poor's and Fitch. NBK is also distinguished by its large local and global network.
Despite the COVID-19 pandemic, the bank has shown its ability to overcome crises and maintain its assets growth and financial strength. When the global financial crisis in 2008 proved the validity of NBK's strategic and investment choices and its ability to deal with unfavorable economic conditions, representing an example to follow at a time when a wide range of financial sector institutions in Kuwait and the region badly suffered.
Pride and Leadership
Skyscrapers usually cry for attention. However, in the new NBK headquarters, the bank did not aim at all to construct a building that competes as an ordinary building, but rather wanted to present an architectural icon that reflects NBK’s pride and leadership.
NBK has succeeded in providing an example for green modern architecture through its new headquarters building, which will be an inspiration for all remarkable engineering works for many years to come.
Additionally, the bank’s new headquarters represents an example of a workplace that takes into consideration all environmental and other sides, as it is a green building conforming to the standards of Leadership in Energy and Environmental Design (LEED) Gold certification, and all the building’s interior details make it not only a workplace but an integrated environment in which the employees feel themselves and their ability for self-realization.
Kuwait: National Bank of Kuwait Hosts Group HR Conference for International Branches
04.05.2025As part of its ongoing efforts to strengthen integration and alignment across international markets, the Group Human Resources Division at the National Bank of Kuwait (NBK) hosted a major HR conference at its Head Office in Kuwait. The three-day event brought together HR leaders from NBK’s international branches and subsidiaries across 13 countries and 4 continents.
Held from April 28 to 30, the conference served as a platform for sharing best practices, aligning future strategies, and reinforcing cooperation among HR teams within the NBK Group.
The conference opened with welcoming remarks from NBK’s executive leadership, followed by a comprehensive presentation of the Group’s overall HR strategy. Each international HR head also delivered presentations outlining their respective local strategies and initiatives.
A key component of the event was a specialized workshop titled 'Change Management', part of NBK’s Career Leap project. The program also included advanced training on job design and evaluation, emphasizing alignment with global HR best practices in attracting, retaining, and developing top talent—solidifying NBK’s position as an employer of choice in the banking sector.
As part of the Career Leap initiative, attendees participated in a full-day training session delivered by a leading global firm on 'Strategic Change Leadership Workshop'. The session explored dynamic change leadership practices, highlighting strategies for managing transformation in fast-evolving economic environments. It also provided tools and frameworks for adapting to organizational change, fostering agility, and navigating uncertainty through global case studies.
The conference further addressed ways to enhance the effectiveness of HR services and operations across the Group. Discussions included developing core competencies, grooming future leaders, promoting a unified organizational culture, and leveraging innovative ideas from diverse markets to drive performance. Cross-border collaboration was underscored as a critical strategy for addressing common challenges.
In a heartfelt moment, the conference honored the Head of HR at NBK Singapore on her retirement, marking 41 years of dedicated service. The recognition demonstrated the Bank’s deep appreciation for employee commitment and exemplified the values of professionalism and respect that define NBK’s corporate culture.
On this occasion, Mr. Emad Al-Ablani, Group Chief Human Resources Officer, stated: "We are proud to host this important conference aimed at strengthening strategic alignment and global collaboration among HR teams across all NBK international branches and subsidiaries. This event reaffirms our commitment to supporting the Group’s operational goals and long-term growth."
He added:"The conference reflects the strength of our Group HR function and our collective dedication to building a high-performing, future-ready workforce that aligns with NBK’s global vision to meet the evolving demands of our business and clients."
Al-Ablani emphasized that the event reasserts NBK’s leadership in attracting, developing, and retaining top talent while reinforcing a unified corporate culture across all operational markets.
He concluded by affirming that NBK’s HR Division will continue to play a vital role in enabling the Group’s strategic ambitions by focusing on human capital development, preparing professional talent to lead the Bank into the future, and cultivating an innovative, engaging, and empowering work environment. He noted that cooperation among HR teams across all geographies remains a cornerstone of NBK’s continued excellence and leadership in both regional and global arenas.
NBK is recognized for its exceptional workplace culture and invests heavily in employee development. The Bank actively fosters creativity and innovation within its workforce—key drivers that contribute to its distinguished standing in the local and regional banking sector.
Kuwait: NBK Receives 7 Prestigious awards Within the MENA Banking Excellence Awards from MEED
01.05.2025The National Bank of Kuwait received 7 prestigious awards from MEED International Magazine, within the MENA Banking Excellence Awards for the year 2025, for its efforts in providing exceptional banking services and enriching the customer banking experience with innovative solutions.
The awards won by NBK during the annual ceremony organized by MEED in Dubai included Best Retail Bank and Best Bank for SMEs in Kuwait, and 5 MENA awards for Best Loan Offering, Best Contactless Payment Experience, Best Payment Solution for SMEs. In addition, Weyay Bank has been recognized as the winner of MENA Most Innovative Product/Service award for Weyay Jeel's groundbreaking approach to digital banking for children, and finally, Mr. Mohammed Al-Othman, CEO of Consumer and Digital Banking Group at NBK, has been named MENA Retail Banker of the Year for the fourth consecutive year.
