Arab News: Oman’s banking sector continued its steady expansion in the first half of 2025, with total credit rising 8.4 percent year on year to 34.1 billion Omani rials ($88.7 billion), official data showed.
According to the monthly statistical bulletin of the Central Bank of Oman, private sector lending climbed 6.6 percent to 28 billion rials, with non-financial corporations accounting for the largest share at 45.9 percent, followed by households at 44.2 percent. Credit to financial corporations made up 6.2 percent, while other sectors received 3.7 percent.
Deposits also strengthened, advancing 7.6 percent to 33 billion rials by June. Private sector deposits rose 6 percent to 21.9 billion rials, led by households at 49.4 percent, non-financial corporations at 31 percent, financial firms at 17.4 percent, and other sectors at 2.2 percent.
The strong performance of Oman’s banking sector and listed companies reflects steady progress toward the country’s Vision 2040 goals, which prioritize economic diversification, private sector growth, and financial stability. The expansion in banking credit, particularly to non-financial corporations and households, supports the national strategy to reduce reliance on hydrocarbons by fostering small and medium sized enterprises development and domestic investment.
In its report, the Central Bank of Oman stated: “The combined balance sheet of conventional banks showed a year-on-year growth of 7.2 percent in total outstanding credit as of end-June 2025.”
It added: “Credit to the private sector increased by 4.8 percent to reach OMR 21.5 billion while their overall investments in securities increased by 1.3 percent to OMR 5.7 billion at end-June 2025.”
Earnings jump
Public joint-stock companies listed on the Muscat Stock Exchange reported a 14.1 percent rise in net profits in the first half, reaching 757.2 million rials compared with 663.3 million rials a year earlier, the Oman News Agency reported.
A total of 76 companies reported profits, led by OQ Exploration and Production at 166 million rials, Bank Muscat at 125.8 million rials, and Sohar International Bank at 46.2 million rials. Omantel, National Bank of Oman, and OQ Gas Networks also ranked among the top earners.
Seventeen firms booked combined losses of 8.6 million rials, with Raysut Cement the largest at 2.9 million rials, followed by Oman Fisheries and Financial Corporation Co.
Sector trends
The financial sector delivered the biggest earnings boost, with profits up 25.7 percent to 345.1 million rials, supported by a 275.9 million rial banking profit. Insurers also improved, with Liva Group and Takaful Oman returning to profitability.
In the services sector, energy and water companies posted a 46.3 percent jump in profits to 73.6 million rials, while oil marketers earned 9.6 million rials. Telecom profits dipped to 38.7 million rials as Omantel’s domestic earnings slipped.
Industrial firms nearly doubled their combined profits to 64.4 million rials, led by OQ Basic Industries at 22.7 million rials, while sector losses narrowed to 6.2 million rials.
https://www.arabnews.com/node/2612084/business-economy
