Muscat: In a move reaffirming Bank Nizwa’s status as leading and most trusted Islamic bank in the Sultanate of Oman and robust financial position, Moody’s Investors Service (Moody’s) upgraded the bank’s outlook from 'Stable' to 'Positive'. This adjustment reflects Moody’s recognition of the bank’s strong capital reserves, stable liquidity, strong government support, and growing Islamic franchise supporting profitability and stable deposit-based funding structure, as well as its resilience in navigating market dynamics.

Additionally, Moody’s affirmed the bank’s long-term foreign and local currency deposit ratings at Ba1, along with its Baseline Credit Assessment (BCA) and Adjusted BCA at ba3. This highlights Bank Nizwa’s strong asset quality, profitability, and risk management efficiencies while also indicating potential improvements in governance and risk mitigation, thereby reinforcing the bank’s dedication to long-term financial stability.

Commenting on this achievement, Mr. Khaled Al Kayed, Chief Executive Officer at Bank Nizwa, stated, “Moody’s upgrade reflects Bank Nizwa’s sustained efforts to uphold the highest standards of operational excellence and its continued focus on financial strength in a dynamic market. It highlights our effective strategies and the strong investor confidence we have built through our resilient business model, prudent financial management, and Sharia-compliant transparent practices.”

He added, “Moody’s recent evaluation aligns with broader trends in the Islamic banking sector, which forecasts continued strong profitability and growth for Islamic banks in the GCC. The broader industry outlook further validates our strategic priorities as we enhance and expand customer relationships across various sectors, all while maintaining our established risk parameters. This strategy underpins our commitment to sustainable growth, ensuring we continue to deliver substantial value to our stakeholders while adhering to the principles of Sharia-compliant banking.”

Yet another key driver of Bank Nizwa’s growth has been its focus on product innovation and technological enhancements. By investing in advanced digital solutions and modern banking technologies, the bank ensures seamless, secure transactions and personalised client experiences. Meanwhile, its dedication to crafting sophisticated financial products, grounded in Islamic Sharia, allows the bank to address diverse customer needs effectively while enhancing service offerings and operational efficiency. This approach not only strengthens the bank’s competitive edge but also fosters customer loyalty, positioning Bank Nizwa as the most-trusted bank in the Islamic banking sector.

Bank Nizwa's commitment to setting industry benchmarks has been critical to building trust amongst investors. The bank’s strong market position and successful strategic initiatives further reinforce its reliability and capacity for long-term value creation in the Islamic finance sector. In addition, with a keen focus on compliance measures, continuous improvement, and responsible practices, the bank consistently maintains its pioneering stance in the local market.