These awards are a testament to NBK’s leadership locally and regionally and its pioneering innovative digital achievements and catering to customers’ banking needs by introducing top-notch banking services and advanced payment solutions, making the name “NBK” associated with everything new in digital banking products and services in Kuwait and across the MENA region.
Small and Medium Enterprises (SMEs)
Winning the awards for Best MENA Payment Solutions for SMEs and Best Bank in Kuwait for SMEs reflects the remarkable efforts of NBK in supporting Small and Medium Enterprises, and its local and regional leadership in providing banking services and products as well as diverse payment solutions that are quick, flexible and support the development and needs of its SMEs clients.
Al-Othman MENA Retail Banker of the Year
Naming Al-Othman as MENA Retail Banker of the Year for the fourth consecutive year reaffirms his pivotal role, and his remarkable leadership of the Consumer and Digital Banking Group team in attaining these achievements and providing a comprehensive digital banking experience that not only meets customers’ needs but exceeds their expectations.
This award also recognizes Al-Othman’s dedication to setting ambitious goals and implementing innovative strategies that have not only had a significant impact on NBK customers, but also on the Kuwaiti and regional banking landscape, rendering him a role model for banking leaders who are driving regional progress and innovation in the industry.
NBK holds a record filled with achievements and global awards that emphasize its excellence in digital transformation and echo its commitment to being innovative and providing exceptional customer service, in addition to its commitment to making long-term relationships with customers.
Founded in 1957, MEED is a leading magazine focused on economic and business news and intelligence related to the Middle East.
In partnership with leading financial services publications Retail Banker International and Private Banker International, both issued by GlobalData, MEED introduces MENA Banking Excellence Awards to celebrate the best-in-class banking and financial services institutions and individuals for their innovative offering and commitment to customer excellence.
Weyay Bank Wins "Most Innovative Product" Award for Jeel, Banking App and Card
Weyay Bank, Kuwait's pioneering fully digital bank, continues its streak of excellence and leadership in the digital banking sector, announcing its latest award; the "Most Innovative Product" award at the MEED Banking Excellence Awards in the Middle East and North Africa 2025. This prestigious recognition celebrates "Jeel”, the Weyay’s banking card and application specifically designed for the 8-14 year age group. This achievement underscores the bank's ongoing commitment to digital innovation, building upon its previous success in being named "Best Digital Bank in Kuwait" by MEED in 2024.
Acknowledging Weyay Bank's role in setting new benchmarks within the banking industry, the "Most Innovative Product" award for "Jeel" highlights the digital advancements the bank champions to elevate customer experience and deliver inventive solutions catering to all age segments. This accolade also reflects Weyay Bank’s steadfast dedication to leading the digital transformation within the Kuwaiti banking sector and meeting the evolving needs of the rising digital generation. Since its inception in 2021, Weyay Bank has rapidly established itself as a frontrunner in digital banking innovation, setting new standards for a seamless and round-the-clock banking experience, free from traditional processes and tailored to customer aspirations.
The “Jeel” app, meticulously crafted to empower young individuals, foster their financial independence, and cultivate financial literacy from an early age. By integrating a simplified user interface designed for "Jeel" customers with comprehensive parental control tools accessible through the parent's Weyay application, "Jeel" establishes new benchmarks for personalized banking services tailored to this demographic's specific needs. The "Jeel" card embodies simplicity and ease of use across all its digital services and features, contributing to building a sense of responsibility and financial awareness from a young age through a personalized bank card and dedicated application, also enabling the use of e-wallets like Apple Pay.
This new recognition reflects Weyay Bank’s continuous commitment to providing a comprehensive digital banking experience centered around users from all segments of society, empowering them to manage their finances with ease. Weyay Bank will continue its unwavering dedication to fostering innovation and delivering the highest levels of excellence in digital banking services.
MEED, a highly respected global publication established in 1957 specializing in the analysis of economic activities in the Middle East, underscores Weyay's leading position in digital banking innovation and reinforces its valuable contributions to the development of the banking sector in Kuwait. Amidst the rapid evolution of financial services, Weyay Bank remains dedicated to its mission of redefining the concept of banking in the digital age and empowering the community to achieve growth and success in an increasingly digital world.
Kuwait: Shaikha Al-Bahar Participates in the Egyptian-Kuwaiti Cooperation Council Delegation in Cairo
27.04.2025Ms. Shaikha Al-Bahar, Deputy Group CEO of the National Bank of Kuwait, participated in the Egyptian-Kuwaiti Cooperation Council’s visit to Cairo, aimed at exploring avenues to strengthen bilateral cooperation and unlock new opportunities across various sectors.
The Kuwaiti delegation, headed by Mr. Mohammed Al-Sager Head of the Egyptian-Kuwaiti Cooperation Council—comprised senior representatives from prominent Kuwaiti banks and corporations.
The delegation was received by His Excellency President Abdel Fattah El-Sisi at the Presidential Palace in Cairo, where he extended an invitation to Kuwaiti investors to explore the wealth of opportunities available in Egypt. He emphasized the incentives and facilities provided by the Egyptian government, encouraging the development of industrial cooperation through the establishment of strategic partnerships between Egyptian and Kuwaiti companies. El-Sisi underscored the immense potential of the Egyptian market, emphasizing its expansive scale, robust growth prospects, and significant demand across diverse sectors. He highlighted the substantial opportunities available for investors, particularly in high-value industries, where they stand to reap considerable returns.
