The Maldives’ main bank recorded a profit of over MVR 1 billion last year, marking 2016 as the bank’s most profitable year in history.
According to Bank of Maldives Ltd (BML)’s statistics for the final quarter of last year, the bank made a profit of MVR 281.8 million during the last three months of 2016. The total profit for the year was MVR 1.03 billion, which is an increase of 56 percent from the previous year.
BML had also recorded a high revenue last year with MVR 528 million earned in the final quarter, totalling a revenue of over MVR 2 billion for 2016.
Bank tax at MVR 345 million in 2016
BML had paid MVR 345 million as the 25 percent banks have to pay to the state as taxes. Including taxes, the bank’s profit for 2016 stands at MVR 1.3 billion.
BML to up investments to MVR 300 million
The bank had announced that it plans to invest total MVR 300 million to expand its services in 2017 as a result of doubling its profit by the end of the third quarter last year.
BML’s project to expand services in the Maldives:
- 150 new jobs (75 in the atolls, the rest in capital Male City)
- 7 new branches
- 4 trade centres
- 20 ATMs
- A new customer service centre in capital Male
- A new call centre in Addu City
- 10 new Corporate Social Responsibility (CSR) programmes
The new investments include establishing 7 new branches and 4 trade centres to expand BML services to the atolls, developing a customer service centre in capital Male and a call centre in Addu atoll in the south of Maldives, and setting up 20 more ATMs across the archipelago. BML also plans to create 150 more jobs this year, increasing the bank’s workforce from 850 to 1000. While half of the new jobs (75) will be in the atoll islands, the rest will be based in the greater Male region comprising of the capital city and its suburbs Villimale and Hulhumale. The bank will also carry out ten CSR programmes in 2017.
Lower profit projected for 2017
BML’s CEO Andrew Healy stated that despite the record profit in 2016, the bank’s profit is expected to decrease this year. He attributed this to the bank’s largest investment program which will be conducted in 2017 as well as BML’s decision to slash interest rate for some of its loan schemes.
However, CEO Healy declared that the bank’s capable team will keep moving forward and expressed hopes for another lucrative year with more customers.
The main bank of the Maldives has also shuffled its executive team for the new year to support its business expansion plans. Effective from January 2, Mohamed Shareef, former Retail Banking Director, became Director of Operations as well as a Deputy CEO, while Kuldip Paliwal, former Director of Corporate Banking, became Director of Business, assuming responsibility of both Retail and Corporate Banking. BML has also appointed Zulkarnain Taman, an experienced international Islamic Banking professional, to take up the new position of Director of BML Islamic to support the Bank’s growth ambitions in this area.
BML has been continuously expanding its services and presence across the archipelago with more branches and self-service kiosks. Currently, the bank has established 31 branches, 78 ATMS and 4,000 POS, 190 cash agents and 19 self-service banking centres across 20 atolls. The bank also operates five boat banking units for islands without BML branches, as well as online and mobile banking services.