MUSCAT: The Central Bank of Oman’s latest report highlights a 4.4% growth in credit extended to the private sector, which totaled RO 26.8 billion by the end of October 2024. This credit expansion reflects sustained confidence in the Sultanate’s economic environment and is distributed across key economic sectors. Individuals and non-financial corporate entities dominate the credit share, holding 45.2% and 45.1%, respectively. Meanwhile, financial corporate sectors accounted for 6.2%, and other sectors represented 3.5%.
The report also sheds light on deposits in the banking sector, which experienced significant growth. Total deposits rose by 13%, reaching RO 31.9 billion by October’s end. Within this growth, private sector deposits increased by 9.4% to RO 20.4 billion. The individual sector maintained the largest share of private deposits at 50.2%, followed by non-financial corporates at 29.5%, and financial corporates at 17.7%. Smaller contributions came from other sectors, which made up 2.6% of private deposits.
The banking sector’s robust growth in both credit and deposits underscores the overall resilience of Oman’s financial system. It reflects an active lending environment and growing public trust in financial institutions. The diversification of credit distribution indicates a balanced approach, catering to both personal and corporate financial needs.
China’s role in Oman’s oil export market further complements these economic dynamics, as the nation continues to remain Oman’s largest trading partner. Strong trade ties and increased oil revenues play a supportive role in sustaining liquidity within Oman’s banking system.
Overall, Oman’s financial sector continues to showcase a steady trajectory of growth, aligning with the Sultanate’s broader economic diversification goals and Vision 2040 aspirations. These developments highlight the strong interconnection between banking performance, trade dynamics, and national economic progress.