The delegation also held a meeting with Egyptian Prime Minister Dr. Mostafa Madbouly at the Government Headquarters in the New Administrative Capital. The meeting was attended by Eng. Hassan El-Khatib, Minister of Investment and Foreign Trade; Ambassador Ghanem Saqr Al-Ghanem, Kuwait’s Ambassador to Egypt; and Ambassador Osama Shaltout, Egypt’s Ambassador to Kuwait.
During the meeting, Prime Minister Madbouly invited Kuwaiti investors to tap into the wide array of investment opportunities available in Egypt, affirming the government’s willingness to grant the “Golden License” to projects mutually agreed upon by both sides—streamlining procedures and reinforcing Egypt’s commitment to facilitating foreign investment.
Madbouly expressed his keen interest in seeing the Kuwaiti side explore the diverse investment prospects Egypt has to offer across a range of sectors. He emphasized Egypt’s openness to forging various forms of partnerships with Kuwaiti investors, underscoring the country’s commitment to fostering mutually beneficial collaboration that serves the shared interests of both nations.
He outlined several promising investment opportunities within the Egyptian market, particularly in key sectors including food security, oil and petrochemicals, logistics, tourism, and hospitality.
The Egyptian Prime Minister also reaffirmed the freedom to transfer foreign funds abroad, noting that the economic reforms implemented by the Egyptian government since March 2024—most notably the adoption of a flexible exchange rate policy—have significantly bolstered the country’s foreign currency reserves.
The delegation also held discussions with Egyptian Foreign Minister Dr. Badr Abdelatty, who expressed pride in the longstanding and historic ties between Egypt and Kuwait. He provided an overview of the recent economic reforms and national projects undertaken by Egypt, highlighting efforts to enhance the investment climate and strengthen the role of the private sector across various industries.
Furthermore, the Kuwaiti delegation engaged in a meeting with Egyptian Minister of the Public Business Sector, Eng. Mohamed Shemy, alongside Mohamed Jubran, Minister of Labor, to explore avenues for strengthening bilateral cooperation across business, economic, and commercial sectors. The discussions also focused on the investment opportunities available for Kuwaiti investors in the Egyptian market.
Additionally, the delegation participated in the Egyptian-Kuwaiti Investment and Business Forum, attended by a range of ministers and senior officials. The forum, which aimed to bolster economic and investment ties between Kuwait and Egypt, facilitated discussions on enhancing collaboration across various business, economic, and commercial sectors.
Kuwait: NBK Reports Net Profit of KD 134.1 Million for 1Q2025
21.04.2025National Bank of Kuwait (NBK) has announced its financial results for the three-months period ended 31 March 2025. The Bank reported a net profit of KD 134.1 million (USD 434.8 million), compared to KD 146.6 million (USD 475.3 million) for the corresponding period in 2024. Profit before tax for the period reached KD 173.4 million (USD 562.3 million) compared to KD 172.0 million (USD 557.7 million) recorded in 2024.
Total assets as of the end of March 2025 grew by 8.7% year-on-year to reach KD 41.6 billion (USD 135.0 billion), whereas customer loans and advances increased by 9.9% year-on-year to KD24.6 billion (USD 79.8 billion).
Customer deposits grew by 5.6%, reaching KD23.5 billion (USD 76.2 billion) by the end of March 2025. Meanwhile, shareholders’ equity stood at KD 4.0 billion (USD 13.1 billion), reflecting a growth of 6.4% year-on-year.
Solid Results
Commenting on the Bank's annual financial results, Hamad Al-Bahar, NBK Group Chairman stated, “NBK entered 2025 on a strong note, delivering solid financial results in the first quarter despite a challenging global landscape. The performance came amid persistent geopolitical tensions on both global and regional fronts, rising concerns over a potential global trade war following recent U.S. tariff measures, and increasingly complex macroeconomic conditions across many parts of the world.”
“Once again, NBK reaffirms its resilience and adaptability to evolving economic conditions, underpinned by a well-diversified mix of products, services, and international operations across various parts of the world. This strategic positioning is supported by the Bank’s strong balance sheet, solid capitalization, high liquidity, and high asset quality—all reinforced by a prudent risk management approach,” Al-Bahar added.
He emphasized that NBK is well-positioned to sustain its leadership in the domestic financial sector while delivering long-term value to shareholders, customers, and the communities it serves. He noted that the Bank continues to realize the benefits of its strategic investments in both technology and human capital.
“In 2025, NBK is set to accelerate its sustainable financing efforts in pursuit of its target to expand its sustainable assets portfolio to USD 10 billion by 2030. The Bank will also continue to advance a range of initiatives in support of its broader commitment to achieving carbon neutrality,” Al-Bahar confirmed.
He highlighted that during the first quarter of 2025, NBK played a key role in launching and supporting a wide range of initiatives across various fields, reinforcing its position as the leading contributor to social responsibility in Kuwait. Among these efforts was NBK’s annual Ramadan campaign, “Doing Good Deeds”, which featured a diverse lineup of health, sports, cultural, and recreational activities.
Strong Buffers
Meanwhile, Mr. Isam J. Al-Sager, NBK Group Vice Chairman and CEO, said: “NBK’s first-quarter financial results this year underscore the strength of its buffers, which have enabled it to withstand global economic headwinds and their ripple effects across regional and local markets.”
