BML Profit Growth Driven by Business Expansion, Not Price Increases: CEO

CEO and Managing Director of Bank of Maldives (BML), Mohamed Shareef, has said that the bank’s profit growth has been driven by business expansion rather than increases in interest rates or fees.

Speaking on PSM’s Raajje Miadhu programme, Shareef addressed perceptions that BML’s profitability is linked to higher charges. He clarified that last year’s growth was achieved through increased lending and broader business activity.

“Last year, we issued loans worth over MVR 10 billion. This is the highest number of loans issued in a single year in the bank’s 43-year history,” Shareef said. He added that total net loans and advances rose to MVR 25.2 billion, marking a 25 percent increase compared to the previous year.

Shareef also noted improvements in asset quality, stating that the loan default rate declined by 1 percent. He said the bank’s income to self-sufficiency ratio reached 48.1 percent, which is four times higher than the legal requirement.

The bank also recorded strong customer growth, with 30,000 new customers joining BML last year. Customer deposits increased by 16 percent, reaching MVR 37.2 billion. According to Shareef, this reflects growing public confidence in the bank, driven by ongoing efforts to improve services and operations.

BML also reported strong financial performance, generating a net profit after tax of MVR 2.5 billion in the first half of the year, a 10 percent increase compared to the same period last year.

Commenting on the results, Shareef said the bank’s performance demonstrates its ability to deliver both financial success and national value.

“We have proven that the national bank can achieve strong financial results while also bringing positive change to the country. We are not just running a bank that makes a profit, we are building a bank for all Maldivians, for the generations of today and tomorrow,” he said.