FY 2025 Financial Results

RAKBANK delivers AED 2.6B in profit* (up 26%) and crosses AED 100B in total assets

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Press Release

27/1/2026 
*Profit after tax
Ras Al Khaimah, United Arab Emirates, January 27, 2026 - The National Bank of Ras Al Khaimah (RAKBANK) today reported its financial results for the full year and the fourth quarter of 2025
<img src="/contentassets/bcba974259964982a584c39a9404769d/q4_2025_pat.png" alt="" width="884" height="299" />*All variances are YoY
50 years of sustainable growth &ndash; all-time high&nbsp; profitability...&nbsp;
FY&rsquo;25 performance supported by net interest margin of 4.3%, an industry leading CASA ratio of 65%, and a 29% YoY growth in non-interest income driven by wealth management, FX and investment income&nbsp; &nbsp;
&nbsp;
...driven by product innovation &amp; balance sheet growth &nbsp;
The Bank&rsquo;s balance sheet grew by AED 16.7B YoY with Gross Loans &amp; Advances growing by 11.7% YoY to AED 56B, deposits growing by 18% and launch of new products like new wealth products, SME payment capabilities, crypto brokerage and corporate&nbsp; escrow services &nbsp;
&nbsp;
...with robust credit quality and capital adequacy &nbsp;
Impaired loans ratio has improved to 1.9% from 2.2% for same period last year and CAR ratio remained stable at 18.1%,well above regulatory requirements &nbsp;
&nbsp;
&hellip;alongside our highest ever investments
In technology, people, infrastructure, and premises increased by 20% YoY &nbsp;
&nbsp;
&hellip;and outstanding shareholder returns &nbsp; &nbsp;
In FY&rsquo;25 shareholder returns improved further with return on common equity at 20.2%, up from 18.4% in PY and return on assets at 2.8%, up from 2.6% in PY &nbsp; &nbsp;
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H.E. Mohamed Omran Alshamsi, Chairman: 2025 marked another strong year of progress for RAKBANK, reflecting the consistent execution of our strategy and the strength of our franchise. Our focus on disciplined growth, digital innovation and delivering meaningful customer experiences enabled the Bank to achieve record profitability of AED 2.9B before tax, reinforcing our position as a resilient and trusted financial institution in the UAE.
At RAKBANK, our purpose extends beyond financial performance. For over 50 years, we have supported generations of colleagues and customers, working alongside the communities we serve to contribute to the UAE&rsquo;s long-term economic ambitions. We remain committed to enabling financial inclusion, empowering customers and driving sustainable growth across our communities. Our microfinance programme continues to play a meaningful role in this journey by providing accessible and responsible financing to those who need it most. During the year, we crossed new milestones, surpassing 593,000 loans disbursed to blue-collar workers, representing a total value of AED 344 million. These initiatives help customers meet essential needs, manage cash flow, and build greater financial resilience. This impact is further strengthened through financial literacy initiatives led by RAKBANK colleagues, who delivered more than 2,500 hours of education to support informed financial decision-making and long-term financial wellbeing.&nbsp;&nbsp;
Throughout the year, we continued to invest in digital capabilities and new propositions that enhance accessibility, convenience and trust, while ensuring that human connection remains central to how we serve our customers.
Our transformation into a digital bank with a human touch has been underpinned by sustained investments in technology, data and ways of working. These foundations are enabling the Bank to operate with greater efficiency and agility, while maintaining strong governance and risk discipline. Importantly, this progress has been driven by the collective commitment and capability of our colleagues, whose dedication continues to be a key differentiator for RAKBANK.
As a trusted partner in the UAE&rsquo;s growth, we remain focused on developing Emirati talent and building future-ready capabilities across the organisation. By investing in learning, leadership development and inclusive career pathways, we are contributing to the UAE&rsquo;s broader vision for sustainable growth and economic diversification.
