RAKBANK’s Journey: Retail, Islamic Finance, and Award-Winning Banking Services

RAKBANK, the leading retail and business bank in the country, continues to prove its flexibility and innovation within this fast-paced financial world. On one hand, the bank’s total assets amounted to AED 52.8 billion; AED 36.9 billion of this deposits have been recorded at year-end 2020 and have cemented its position as a reliable financial partner. From introducing its Islamic banking division, RAKBANK AMAL to acquiring a majority stake in Ras Al Khaimah National Insurance Company (RAKNIC), this bank has just expanded on a stead building curve. Let’s take a dive into the story of RAKBANK, its growth and services, and achievements in the UAE banking sector that make it all the more unique.

RAKBANK, also referred to as the UAE National Bank, was founded in the middle of the United Arab Emirates. This bank mainly focuses on providing accessible and diversified banking solutions. With assets reaching a figure of AED 52.8 billion and deposits of AED 36.9 billion by the close of the year 2020, it has created its niche as the leading retail and business bank in the UAE. The bank has always concentrated on providing customer-centric banking solutions through its large network of 27 branches, ATMs, and digital banking channels, thus enabling the customers to bank anytime, anywhere.

RAKBANK started its Islamic Banking unit, RAKBANK AMAL, in 2013. This marked an expansion in services with the entry of Islamic banking. The move was done at a time when more and more people in the UAE were demanding Sharia-compliant financial solutions. A wide variety of Islamic banking products and services are offered by RAKBANK through its subsidiary, RAK Islamic Finance Company. Responding to the need of ethical banking products, be it from individuals or businesses, the launch of RAKBANK AMAL reflects the commitment the bank makes toward serving diversified needs and market trends. The Islamic banking division has, over time, grown to be a major part of the RAKBANK portfolio, delivering innovative, Sharia-compliant financial solutions to champion its customers’ values. From personal banking to business financing, RAKBANK AMAL has redefined the Islamic banking experience for many in the UAE.

It’s not just expanding its banking services that have given RAKBANK its growth momentum. In 2014, the bank announced a plan to buy majority share in Ras Al Khaimah National Insurance Company, RAKNIC, an important move toward enriching its portfolio and searching for major consolidation in the insurance sector. The shareholders voted for the acquisition when they agreed to a majority stake acquisition at AED 3.64 per share of the bank during the ordinary general assembly held at its headquarters in Ras Al Khaimah. It was a strategic acquisition in which RAKBANK would diversify its products portfolio and enter the insurance market thus giving customers access to a bigger financial product suite. By offering insurance solutions alongside its banking services, RAKBANK improved its position as a one-stop financial partner for both individuals and businesses.

Consistent dedication to delivering exceptional services has not gone unnoticed, and RAKBANK has received numerous awards and recognitions over the years based on its achievements in banking and marketing innovation. These agreements testify to the efforts of RAKBANK in offering high-class services and the flexibility of the bank to adjust to the needs of the customers. In 2014, The Asian Banker – Middle East Retail Product Awards granted a Best Internet Banking Initiative Award to RAKBANK for its “Click and Collect” service. This recognition placed emphasis on efforts the bank provides to make the banking experience easier and more convenient through innovations and technology to allow customers to access their banking needs in a simplified manner.

In 2012, RAKBANK won Bank of the Year at the Arabian Business Achievement Awards, thus cementing its position in the UAE banking sector. The bank was also on the winning list for the Best Marketing Campaign of the Year as awarded by the Middle East Prepaid Awards, owing to its MasterCard Bling campaign-an activity that demonstrates its innovative approach to customer engagement and increased brand visibility.

The strong shareholder base of the bank contributes to RAKBANK’s growth and stability. Ownership by the government of Ras Al Khaimah is its largest shareholder in the bank, at 52.76% ownership. UAE citizens own 26.99%, and foreign ownership accounts for 20.25%. This diversified shareholder structure reflects the trust bestowed upon RAKBANK both from the government and private investors, which allowed it to thrive and expand its services. Membership in the Board of Directors has the nucleus comprising members of the ruling family of Ras Al Khaimah and respected businesspeople across the UAE and Kuwait. Such an alliance of the public and private sectors has provided management at RAKBANK with the leverage of maintaining customer-centricity while aligning their activities in accordance with the overall economic objectives for emirate/county and for UAE as a nation.

This bank therefore offers a wide number of banking services, ranging from retail to business and commercial banking options in conventional and Islamic. The bank hereby provides different banking channels, including 27 branches in the UAE. This is accompanied by the availability of comprehensive ATMs networks and digital banking options, online, mobile, and telephone banking services.

RAKBANK works to be at the frontline of digital transformation and to provide customers with the most convenient banking experience. The bank’s “Click and Collect” service is, for example, one instance of its efforts in improving the customer experience through digital innovation, for it won Best Internet Banking Initiative Award in 2014. Through the innovative use of technology, RAKBANK ascertains that its services remain highly accessible to customers everywhere on easy, efficient, and secure terms.

The mobile and online banking platform of this bank ensures that customers can gain access 24 hours a day to accounts, payments, and any other financial services towards hassle-free management of finances without interruptions. In doing this, RAKBANK is poised at the top end of the United Arab Emirates’ banking industry and demonstrates willingness to embracing change when the needs of customers are evolved.