MUSCAT ---The Conference of Directors of Oman Development Bank (ODB) discussed at the meeting held yesterday at the Al Bustan Palace Hotel the Bank's strategy for the next stage in the field of developmental loan program to support productive and value-added service projects. The Conference noted the importance of keeping up with developments in the country and paying attention to individual-owned projects to improve lending services that could contribute to expanding the developmental loans for various economic initiatives and projects. Hamad bin Salim al Harthy, acting Director General of ODB Bank, in his speech at the opening of the conference said that the idea of the Conference is embodied in opening a direct dialogue between managers and executive management and listening to ideas and opinions and constructive proposals aim at pushing forward the Bank.
He added that ODB accomplished many achievements over the past 10 years, including the low rate of defaults from 60 percent in 2004 to 8 percent in 2013 and that the past 10 year new lending saw a 4 per cent default. The loan portfolio rose by more than 8 times, as it was RO 25 million only in 2004, and it approached RO 122 million by the end of 2013 approached 122 million. Al Harthy, in his speech, noted that ODB moved from accumulated losses that amounted by the end of 2002 to more than RO 14 million to accumulated profits of RO 39 million by the end of 2013 and the Bank's assets rose from RO 31 million in 2005 to RO 161 million at the end of 2013.
He stressed that the strategy of the Bank is to raise the level of loan portfolio by 15 per cent and to reduce the rate of default to be minimal and less than 3 percent of total Bank portfolio level and to initiate new financing products to meet the customer requirements, in addition to providing some technical support to entrepreneurs to enable them to better develop their works. Al Harthy said that the strategy also requires the continued expansion of the branch network to expand services in the various governorates of the Sultanate when feasibility study is proven.
© Oman Daily Observer 2014