Looking ahead, we approach the future with confidence. While global and regional dynamics will continue to present challenges, we believe the UAE&rsquo;s economic outlook remains strong, supported by forward-looking leadership and structural reforms. With a robust balance sheet and a clear strategic direction, RAKBANK is well positioned to deliver sustainable value for our shareholders while continuing to support our customers and the wider economy.
As we mark fifty years, this moment provides an opportunity to reflect on decades of service, partnership and contribution alongside the UAE&rsquo;s development. It also reaffirms our commitment to our customers, communities and economy we will continue to support as we build the future together.
On behalf of the Board of Directors, I would like to thank our colleagues, customers, partners and shareholders for their continued trust and support. As we build on our progress and enter this important milestone year, we remain committed to delivering responsible growth and contributing positively to the UAE&rsquo;s ongoing journey of progress.
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<img src="/contentassets/bcba974259964982a584c39a9404769d/raheel-ceo.png" alt="CEO RAKBANK" width="209" height="209" />
Raheel Ahmed, Group Chief Executive&nbsp;Officer, RAKBANK said:&nbsp; As RAKBANK prepares to mark its&nbsp;50th anniversary, we do so from a position of strength and confidence. This milestone is a shared celebration with our customers,&nbsp;communities,&nbsp;and&nbsp;colleagues, reflecting five decades of trust and partnership.
Against this backdrop, 2025 was a defining year for RAKBANK, where ambition turned decisively into execution. We delivered record profitability while reinforcing the foundations of a franchise built to lead in a digital‑first future. Guided by our vision to be digital with a human touch, we advanced our strategic programs across SMEs, wealth, payments, Wholesale Banking, data, technology, and customer experience,&nbsp;proving that disciplined execution and innovation can move the organization at scale.
We delivered record profit before tax of AED 2.9B, supported by diversified income streams, sustained balance sheet growth and strong asset quality. We also crossed AED 100B in total assets for the first time in our history, a major milestone that reflects our strong momentum and the quality of our products and services. Customer deposits reached AED 70B, reinforcing the strength and resilience of our balance sheet and the deep trust our customers continue to place in us.
At the heart of our&nbsp;journey&nbsp;is a simple belief: that banking should serve people. In 2025, this belief shaped how we used technology and data to create simpler,&nbsp;faster&nbsp;and more intuitive experiences for our customers, while improving efficiency across the&nbsp;organisation. Mission Zero became firmly embedded as a mindset, driving measurable improvements across customer journeys through a focus on zero errors, zero&nbsp;delays,&nbsp;and zero complaints.
Our digital platforms continued to scale. The Bank recorded over 58M digital logins during the year. Our AI-powered digital assistant, Rai, available to over 270,000 customers, delivering instant, personalised service while reducing friction and improving responsiveness.
In Personal Banking, we launched our premium Elevate Credit Card, and inaugurated new Elite Banking Centres in Dubai, Abu Dhabi and Ras Al Khaimah which further strengthened our wealth propositions. We processed over AED 280B in payments, giving customers a seamless and secure way to send and receive money and stay connected with their families.
SME banking has always been at the heart of RAKBANK&rsquo;s strategy and identity. Over the past fifty years, we have supported more than 250,000 businesses, helping entrepreneurs across the UAE build, grow and succeed. In 2025 alone, we onboarded more than 22,000 budding entrepreneurs with AED 4.7B in loans disbursed. This year, we strengthened our SME offerings by launching Speed-e-pay, a digital invoicing solution that enables faster cash flow and instant payments through secure links. We also launched QR Code-based payments powered by AANI, for our SME clients, delivering real-time settlement, lower costs, and seamless scalability. Our leadership in SME banking was recognised when RAKBANK was named Euromoney&rsquo;s Best Bank for SMEs in the UAE, reflecting the deep trust our business customers place in the Bank.&nbsp;
In Wholesale Banking, we continued to expand our capabilities, executing landmark transactions across escrow, supply chain finance,&nbsp;aircraft&nbsp;financing&nbsp;and debt capital markets, while deepening partnerships with corporates and financial institutions.
