MUSCAT: The Central Bank of Oman’s recent data underscores the significant expansion of Islamic banking within the Sultanate. The financing balance provided by Islamic banks and windows surged by 13.8%, amounting to approximately RO 6.7 billion. This growth reflects the increasing demand for Sharia-compliant financial products and services among both individuals and businesses. The steady rise highlights the sector’s resilience and ability to cater to diverse economic needs.
Deposits in Islamic banking institutions also exhibited a robust upward trajectory, soaring by 24% to reach RO 6.5 billion by October 2024. This substantial increase in deposits demonstrates consumer confidence in the Islamic banking system. Additionally, the figures reveal the growing role of these institutions in Oman’s broader financial ecosystem. Their ability to attract deposits is indicative of the public’s preference for ethical and compliant banking solutions.
As of October 2024, the Islamic banking sector represents 18.7% of the Sultanate’s total banking assets. This figure signifies the increasing influence of Islamic finance in shaping Oman’s economic framework. The expanding market share highlights the role of Islamic banks as a vital component in driving economic growth and supporting national development goals.
This remarkable performance of Islamic banking is attributed to strategic initiatives and tailored financial solutions meeting customer needs. The sector’s alignment with Oman’s Vision 2040 has positioned it as a pivotal player in advancing the country’s economic objectives while maintaining ethical banking practices. With a continued focus on innovation and inclusivity, Islamic banking is poised for further growth.