Al-Sager noted that NBK’s diversified business mix, strategically planned investments, and prudent risk management enabled the Bank to maintain operational flexibility across its various business segments during the first three months of 2025. This was led by the core banking business, which played a key role in mitigating the impact of an increasingly challenging economic conditions during that period.
He stated that NBK’s net profit for the first quarter of 2025 was impacted by the effective implementation of the Domestic Minimum Top-Up Tax (DMTT) on multinational enterprises (MNEs) operating in the country. This led to net profit recording a year-on-year drop of 8.5% while profit before tax was flat year-on-year.
Al-Sager revealed that NBK Group recorded a net operating income of KD310.7 million (USD 1.0 billion) in the first quarter of 2025, reporting a growth of 0.6% year-on-year. He also noted that both the International Banking and Boubyan Bank, its Islamic banking arm, remain key revenue and profit growth contributors to the Group.
Seizing Opportunities
Al-Sager emphasized that NBK remains committed to investing in technology and fostering innovation to build an inclusive and sustainable financial future. He added that the Bank aims to expand its customer base while capitalizing on opportunities in promising markets and key sectors.
He further noted that during the first quarter of 2025, NBK continued to deliver innovative solutions and services tailored to the evolving needs of its customers, showcasing its agility in keeping pace with rapid market developments. The Bank also entered into strategic partnerships with leading local and international institutions across key sectors, reinforcing its commitment to offering customers an exceptional and comprehensive banking experience.
On the wealth management front, Al-Sager stated that NBK Wealth has continued to enhance its offerings by delivering a broad range of integrated solutions across private banking, asset management, financial planning, and advisory services. Supported by a wide global network of operations, these efforts have further solidified its position as the largest wealth management entity in Kuwait and among the leading players in the region.
Al-Sager emphasized the Bank’s commitment to actively contributing to Kuwait’s economic growth and development through financing strategic infrastructure projects, ongoing support for entrepreneurs, and efforts to promote financial inclusion. He also highlighted NBK’s focus on maintaining its competitive edge in the local market while continuing to grow its presence in international markets.
Furthermore, he emphasized the Bank’s commitment to enhancing operational efficiency across all business sectors, while reinforcing its role in supporting sustainability efforts within the communities it serves. He also highlighted NBK’s dedication to being a strategic partner for customers in their pursuit of sustainable financing solutions.
Operational Environment
Regarding his outlook for the business environment in Kuwait, Al-Sager noted, “Several indicators suggest a positive shift in the operational landscape for Kuwait in 2025. At the forefront is the continued momentum in awarding and implementing projects. This positive trend is expected to persist as the government focuses its economic agenda on prioritizing major development projects and accelerating their implementation in alignment with Vision 2035.”
Al-Sager emphasized the government's commitment to advancing financial and economic reforms, highlighted by the recent adoption of key legislation such as the Financing and Liquidity Law (debt law) and the anticipated issuance of the mortgage law. These initiatives are expected to support economic growth and positively impact the business environment in Kuwait. However, he noted that the challenges posed by US tariffs, concerns over a potential global trade war, and ongoing geopolitical tensions will remain among the most significant uncertainties that are facing the markets in the near term.
The Strongest & Most Valuable Brand
NBK reaffirmed the strength of its brand in 2025, maintaining its position as the most valuable and strongest banking brand in Kuwait. According to the annual report issued by Brand Finance, NBK widened its lead over competitors in the Kuwaiti banking sector, achieving a 22% increase in brand value compared to 2024. Moreover, Global Finance recently named NBK the Best Bank in Kuwait - 2025, further solidifying its leadership in the Kuwaiti banking sector.
Key financial indicators for 1Q2025
• Net operating income stood at KD310.7 million (USD 1.0 billion), up 0.6% year-on-year
• Total assets grew by 8.7% year-on-year, at KD 41.6 billion (USD 135.0 billion)
• Customer loans and advances increased by 9.9% year-on-year to KD 24.6 billion (USD 79.8 billion)
• Customer deposits grew by 5.6% year-on-year to KD 23.5 billion (USD 76.2 billion)
• Shareholders’ equity amounted to KD 4.0 billion (USD 13.1 billion), registering an annual growth of 6.4%
• Strong asset quality metrics, with NPL/gross loans ratio at 1.38% and an NPL coverage ratio of 251%
• Robust Capital Adequacy Ratio of 16.6%, comfortably exceeding regulatory requirements
Kuwait: NBK is the Most Valuable & Strongest Banking Brand in Kuwait
20.04.2025National Bank of Kuwait (NBK) ranked as the most valuable and strongest banking brand in Kuwait for 2025, according to Brand Finance's annual report.
Brand Finance's 2025 report highlighted NBK's success in widening the gap with its competitors in Kuwait in terms of brand value and strength. The bank's brand value surged by 22%, reaching US$1.738 billion, up from US$1.428 billion in 2024, placing it tenth among the most valuable banking brands in the Middle East. Its Brand Strength Index (BSI) also improved to 83.3 points, up from 81.2 points in 2024. NBK continues to lead in Kuwait as the strongest banking brand for the fourteenth consecutive year and ranks third among the strongest banking brands in the region.
