Chairman`s Message

Rashid bin Saif Al Saadi


Dear Shareholders,

On behalf of the Board of Directors of Taageer Finance Company SAOG, I am pleased to present the audited financial statements for the year ended 31st December 2021.

Performance Summary

As per the financial results for the year 2021 the total Income for the year ended December 31, 2021 is RO 18.9 million as compared to RO 17.9 million for the year ended December 31, 2020 registering an increase of 5.6%. The Interest Expenses for the year 2021 stood at RO 8.23 Million as compared to RO 8.43 million for the year 2020 (reduction of 2.37%). The Company registered Profit of RO 5.86 Million before Expected Credit Losses (ECL) charge and taxation for the year 2021 as against RO 4.49 Million for the previous year an increase of 30.51%. The Net Profit after ECL charge of RO 2.854 million and RO 459k Taxation stood at RO 2.543 Million for the year 2021 vis-à-vis RO 2.070 Million for the year 2020 an increase of 22.85%. Gross portfolio registered a growth of 3.70% over 2020 and stood at RO 252 Million as on 31st December 2021 (Dec 2020 RO 243 million). The cumulative borrowings including unsecured non-convertible bonds stood at RO 136 million (2020 – RO 129 million).

Cumulative provisions as at Dec 2021 is RO 20.05 million as per IFRS 9 requirements. Allocation to ECL has increased by 41.22% during 2021 as compared to the previous year reflecting prudence judgement on ECL.

Issue of Unsecured Non-Convertible Subordinated Bonds

Focusing on the need for diversification of funding avenues, Taageer Finance successfully issued 2 year Unsecured Non-convertible Subordinated Bonds worth RO 13.232 million through private placement which was oversubscribed by 32.32%.

Impact of COVID-19 and Taageer’s measures

Financial institutions across the world are continuously monitoring and making efforts to deal with the effects of the COVID-19 pandemic. They are working to understand the immediate challenges to society and economies, and the long-term impact on the interconnected financial system. They are using their expertise to help themselves and their customers to make good decisions to support the business needs in a highly volatile operating environment prevailing currently. Your Company implemented the Supreme Committee guidelines on Covid Protocols and ensured that the entire staff and their families are fully vaccinated. Created remote work platforms / staff rotation to ensure continuity in operations.

Your Company initiated various measures to facilitate deferment requests received from customers within the guidelines stipulated by the Central Bank of Oman. Pro-active measures to ensure healthy and safety of the employees and the customers were initiated with the guidance of the decisions announced by the Supreme Committee. The Company has ensured that the employees and their families were fully vaccinated.

Taageer is taking all initiatives to swiftly enhance its fintech capabilities and implement digital transaction channels. It aims to offer a complete digital experience to its customers.

Change in the Composition of the Board

During the year 2021 at the Annual General Meeting held on 24 March 2021, Mr. Ali Mohammed Ali Al Farsi and Mr. Omar Mohamed Nasser Al Rasbi were elected as Directors. Mr. Hussain Mohamed Redha and Mr. Engr. Ahmed Hamed Al Subhi resigned from the Board.

Proposed Dividends

The company has distributed dividends consistently year on year since the commencement of business. The Board of Directors are pleased to recommend a cash dividend of 3 baizas per share (RO 760,770/-) and stock dividend of 2 Baiza per share for the financial year 2021, for approval by the shareholders at the Annual General Meeting to be held on March 27, 2022.

Corporate Social Responsibility (CSR)

During the year the company kept its spirit of contributing to the community by taking several initiatives to support CSR activities in the areas of Education and Health. As a part the company’s commitment to disaster relief an amount of RO 50,000 was pledged as contribution to Oman Charitable Organization towards relief and rehabilitation of areas severely affected by tropical cyclone during Q4 2021. The contribution will be placed for ratification of shareholders at the Annual General Meeting scheduled to be held on 27 March 2022.

Corporate Governance

The company continued its commitment to adhering to the highest standards of Compliance and Corporate Governance. As elicited more elaborately in the Corporate Governance Report, we assure you that the Company has in place policies and procedures that are commensurate to the operations and established internal controls.

Future Outlook

The infrastructure sector has a role to play in paving the way for societies towards economic recovery, reinforced by sustainable and resilient growth. Oman has approved its annual budget for 2022, allocating 12.13 billion Omani riyals ($31.5bn) for spending, with a focus on basic public services, from health to social support, stimulating investment. This certainly reflects a positive outlook and business units are effervescent with energy and enthusiasm.

Rating agencies have improved the sovereign ratings following positive movements in key fiscal metrics, including government debt, GDP and the budget deficit.

With its strong leadership and skilled management team, the Company is well placed to maintain its high standards in doing business through technological innovation, liability management, process automation. With the expected improvement in the economy and the customer centric approach being adopted by the Company the year 2022 looks promising.


On behalf of the Board of Directors, I wish to express sincere gratitude to His Majesty Sultan Haitham bin Tareq bin Taimour for his vision and wise leadership.

I would also like to take this opportunity to express our sincere appreciation and acknowledgment for the guidance and support from the Central Bank of Oman, Capital Market Authority and Muscat Securities Market. We are also grateful to our shareholders, bankers, dealers and customers for their continued trust, confidence and support. Finally, the Board would like to appreciate and thank the management and the staff for all their hard work and efforts.

On Behalf of the Board of Directors


Rashid bin Saif Al Saadi