Company Interview / Kina Bank taps PNG boom with returns rising | TIP Emerging Wealth Winners

Kina Bank is riding PNG growth with higher profits and capital markets milestone.

CEO Ivan Vidovic from Kina Bank sets out how the Papua New Guinea lender is positioning itself as a key beneficiary of the country’s expanding economy. Vidovich points to a rise in net profit after tax of14% to 115 million kina, driven by 12% revenue growth and double-digit increases in major revenue lines, while cost inflation is held to 7%. The bank’s Australian dollar dividend lifted 10% across 2025, which Vidovich says delivers a 21% total shareholder return for the year.

Vidovich highlights PNG’s medium‑term GDP growth outlook of around 3.4%, with further upside if a final investment decision is made in 2026 on the TotalEnergies‑led Papua LNG project, which could trigger about US$27 billion of investment over a decade. He argues that these resource projects, alongside agriculture, infrastructure and rising consumer demand, underpin long‑term opportunities for Kina Securities (ASX:KSL).

Strategically, Vidovich focuses on organic growth, gaining market share in targeted customer segments and navigating headwinds such as a more competitive FX market, lower yields on government securities and a weaker kina. He also points to the launch of a 235 million kina corporate bond, the first of its type in PNG, and sees AI primarily enhancing customer experience, efficiency and risk management rather than driving major cost cuts.