Globally, NBK secured the 154th spot on Brand Finance's 2025 list of the world's 500 most valuable banking brands, climbing 12 places from its 2024 ranking. The bank also ranked 61st worldwide in brand strength, reinforcing its position among the strongest banking brands regionally and internationally. This recognition reflects NBK’s solid financial performance and growth prospects, assessed based on key criteria such as profitability margins and revenue.
This strong brand rating underscores the trust NBK enjoys among customers and shareholders, reinforcing its distinguished reputation locally, regionally, and globally. It also reflects the bank’s solid financial performance, its expanding geographic footprint across 13 countries on four continents, and its strategic presence—key factors that drive shareholder returns and enhance its offerings to deliver best-in-class banking products and services.
This rating further highlights the success of NBK’s strategic approach in reinforcing its identity and enhancing its brand strength.
Brand Finance is the world's leading independent brand valuation and strategy consultancy. Headquartered in London, the firm has offices in over 20 countries.
The company's trademark valuation is based on rigorous criteria, including the scale of operations, geographical reach, global and regional reputation, brand classification, and intellectual property.
NBK remains firmly committed to maintaining its leadership position and securing the highest credit ratings among all banks in the region, as affirmed by the consensus of renowned credit rating agencies: Moody's, Standard & Poor's, and Fitch.
The Bank holds long-term ratings of A1 from Moody's, A+ from Fitch Ratings, and A from Standard & Poor's, underpinned by its robust capitalization, consistent performance growth, high asset quality, cautious lending policies, effective risk management, and experienced and stable leadership.
NBK's standing among the safest banks in the world underscores the strength of its brand, as the bank continues to expand and foster innovation. It remains committed to enhancing its presence in key regional markets by offering innovative banking services tailored to meet its customers’ needs, irrespective of their geographic location.
According to Global Finance's 2024 list of the 100 safest banks in the world, NBK was the sole Kuwaiti bank featured, securing the 83rd position globally. This achievement highlights the strong global confidence in the bank.
Egypt: NBK-Egypt Reports EGP 7.3 billion (Equivalent to KWD 51.9 million) in Net Profit in FY2024
16.02.2025National Bank of Kuwait - Egypt (NBK-Egypt) reported net profits of EGP 7.3 billion (Equivalent to KWD 51.9 million ) for the financial year 2024 compared to EGP 4.021 billion (Equivalent to KWD 41.4 million) reported in 2023 marking an impressive 81% increase compared to financial year 2023.
Net Operating Income stood at EGP 13.5 billion by the end of FY2024, recording a substantial increase of 57% from EGP 8.7 billion recorded by the end of FY2023. In the meantime, Net Interest Income grew by 66%, reaching EGP 11.6 billion compared to EGP 7 billion in FY2023.
Meanwhile, Net Operating Income (excluding interests) increased to EGP 1.9 billion in FY2024, compared to EGP 1.7 billion in FY2023, up by 17%, while Cost to Net Operating Income dropped from 28% in FY2023 to 21.2% in FY2024.
Total assets reached EGP 196 billion by the end of FY2024, up by 50% compared to EGP 131 billion by the end of FY2023. Furthermore, total loans and credit facilities expanded to EGP 104 billion in FY2024, reflecting a growth rate of 37% compared to EGP 76 billion recorded at the end of FY2023. Additionally, customer deposits increased to EGP 160 billion by the end of FY2024, up from EGP 106 billion at the end of FY2023, representing a growth rate of 51%.
Furthermore, the Return on Average Assets (ROAA) improved to 4.5% by the end of FY2024, compared to 3.4% by the end of FY2023, while the Return on Average Equity (ROAE) increased to 39.2% in FY2024, up from 30.7% in FY2023.
Commenting on the financial results announced by NBK-Egypt, Ms. Shaikha Al-Bahar, Deputy Group Chief Executive Officer, National Bank of Kuwait, and Chairman of NBK-Egypt, said: “NBK-Egypt delivered record profits in 2024, underscoring the success of its operational strategy and reaffirming its trajectory toward further strengthening its position in the Egyptian market. As NBK Group’s most significant market outside Kuwait, Egypt holds substantial growth potential, driven by its promising opportunities and positive economic outlook.”
Al-Bahar highlighted that NBK’s operations in Egypt are among the group’s most profitable, delivering the highest returns on equity and assets.
Al-Bahar emphasized that the sustained expansion of the balance sheet and the growth of the bank's financial indicators reaffirm the success of its business diversification strategy and accelerated digital transformation. This approach aims to strengthen market share, particularly in retail banking, within the region’s most populous country and a key hub for investment opportunities.
“We are committed to enhancing service quality, expanding our geographical presence, and reaching a more diverse customer base. This progress is driven by the significant advancements in our digital infrastructure, information technology, and alternative electronic channels, which have positioned the bank as a strong competitor with a distinct presence in the Egyptian banking sector. This comes amid the rising demand for banking services and the increasing momentum of financial inclusion,” Al-Bahar stated.
“Egypt is a key growth market for NBK Group and a long-term strategic investment, where the Group remains committed to reinforcing its presence and strengthening its position,” Al-Bahar confirmed.
