Muscat – Bank Muscat, the flagship financial institution in Oman, has proposed to distribute a 15 per cent dividend for the year 2022.

The meeting of Bank Muscat’s board of directors, chaired by Sheikh Khalid bin Mustahail al Mashani, chairman, on Tuesday approved the bank’s 2022 financial results and dividend payout, subject to the formal approval of the annual general meeting of shareholders and regulatory authorities.

The board has proposed a 15 per cent cash dividend for the year 2022. Bank Muscat shareholders would receive a cash dividend of 15bz per ordinary share aggregating to RO112.596mn on the bank’s existing share capital.

The bank’s capital adequacy ratio (CAR) after the cash dividend payout will be 21.25 per cent, which is well above the minimum regulatory requirement.

Bank Muscat posted a net profit of RO200.75mn for the year 2022 compared to RO189.63mn reported in 2021, an increase of 5.9 per cent.

The bank’s net interest income from conventional banking and net income from Islamic financing stood at RO344.86mn for the year ended December 31, 2022 compared to RO335.54mn for the same period in 2021, an increase of 2.8 per cent.

Non-interest income came at RO157.96mn for the year ended December 31, 2022 as compared to RO139.94mn for the same period in 2021, an increase of 12.9 per cent, mainly due to higher investment income.

Bank Muscat’s operating expenses for the full year 2022 increased by 8.3 per cent to RO207.30mn as compared to RO191.46mn for the same period in 2021.

The bank’s net impairment for credit and other losses for the year ended December 31, 2022 marginally decreased to RO59.94mn as against RO60.22mn for the same period in 2021.

Bank Muscat’s net loans and advances including Islamic financing receivables increased by 2.5 per cent to RO9.417bn as at December 31, 2022 as against RO9.191bn a year ago.

Customer deposits including Islamic customer deposits decreased by 1.5 per cent to RO8.647bn as at December 31, 2022 as against RO8.775bn a year ago.