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- Bond holders have earned up to 5.84% in returns on their savings for 2023
Dubai, UAE: National Bonds, a leading Sharia-compliant savings and investment company in the UAE, today announced another remarkable year marked by significant growth, consistent profit sharing for customers, and a relentless focus on profound customer engagement, as evidenced by the introduction of novel saving solutions and ongoing digitization efforts.
The investment portfolio of National Bonds crossed AED 14 billion (US$3.8 billion) as of December 2023 reaffirming the company’s position as a trusted financial partner for UAE nationals and residents seeking a simplified rewarding savings journey, tailored to their unique needs and aspirations.
National Bonds continues to maintain a robust track record since inception delivering solid and competitive returns to its customers. This dedication to generating consistent returns is a testament to the success of the company’s diversified investment approach.
A Stellar Year in Numbers
Since its inception in 2006, National Bonds has proudly distributed approximately AED 2.9 billion in profit payouts and prizes, demonstrating its commitment to delivering value to bondholders. Bond holders enjoyed returns up to 5.84% on their savings for 2023, highlighting the steady growth of the company’s investments, as well as the successful execution of its multifaceted strategy.
National Bonds’ customer-centric approach, combined with increasing public awareness of the importance of saving and investing, led to a significant growth of the company’s customer base. Compared to 2022, National Bonds' total number of new customers grew by a staggering 215% compared to the previous year.
Seeds of Growth
In 2023, National Bonds focused on promoting financial literacy and offering rewarding savings options, resonating with customers, and fostering responsible financial management and long-term wealth creation.
National Bonds has opened new avenues of savings for a diverse range of customers through the introduction of several exciting programs. These include "EIBOR Plus," an innovative Sharia compliant new product based on the EIBOR benchmark which is available for up to 3 years of investment, the "My One Million" plan, intended to accelerate achieving AED 1 million in combined savings and cumulative profits at the conclusion of the tenor, and the flexible "Second Salary" savings plan, designed to assist UAE nationals and expats in securing a supplementary retirement income.
The ongoing digital transformation at National Bonds has revolutionized the customer experience, with enhancements across mobile, website, and back-office platforms. By effectively responding to the demand of today’s customers for next generation saving solutions that can meet them wherever they happen to be, National Bonds has witnessed an increase of 74% digital users in 2023 as compared to 2022. With the growing popularity of digital savings, National Bonds aims to provide pioneering gamified savings opportunities while staying at the forefront of seamless customer experience.
Khalifa Al Daboos, Chairman of National Bonds, said: “National Bonds celebrates a stellar year with a robust AED 14 billion investment portfolio and an ever-growing customer base. This growth directly translates towards a multitude benefit for our customers, as we uphold our commitment to generate a competitive annual profit distribution. The strong foundation of our diversification strategy and our dedication to promoting financial well-being across the UAE both contributed to last year’s success. As we look forward, National Bonds stands ready to seize upon the momentum generated in 2023. This momentum, coupled with the ambitious economic initiatives undertaken by the UAE’s visionary leadership, sets the stage for further growth. We are poised to capitalize on this opportunity, leveraging our expertise and resources, to continue delivering unparalleled value and financial stability to our customers.”
Mohammed Qasim Al Ali, Group CEO of National Bonds, further emphasized, "At National Bonds, our commitment extends beyond mere financial returns, embracing a comprehensive approach to savings and investments. We are confident that our dynamic range of evolving programs, rewarding prizes, and financial literacy efforts will empower individuals and organizations towards a more robust financial trajectory. Looking ahead, as the UAE pursues its ambitious economic goals, National bonds is poised to play a pivotal role in promoting greater financial awareness and better retirement planning.
“This is witnessed by a remarkable 122% increase in new regular savers which reflects the tangible success of our financial literacy engagement initiatives. This surge underscores the effectiveness of the company’s efforts in reshaping people’s perspectives on savings—an essential stride towards achieving financial stability and security.”
Moving Forward
The UAE's ambitious goal of doubling its economy by 2033 is expected to stimulate increased investments across various sectors. This, in turn, is anticipated to have a positive effect on saving behaviors, promoting greater financial awareness, and encouraging better retirement planning. With a booming economy, UAE nationals and residents are likely to feel more confident in their ability to save and invest for their future.
Recently, the company unveiled the revamped Rewards Program, which encourages savings with an incredible annual reward pool of 35.5 million AED, including AED 8 million for 8 winners and 16 high-end cars, among other amazing prizes.
Embracing the nation's economic aspirations, National Bonds is well positioned to take centre stage in being the premiere savings and investment specialist in the nation. As awareness of the importance of saving grows, people become better equipped to navigate the complexities of the financial world and make sound financial decisions for their future. Cultivating an environment that supports wealth creation and fosters long-term financial stability, National Bonds is determined to cement its status as the savings and investment partner of choice and keep making a significant impact.