Meanwhile, Vice Chairman, CEO, and Managing Director of National Bank of Kuwait-Egypt, Mr. Yasser El-Tayeb, said: “The bank's strong financial performance at the end of 2024 surpassed expectations and targets, despite challenges and exceptional circumstances affecting the business environment both locally and globally. This achievement underscores the bank’s resilience and prudent business model, reinforcing its ability to sustain success and growth.”
Al-Tayeb emphasized that the bank’s growth is balanced across all business activities, ensuring efficiency and a risk profile aligned with sustainable expansion. This success is driven by a prudent strategy that meets the evolving needs of both corporate and individual clients while diversifying income streams.
Al-Tayeb noted that the bank’s income sources stem from credit operations in the corporate sector, alongside a rapidly expanding retail banking segment, which has grown significantly in recent years. The bank’s credit portfolio reflects a diverse client base, encompassing large, medium, and small enterprises, while its retail banking portfolio serves a broad spectrum of customers. This diversity underscores the strength and stability of the bank’s revenue streams. He further emphasized the bank’s commitment to strengthening its position in retail banking by introducing more advanced services and products tailored to meet customers' evolving financial needs and aspirations.
El-Tayeb further emphasized NBK-Egypt’s commitment to supporting the global shift toward sustainable finance and the transition to a green economy. The bank actively backs environmentally friendly projects that promote sustainability and increased reliance on renewable energy while exploring solutions to mitigate climate change and reduce carbon emissions. He highlighted that sustainable finance has become a vital tool for ensuring long-term financial stability and resilience.
He also affirmed the bank’s strong commitment to leveraging technology and digital channels to enhance its competitive edge in the banking sector. Recognizing their pivotal role, NBK-Egypt continues to expand its electronic services and encourage broader customer adoption of digital payments. This aligns with the broader strategy of the Egyptian government and the Central Bank of Egypt to promote financial inclusion, integrate new customer segments into the formal banking system, and drive the transition toward a less cash-dependent economy.
El-Tayeb concluded by highlighting NBK-Egypt’s steadfast commitment to social responsibility, emphasizing that since the Group’s entry into the Egyptian market in 2007, the bank has actively supported the local community. Through partnerships with reputable civil society organizations, NBK-Egypt channels its development efforts toward impactful initiatives, reinforcing its role as a responsible corporate citizen. Social responsibility remains a cornerstone of the bank’s sustainability strategy, contributing to national development across key areas, including:
• Healthcare provision
• Education and employment support
• Environmental conservation
• Social solidarity
• Development of underserved areas
• Economic development
Kuwait: Al-Sager: NBK Achieved Record Profits, Leveraging a Strategic Expansion
04.02.2025Mr. Isam Al-Sager, Vice Chairman and Group Chief Executive Officer of National Bank of Kuwait (NBK), announced that the Group achieved a record net profit of KD 600.1 million for 2024, marking its highest-ever annual performance. He credited the 7% profit increase compared to the previous year to the Group's exceptional operating performance and the ongoing expansion of its diversified business model.
In an interview with CNBC Arabia, Al-Sager attributed the robust net profit performance to increased business volume and the relatively high average interest rates throughout much of 2024, compared to 2023. He also highlighted the strong performance of fees and FX income across various business sectors and regions where the Group operates.
Al-Sager explained that in 2024, NBK Group saw an 8.3% year-on-year growth in net interest income, while operating income rose by 7.2% to KD 1.3 billion. He attributed this positive performance to the strong growth in the Group's loan portfolio, which expanded by 6.4% compared to 2023. This growth was seen across both domestic and international markets, encompassing both conventional and Islamic banking services.
“We have consistently upheld healthy levels of cost of risk, primarily driven by a 16% decrease in provisions for credit provisions and other impairments in 2024. The Group remains committed to its prudent approach in managing credit exposure,” Al-Sager noted.
International Operations & Wealth Management
Al-Sager highlighted the strong performance of NBK Group's international operations and wealth management, emphasizing the Group's distinctive advantage among Kuwaiti banks. He noted the strategic geographical spread through international banking services, along with the ability to conduct business in both Conventional and Islamic Banking.
He further noted that in 2024, the International Banking Group (IBG) contributed 24% of the Group’s net operating income and 23% of its profits, underscoring the robust performance across these segments.
Additionally, NBK Wealth contributed 9% to operating income and 11% to profits, reinforcing the effectiveness of the Group’s strategic diversification efforts.
The Future Outlook
Al-Sager conveyed a confident outlook for NBK's performance in 2025, driven by several pivotal factors. He underscored the influence of monetary and fiscal policies, notably the anticipated gradual pace of interest rate cuts, which are poised to support margins. Furthermore, he emphasized the ongoing momentum in projects award in Kuwait and the favorable climate for the enactment of several crucial economic laws, all of which are anticipated to further bolster the local operating environment.
Interest Rate Trajectory and Margin Impact
In response to a question about interest rates and their impact on margins, Al-Sager stated, “With uncertainty surrounding the scale of future rate cuts, intensifying competition, and a challenging global operating landscape, we anticipate some pressure on margins. Consequently, we expect net margins in 2025 to edge slightly lower, by a few basis points, compared to year-end 2024 levels.”
“However, it is important to consider that the expansion in business activity driven by a low-interest-rate environment could help offset margin pressures. With a well-diversified business model and an increased focus on fee-based income, we continuously hedge against interest rate fluctuations, ensuring resilience in varying market conditions,” Al-Sager explained.
