Banking
From The Report: Oman 2020
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Oman’s banking sector has continued to perform well despite economic headwinds. Falling oil prices have increased the demand for credit and, as a result, banks’ lending and assets have continued to expand, although liquidity has tightened. Meanwhile, the vibrant Islamic banking and financial services segments have supported the sector’s growth. According to the Central Bank of Oman, at the end of 2018 there were seven local commercial banks operating across 420 branches; nine foreign banks with 31 branches; two local Islamic banks with 24 branches; and six Islamic windows, which are part of conventional parent banks, with a total of 58 branches. This chapter contains an interview with Tahir bin Salim Al Amri, Executive President, Central Bank of Oman.

Articles from this Chapter

Overview

Remaining resilient: A strong regulatory framework and the growth of Islamic banking have helped the sector to sustain growth
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Oman’s banking sector has continued to perform well in spite of economic headwinds. The growth of non-oil sectors has increased demand for credit and, as a result, banks’ lending and assets have continued to expand, although liquidity has tightened. Meanwhile, the vibrant Islamic financial services segment has supported the sector’s growth. Structure According to the Central Bank of Oman (CBO), at the end of 2018 there were seven local commercial banks operating across 420 branches;…

Interview

Measured steps: Tahir bin Salim Al Amri, Executive President, Central Bank of Oman (CBO), on increasing liquidity, the growth of financial technology (fintech) and improving the ease of doing business
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Interview:Tahir bin Salim Al Amri How would you assess liquidity in the market, and what is being done to alleviate rising funding costs? TAHIR BIN SALIM AL AMRI: The existing deposit base and capital buffer provide banks ample space for additional loans without breaching the prudential limits. Capital adequacy is more than sufficient, with an average ratio of 18.1%, and the average lending ratio stands at about 80%, with the potential to increase to 87.5%. Furthermore, considering the increased…

Overview

A swing in the balance: Following a retrenchment of overseas operations by numerous major banks, how are firms in emerging markets responding?
OBG
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The three decades before the 2007-08 global financial crisis were marked by the world’s financial networks becoming increasingly interconnected. Financial system regulatory convergence, the growing penetration of World Trade Organisation rules and the creation of currency unions, such as the euro, resulted in a surge in cross-border capital flows. Global banks began to see the emergence of a single global marketplace, and the potential this held for revenue and asset growth. In 1998 Sandford Weill, co-chairman of the freshly formed Citigroup, announced the dawn of a new age of banking in which large institutions would act as financial…

Overview

A swing in the balance: Following a retrenchment of overseas operations by numerous major banks, how are firms in emerging markets responding?
OBG
plus

The three decades before the 2007-08 global financial crisis were marked by the world’s financial networks becoming increasingly interconnected. Financial system regulatory convergence, the growing penetration of World Trade Organisation rules and the creation of currency unions, such as the euro, resulted in a surge in cross-border capital flows. Global banks began to see the emergence of a single global marketplace, and the potential this held for revenue and asset growth. In 1998 Sandford Weill, co-chairman of the freshly formed Citigroup, announced the dawn of a new age of banking in which large institutions would act as financial…