National Bank of Bahrain outlines expansion plans

• Already in UAE and Saudi
• Looking at Turkey and Egypt
• NBB and BBK in merger talks

National Bank of Bahrain is looking to expand into Turkey, Egypt and Central Asia as protracted merger talks with Bank of Bahrain and Kuwait gather pace.

The lender already operates beyond its home country, including in the UAE and Saudi Arabia. While group chief executive Usman Ahmed said the bank plans to deepen its presence in both countries, he pointed to “significant opportunity” in selected markets further afield.

“We see the potential to do business in Turkey, in markets like Egypt and possibly in some Central Asian states, where we can build good quality exposure in a very controlled manner,” Ahmed said on an earnings call on Tuesday.

NBB reported a 4 percent increase in its net profit for 2025, compared to the previous year, reaching BHD85.1 million ($225.7 million). Earnings per share increased to 38 fils (10 cents) for the year compared with 36 fils in 2024. 

The bank, which is 49 percent owned by Bahrain’s Mumtalakat Holding Company, is continuing its discussions with Bank of Bahrain and Kuwait (BBK) about a potential merger.

Ahmed said that McKinsey has been appointed as the due diligence adviser, although he was unable to provide a timeframe for the move. Talks on amalgamating the two banks began in 2024.

“There’s obviously very close coordination happening between both the banks,” he said. “I think both teams are very keen to move at pace.”

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BBK announced a net profit for 2025 of BHD80 million ($121 million) on Tuesday, up 11.1 percent on the previous year. Earnings per share amounted to 44 fils compared to 40 fils in 2024.

The two lenders have played a prominent role in Bahrain’s domestic banking, both retail and wholesale, for decades. NBB was licensed in 1957 and BBK in 1971.

Shares in NBB closed at 0.49 BHD ($1.32) per share on Wednesday, marginally down for the year-to-date while BBK ended the day at 0.518 BHD ($1.37) per share, a slight improvement since the start of 2026.