Market Consolidation and Its Implications
Assessing the impact of ongoing mergers in the Kuwaiti banking sector, Al-Sager stated: “As one of the largest banks in the region, NBK is well accustomed to operating in highly competitive markets. However, these dynamics do not impose any pressure on us, as we remain steadfast in pursuing our strategic objectives.”
“We are years ahead of the current wave of mergers, having successfully expanded through strategic acquisitions in earlier growth phases. These expansions strengthened our business diversification and service integration. Today, we are capitalizing on the success of our expansion strategy, having mitigated the risks of business consolidation and sharpened our focus on delivering exceptional services across all the markets in which we operate,” he added.
Al-Sager emphasized that banking mergers are often followed by challenges that can provide NBK with opportunities to seize.
He further emphasized NBK Group’s commitment to expanding its presence in regional markets, reaffirming its readiness to pursue acquisition opportunities that strengthen service integration and drive added value for shareholders.
Projects Award
Commenting on the projects market in Kuwait, Al-Sager expressed optimism due to the strong activity in the market, noting that the awarding of development projects by the end of 2024 reached its highest level in nearly eight years. He anticipates this momentum to persist into 2025.
He emphasized the widespread consensus on the importance of prioritizing major development projects and enhancing Kuwait's appeal as an investment hub. This includes the urgent need to approve a set of long-awaited laws that would align with and support ongoing economic reform efforts.
“With decision-making now solely in the hands of the government, we no longer face the disruptive entanglements of the past, and this will positively impact the anticipated economic reforms,” Al-Sager noted.
“We are witnessing meaningful discussions on the adoption of key laws, such as the real estate financing and public debt laws. The enactment of these laws would serve as a crucial catalyst, driving the Kuwaiti economy toward smoother and faster growth,” He stated.
Multinational Corporate Tax
Commenting on Kuwait's recent enactment of the Domestic Minimum Top-Up Taxes (DMTT) on multinational enterprises (MNEs), effective 2025, Al-Sager explained that this corporate tax follows a global standard already in place in many countries where NBK Group operates. He emphasized that its local implementation would benefit Kuwait by ensuring these revenues stay within the country, rather than flowing to other nations.
In response to a question regarding the potential impact of the tax implementation on the bank’s profits, Al-Sager stated: “Naturally, there will be an impact on our profits in 2025, with an anticipated increase in the tax applied to the Group’s profits by approximately 8 to 15%. However, this impact is expected to be temporary, as the base year 2025 marks the introduction of the tax.”
Real Estate Financing Law
Commenting on the Real Estate Financing law, Al-Sager stated: “We view the real estate financing law, or housing finance, as the most effective practical solution to Kuwait's housing crisis. With over 97,000 pending housing applications at the Public Authority for Housing Welfare and approximately 10,000 new applications each year, this issue has only intensified without any tangible resolution.”
He highlighted the recent positive developments supporting the adoption of the law, noting that this comes at a time when the government has clearly stated that refinancing Kuwait Credit Bank is challenging due to the anticipated ongoing budget deficit. He also emphasized that the Kuwaiti banking system is in an excellent position, with high levels of liquidity and capitalization, and is well-equipped to play a crucial role in addressing the housing issue.
Al-Sager expressed strong confidence that the right legislative and regulatory framework will empower banks to take a central role in resolving the housing crisis, using financing mechanisms akin to those in neighboring markets. He highlighted this as a major growth opportunity for Kuwaiti banks, especially given the substantial backlog of housing applications and the steady influx of new applicants each year. Additionally, he pointed out that Kuwait's youth demographic, which makes up the majority of the population, adds urgency to the need for effective solutions.
Kuwait: NBK Reports Net Profit of KD 600.1 Million for FY2024
02.02.2025National Bank of Kuwait (NBK) has announced its financial results for the financial year ended 31 December 2024.The Bank reported a net profit of KD 600.1 million (USD 1.9 billion), compared to KD 560.6 million (USD 1.8 billion) for the financial year 2023, an increase of 7.0% year-on-year.
Earnings per share (EPS) stood at 69 fils by the end of 2024, compared to 65 fils by the end of 2023, Meanwhile, total assets as of December 2024 grew by 7.1% year-on-year, reaching KD 40.3 billion (USD 130.9 billion).
Customer deposits grew by 4.2%, totaling KD 22.9 billion (USD 74.2 billion) as of December 2024. Meanwhile, Group loans and advances reached KD 23.7 billion (USD 76.9 billion) by December 2024, reflecting a growth of 6.4% year-on-year.
In the meantime, shareholders' equity also saw an increase, standing at KD 3.9 billion (USD 12.7 billion), up by 5.9% year-on-year.
In terms of distributions, the Board of Directors has proposed a cash dividend of 25 fils per share for the second half of 2024, bringing the total cash dividend for the year to 35 fils, equivalent to around 50% of net profits. Furthermore, the Board has recommended the distribution of bonus shares at a ratio of 5%. These proposed distributions are subject to the approval at the Annual General Assembly (AGM).