Beyond traditional banking, our ecosystem offerings gained momentum.&nbsp;Skiply&nbsp;serves more than&nbsp;350,000 students, while&nbsp;Protego, our insurance aggregator, continued to scale as a digital insurance platform.&nbsp;
Our microfinance&nbsp;programme&nbsp;surpassed&nbsp;593,000&nbsp;loans disbursed to blue-collar workers&nbsp;advancing financial inclusion.&nbsp;2025 was also a landmark year for collaboration, as we strengthened partnerships with leading global and regional players including Bitpanda, Faturalab and IFZA, alongside our&nbsp;strategic partnership with Network International, enhancing our acquiring capabilities and delivering best-in-class payment experiences for customers across the UAE.&nbsp;&nbsp;
Our achievements have garnered widespread external recognition with&nbsp;over&nbsp;50&nbsp;industry awards, underscoring RAKBANK&rsquo;s undisputed credibility.
2026 marks RAKBANK&rsquo;s 50th anniversary, a significant milestone in our journey. It is a moment to&nbsp;reflect on&nbsp;five decades of trust,&nbsp;relationships&nbsp;and service, while&nbsp;remaining&nbsp;firmly focused on the future we are building. The principles that have guided RAKBANK for fifty years continue to shape how we invest in technology,&nbsp;talent&nbsp;and capabilities to deliver sustainable growth and meaningful impact.
Looking ahead,&nbsp;the global operating environment&nbsp;continues to evolve amid rising geopolitical tensions. While global growth has shown resilience through shifting trade dynamics, the pace and complexity of change requires continued vigilance.&nbsp;The UAE continues to&nbsp;demonstrate&nbsp;strong momentum, supported by a vibrant non‑oil economy, resilient external fundamentals, and steady progress in its diversification journey.
I would like to thank our colleagues for their dedication, our customers for their trust, and our partners and shareholders for their continued support. Together, we are building a stronger, more resilient RAKBANK, confident in our purpose and ready for the opportunities ahead.
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Record profitability driven by diversified income streams and robust credit quality
Operating income for FY&rsquo;25 amounted to AED 5.2B, up 10% YoY; for Q4&rsquo;25, operating income was AED 1.3B, reflecting an increase of 10% YoY. Net interest income increased by 3.5% YoY to AED 3.7B for FY&rsquo;25, supported by growth in total assets and a resilient NIM of 4.3% for the year, underpinned by an industry‑leading CASA mix (Dec&rsquo;25 CASA ratio: 65%). The Bank&rsquo;s risk‑adjusted NIM stayed flat to prior year at 3.7%, despite the impact of interest rate cuts.
Non‑interest income reached AED 1.5B, increasing by 29% YoY, driven by the Bank&rsquo;s diversified income streams, particularly due to growth in fee and commission, FX and investment income. Fee to total income ratio increased to 28.7% compared to 24.4% in FY&rsquo;24. Operating expenses for FY&rsquo;25 were AED 1.9B (+12% YoY), reflecting an increase in volume related expenses and ongoing investments while maintaining cost discipline, with cost-to income ratio at 35.8% vs 35.2% last year. Net impairment charge of AED 451M decreased by 42% YoY, with the impaired loans ratio improving to 1.9% from 2.2%, and cost of risk closing at 0.9% compared to 1.7% in the prior year. For Q4&rsquo;25, Profit Before Tax was AED 581M, up 37% YoY, consistent with the full‑year performance and the continued improvement in impairment charges.
