Oman Development Bank (ODB) aims to achieve a double digit growth in loan portfolio with its total funding expected to reach OMR411 million by 2022, from the current OMR137 million in 2017.
Presenting the new strategy of the ODB for the period between 2018 and 2022, Dr Abdulaziz bin Mohammad Al Hinai, CEO of the ODB. said that the total funding during the last 10 years amounted to OMR428 million.
The funding for the industrial and mining sectors reached OMR187 million, which is 46 per cent of the total loans given by the bank. The fisheries sector got OMR72 million, which is 18 per cent of the bank’s total loans during the period. It gave loans of OMR52 million to tourism and professional services sectors, which made up 15 per cent of the total funding.
The ODB’s funding for livestocks was OMR52 million, making up 13 per cent of its total financing. Some five per cent of its total funding worth OMR20 million went to the education sector, while OMR3 million, which is 3 per cent of the total funding, was given to the health sector in the last 10 years, according to Al Hinani.
Al Hinai pointed out that the ODB seeks, through its developmental financing, to provide employment opportunities for Omani youth and to enhance self-employment opportunities. He noted that some 41,000 projects financed by the bank had provided employment opportunities with 103,400 jobs.
He stressed that the focus would be on supporting the production and services projects of small and medium enterprises (SMEs), especially the start-ups and innovative projects. The ODB will provide them with a range of integrated financing products, tailored to the needs of each segment of entrepreneurs, and these will be focused on small and medium enterprises. The bulk of the loan will be allocated for these projects to support entrepreneurs and companies with a good record of performance.
The new strategy of the ODB is to open new horizons for developmental financing. It is the area in which the ODB has been engaged for many years.
The new strategy will be the bank’s contribution to the five-year plan, which is aimed at diversification of the sources of income, encouragement to investors, achievement of self-reliance in a number of products and consumer goods, creation of job opportunities for Omani youth and strengthening of the Omani market, maintained Dr Abdussalam bin Nasir, deputy chairman of the ODB, in his keynote address.
On this occasion, a documentary film about ODB’s contribution to development financing was also shown. The film has recorded the efforts being made by the bank to encourage productive projects and services by financing and adding value to development financing in the area of industry, tourism, education, health, agriculture and fisheries. The film also showed the success stories of projects that were financed by the ODB.
As part of the celebrations, an exhibition of SMEs was also organised with the participation of some 25 beneficiaries of the ODB. Speaking on the occasion, Minister Darwish bin Ismail bin Ali Al Bulushi lauded the efforts being made by the ODB to provide loans and contribute to the growth of the Sultanate. He said that the initiatives of the bank had added value to the national economy and helped entrepreneurs to be self-reliant.