Adapting To Changing Conditions
Commenting on the bank's annual financial results, Hamad Al-Bahar, NBK Group Chairman stated, “In 2024, we delivered strong performance, showcasing the resilience and adaptability of our flexible, diversified business model in response to varying economic conditions. This success was bolstered by a robust capital base, high asset quality, strong liquidity, and prudent risk management.”
He explained that the bank remains committed to balancing the achievement of optimal returns for its shareholders while addressing the evolving needs of its customers. He further emphasized that sustainability has become a key driver in strengthening the bank's long-term growth prospects, as it continues to implement significant initiatives that support responsible business practices and contribute to the sustainable development of Kuwait’s economy.
"In 2025, NBK aims to accelerate its sustainable financing efforts, targeting a sustainable asset portfolio of approximately USD 10 billion by 2030," stated Al-Bahar. He further highlighted that the bank continues to implement various initiatives as part of its efforts to achieve carbon neutrality.
Al-Bahar stated that throughout 2024, NBK strengthened its social contributions by launching and supporting numerous programs and initiatives across various sectors, including health, social development, the environment, youth, education, and women's empowerment. These efforts are aimed at reinforcing the foundations of sustainable development in alignment with Kuwait Vision 2035 and the National Development Plan (NDP), further advancing NBK's leading position as the largest contributor to social responsibility in Kuwait.
Sustainable Growth
Meanwhile, Mr. Isam J. Al-Sager, NBK Vice Chairman and Group CEO, said: “Despite heightened geopolitical tensions regionally and globally in 2024, along with their adverse economic repercussions and the onset of declining interest rates, NBK successfully maintained its trajectory of sustainable growth. The Group's net operating income grew by 7.2% year-on-year, reaching KD 1.3 billion (USD 4.1 billion)”.
Al-Sager emphasized that NBK's financial results for 2024 reflect exceptional operational performance across its various business sectors, particularly its core banking operations. He highlighted the significant contributions of the Group's international operations and Boubyan Bank, the Group's Islamic banking arm, to both revenues and net profits during the year.
Al-Sager highlighted NBK's ongoing efforts to expand its customer base by offering innovative digital products and services of international standards, coupled with exceptional customer service. He emphasized the bank's continued investments in technology and innovation, reinforcing its leadership in digital banking solutions that drive sustainable growth. These efforts not only maximize value for customers and shareholders but also contribute positively to our communities and to all stakeholders. This commitment has earned the bank numerous prestigious accolades, including being named the “Best in Innovation- Global Winner” for 2024, for the second consecutive year by Global Finance magazine.
Al-Sager emphasized that NBK Group is dedicated to further advancing its reputation as a trusted financial partner by fostering deeper relationships with existing customers and capitalizing on emerging opportunities. He highlighted the Group’s commitment to reinforcing its leadership in investment and wealth management services across the region, noting the launch of the "NBK Wealth" brand in 2024, which has established the largest wealth management entity in Kuwait and positioned it among the leading providers in the region.
Al-Sager highlighted NBK’s significant advancements in sustainability during 2024, emphasizing the bank's commitment to its ESG strategy, which underscores its leading role in shaping a more sustainable and prosperous future for all. He noted that NBK was the first bank in Kuwait to join the Partnership for Carbon Accounting Financials (PCAF) and achieved a major milestone by issuing Kuwait’s first green bonds, valued at USD 500 million, solidifying its position as a trailblazer among financial institutions in the country.
In the meantime, Al-Sager emphasized NBK’s unwavering commitment to investing in human capital, highlighting that in 2024, the bank continued to attract and nurture young talent through top-tier training and development programs aligned with international standards. These initiatives aim to cultivate a highly skilled generation of banking professionals, with a particular focus on digital competencies that have become indispensable in the evolving landscape of banking transactions driven by advanced technology and artificial intelligence.
Operational Environment
Regarding his outlook for the operational environment in 2025, Al-Sager expressed optimism about the continued momentum in project awards, building on the progress achieved in 2024 amid political stability.
He noted that with decision-making now centralized within the government, processes have become more streamlined and efficient. Al-Sager also expressed hope that this positive trajectory would be complemented by the enactment of key laws and legislations aimed to bolster domestic economic growth.
Al-Sager emphasized that NBK aims to play a pivotal role in financing upcoming mega projects, further solidifying its position as the government’s primary partner in funding major strategic initiatives. He highlighted that the anticipated improvement in project awards, coupled with the downward trajectory of interest rates, is expected to positively impact credit demand across both corporate and retail sectors.
However, he acknowledged the persistence of certain challenges that could have adverse economic repercussions, particularly the ongoing geopolitical tensions at both regional and global levels.
Key financial indicators for FY2024
• Net operating income stood at KD 1.3 billion (USD 4.1 billion), up 7.2% year-on-year
• Total assets grew by 7.1% year-on-year, at KD 40.3 billion (USD 130.9 billion)
• Total loans and advances increased by 6.4% year-on-year to KD 23.7 billion (USD 76.9 billion)
• Customer deposits grew by 4.2% year-on-year to KD 22.9 billion (USD 74.2 billion)
• Shareholders’ equity amounted to KD 3.9 billion (USD 12.7 billion), registering an annual growth of 5.9%.
• Strong asset quality metrics, with NPL/gross loans ratio at 1.34% and an NPL coverage ratio of 263%
• Robust Capital Adequacy Ratio of 17.3%, comfortably exceeding regulatory requirements.