Total Assets crossed&nbsp;AED 100B
Total assets increased by 19% YoY and reached AED 105B as at Dec&rsquo;25 (+ AED 16.7B vs Dec&rsquo;24). Gross loans and advances grew by 12% YoY to AED 55.9B, with growth delivered across segments: Personal Banking loans and advances increased by AED 1.7B to AED 25B, supported by mortgage and expat lending; Business Banking loans and advances rose by AED 646M to AED 11.3B, driven primarily by SME and commercial loans; and Wholesale Banking loans and advances increased by AED 3.6B to AED 19.7B, reflecting growth across corporate and financial institutions. Due from other banks at AED 16.4B and investment securities at AED 19.5B&nbsp; at Dec&rsquo;25, increased by 32.8% and 17.3% YoY, respectively. On the funding side, customer deposits increased by % YoY and reached AED 70.5B. CASA deposits grew by 22.7% to AED 45.8B, with a CASA ratio of 65% &mdash; one of the highest in the industry. Deposit growth was led by Personal Banking and Business Banking, where deposits grew mainly through low-cost funding with CASA ratios of 76.8% and 88.2%, respectively. Wholesale Banking deposits were also driven mainly by CASA, with the CASA ratio improving to 27.5% from 15.4% last year.
Cash Flows
Cash and cash equivalents as at Dec&rsquo;25 stood at AED 15.1B increasing by AED 4.9B compared to Dec&rsquo;24. Net cash generated from operating activities for FY&rsquo;25 was AED 5.9B, AED 2.6B was used in investing activities and AED 1.7B was received from financing activities
Impact of Capital Expenditure and developments
Capital Expenditure for FY&rsquo;25 amounted to AED 281M compared to AED 234M for the same period last year, as the Bank continues to invest in technology and infrastructure.
Ratings
RAKBANK is rated by leading rating agencies. These ratings reflect the institutional strength of the Bank that is backed by trust and transparency in financial reporting and disclosures. 
During the reporting period both Fitch and Moody&rsquo;s have reaffirmed their credit ratings while Moody&rsquo;s has also upgraded Bank&rsquo;s credit Outlook from &lsquo;Stable&rsquo; to &lsquo;Positive&rsquo; underscoring the Bank&rsquo;s strong track record of executing its transformation.
<table class="rak-table">
<thead>
<tr>
<th>
Rating Agency
</th>
<th>
Last Update
</th>
<th>
Deposits
</th>
<th>
Outlook
</th>
</tr>
</thead>
<tbody>
<tr>
<td>
Moody&rsquo;s
</td>
<td>
March 2025
</td>
<td>
Baa1/ P-2
</td>
<td>
Positive
</td>
</tr>
<tr>
<td>
Fitch
</td>
<td>
March 2025
</td>
<td>
BBB+/F2
</td>
<td>
Stable
</td>
</tr>
<tr>
<td>
Capital Intelligence
</td>
<td>
August 2025
</td>
<td>
A/A1
</td>
<td>
Stable
</td>
</tr>
</tbody>
</table>
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Financial Highlights for FY 2025 
<img src="/contentassets/bcba974259964982a584c39a9404769d/q4_2025_ni.png" alt="" width="823" height="423" /> <img src="/contentassets/bcba974259964982a584c39a9404769d/q4_2025_ta.jpg" alt="" width="696" height="197" /> <img src="/contentassets/bcba974259964982a584c39a9404769d/q4_2025_roce.jpg" alt="" width="635" height="335" />
<ol>
<li style="font-style: italic;">Net Interest Margin is calculated based on average interest earning assets</li>
<li style="font-style: italic;">Stage 3 Loans and Advances to Gross Loans and Advances</li>
<li style="font-style: italic;">FY'24 After application of Prudential Filter, filter no longer applicable in FY'25</li>
</ol>
RAKBANK Awards &amp; Accolades for&nbsp; FY 2025
<img style="max-width: 100%;" src="/contentassets/bcba974259964982a584c39a9404769d/awards1.png" alt="" /> <img style="max-width: 100%;" src="/contentassets/bcba974259964982a584c39a9404769d/awards2.png" alt="" />
Raheel Ahmed Group Chief Executive Officer

FY 2025 Financial Results

RAKBANK delivers 2.6B in profit* (up 26%) and crosses 100B in total assets