UMM AL QAIWAIN - National Bank of Umm Al Qaiwain (NBQ) announced its financial results for the year ended December 31st, 2022. The bank has posted a net profit of AED 364.52 million, a 38 percent increase from the previous year.

The cost-to-income ratio was 28.93 percent, an improvement of 588 basis points compared to 2021, reflecting the bank's operational efficiencies and disciplined cost management.

To ensure adequate cushions during current challenging times, the bank has exercised prudence and built up provisions, holding collateral and specific provisions to the tune of 183.10 percent for the vast majority of non-performing loans.

Total assets were at AED 13.605 billion, up 3.5 percent compared to December 2021, with a deposits-to-advances ratio of 126 percent.

The Capital Adequacy Ratio was 44.27 percent, well over the minimum threshold stipulated by the Central Bank of the UAE in accordance with Basel III guidelines, while the Tier I ratio was maintained strongly at 43.13 percent.

The bank has maintained high liquidity with a stable resources-to-advances ratio of 159.21 percent as of December 31st, 2022, exceeding the minimum limit set by the Central Bank of the UAE.

The Net Stable funding ratio was also strong at 122.32 percent compared to the minimum stipulated ratio of 100%.

Adnan Al Awadhi, CEO of NBQ, highlighted the bank's crucial role in supporting the economic transformation of the UAE. "Our goal is to continue enhancing our competitive position and maximize our positive impact on stakeholders and communities," he said.

He added that the bank sees sustainability as an opportunity to support the national economic agenda and meet the evolving needs of its customers, while effectively managing risk to ensure the bank's long-term success.