Financial Services
From The Report: Oman 2025
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Oman’s financial services sector is experiencing steady growth, particularly in insurance and capital markets. In 2024 the insurance segment recorded increased revenue and profitability, while the stock market advanced initiatives to expand offerings in areas like bonds and Islamic finance. These efforts coincided with significant regulatory reforms, including the creation of a dedicated supervisory authority for insurance and capital markets. This move reflects a growing maturity in the sector and aligns with the country’s broader economic diversification goals. Financial and insurance activities contributed notably to GDP in the third quarter of 2024, showing year-on-year growth. As Oman continues to modernise its financial infrastructure and implement supportive policies, the sector is expected to play a key role in long-term economic development.

This chapter contains an interview with Abdullah Al Salmi, Executive President, Financial Services Authority; Haitham Al Salmi, CEO, Muscat Stock Exchange; Abdulaziz Al Balushi, Group CEO, Ominvest; Tariq Sulaiman Al Farsi, CEO of National Finance; and Khalid Al Balushi, CEO, TANMIA.

Articles from this Chapter

Overview

Strengthening diversity: A number of programmes are helping to deepen securities and bonds platforms among efforts to develop the wider economy
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In addition to its banking sector, Oman’s financial services industry includes a growing insurance sector and rapidly developing capital markets. In 2024 the insurance sector maintained its growth trajectory, with higher revenue and profit, while the Muscat Stock Exchange (MSX) is advancing with major programmes aimed at deepening and widening its securities, bond and sukuk (Islamic bond) markets. These moves occurred in tandem with a major overhaul of Oman’s financial regulatory environment and the rollout of a new regulatory framework and supervisory body for the sector. The Financial Services Authority (FSA) was established in March 2024…

Interview

Investment potential: Abdullah Al Salmi, Executive President, Financial Services Authority, on how global partnerships enhance integration and financial literacy contributes to market participation
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Interview:Abdullah Al Salmi To what extent can capital markets contribute to the diversification goals of Oman Vision 2040? ABDULLAH AL SALMI: Capital markets are pivotal in financing economic diversification under Oman Vision 2040. We have seen significant progress in recent years in channelling funds from the capital markets to help support economic projects, with financing provided by these markets outpacing that of the banking sector. For example, from 2018-23, capital market funding…

Interview

Diversification drive: Haitham Al Salmi, CEO, Muscat Stock Exchange, on how efforts towards sustainability impact investor confidence
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Interview: Haitham Al Salmi In what ways does the Vision 2040 roadmap impact capital markets and investor confidence in the face of global economic uncertainties? HAITHAM AL SALMI: Despite global uncertainties like oil price fluctuations and geopolitical tensions, the GCC’s strategic investment has made the region a beacon for investors. In particular, Vision 2040’s strategic push to reduce dependency on hydrocarbons and foster growth in the non-oil sector has led to diversification efforts…

Analysis

Making a mark: Emerging markets are seeing a major shift towards sustainability initiatives, reshaping the global investment landscape
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Impact investment – which is purposely designed to generate tangible social and environmental benefits alongside financial returns – presents promising risk-adjusted prospects. This type of investment not only provides value for investors, but can also advance the UN Sustainable Development Goals. According to the Global Impact Investing Network (GIIN), the impact investing market has experienced substantial growth, with an estimated worth of $1.6trn at the end of 2023, a compound annual growth rate of 21% since 2019. This also marks a more than three-fold increase from its $502bn valuation at the end of 2018. In GIIN’s 2024 report, impact…

Interview

Building capital: Abdulaziz Al Balushi, Group CEO, Ominvest, on boosting investor confidence and meeting international standards
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Interview: Abdulaziz Al Balushi How are capital markets well positioned to attract investment both regionally and internationally? ABDULAZIZ AL BALUSHI: Oman’s capital markets are distinguished by attractive valuations and a strong growth trajectory, bolstered by improved credit ratings that have boosted investor confidence. The Financial Services Authority (FSA) has implemented progressive reforms, notably revising foreign ownership limits and opening opportunities for domestic and global investors.…

Interview

Adaptive resiliency: Tariq Sulaiman Al Farsi, CEO, National Finance, on increased demand for sustainability and diversity in financial products
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Interview: Tariq Sulaiman Al Farsi In what areas do the most significant opportunities lie for non-banking financial institutions (NBFIs) to innovate their service offerings? TARIQ SULAIMAN AL FARSI: The most promising avenues for NBFIs are found in improving access, speed and personalisation across financial services. As customer expectations evolve, namely among underserved segments such as small and medium-sized enterprises (SMEs), NBFIs are uniquely positioned to fill critical gaps that traditional…

Analysis

Safety net: New joint initiatives are catalysing action as the global insurance sector moves to mitigate environmental risk
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With the launch of a new joint initiative to support the countries most vulnerable to climate change, the global insurance industry is evolving in ways that could carry important implications for business in emerging markets. The initiative, the Global Shield against Climate Risks (GSCR), was announced by the ministers of finance of the Vulnerable Twenty (V20) Group – which comprises economies susceptible to climate change – and the G7 after the COP27 UN Conference on Climate Change in Sharm El Sheikh, Egypt, in November 2022. It seeks to address the weaknesses in financial protection structures in climate-vulnerable economies through financing…

Interview

Rapid digitalisation: Khalid Al Balushi, CEO, TANMIA, on increased investment opportunities in digital payments and cybersecurity
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Interview: Khalid Al Balushi In what ways have financial technology (fintech) and digital banking trends influenced opportunities for investors within financial services? KHALID AL BALUSHI: The financial sector is undergoing a significant digital transformation, driven by a fintech framework designed by the Central Bank of Oman (CBO) to foster innovation. One key indicator of this shift is the sultanate’s high digital adoption rate — banks now conduct 87% of their transactions digitally, surpassing…