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Although performance has been subdued in 2015 compared to 2014, the market is set to be bolstered by various developments in the sector. Regulatory changes obliging insurance companies to list will add to the offerings pipeline, as should government plans to relax listings requirements. Meanwhile, with the country’s oil revenues down, the government has started to look elsewhere for means of deficit financing, with plans to issue a sharia-compliant bond under way. The country has also seen growing initial public offering (IPO) activity in recent years, spurred in part by regulatory requirements for foreign-backed electricity companies to conduct share offerings. This chapter contains an interview with Abdulaziz Mohammed Al Balushi, CEO, Ominvest.

Oman’s stable and tightly regulated banking sector has continued to perform well in recent times. The expansion of the newly launched sharia-compliant segment, coupled with strong asset growth, has been central to the sector’s development. Indeed, the Central Bank of Oman has established a Sharia Supervisory Authority to help regulate the sharia-compliant segment while commercial banking assets have continued to expand, growing at a compound annual growth rate of approximately 12% between 2010 and 2014, well ahead of inflation. As the government ramps up its investment in infrastructure projects, project finance is seen as one of the most promising areas for lending growth. Boosting SME lending is also a priority for the economy, with the Central Bank of Oman introducing a requirement for all banks to allocate 5% of their total loan books to SMEs by 2016. This chapter contains an interview Hamood Sangour Al Zadjali, Executive President, Central Bank of Oman; and a roundtable discussion between AbdulRazak Ali Issa, CEO, Bank Muscat; Amin Al Husseini, CEO, Oman Arab Bank; and Lloyd Maddock, CEO, Ahlibank Oman.

Oman’s GDP at current market prices stood at OR31.45bn ($81.4bn) in 2014, up 4.6% on 2013, according to the Central Bank of Oman. However, the drop in global oil prices has put significant pressure on Oman’s GDP expansion. To address this, and indeed to pave the way for a non-oil future, various diversification strategies have been put in place that aim to reduce the county’s reliance on hydrocarbons revenues and stimulate growth across the board. Large infrastructure investment is under way, with the development of Oman’s transport and logistics offerings a key target moving forward. The services sector meanwhile dominates non-oil GDP and comprised 40.7% of total economic activity in 2014. Looking ahead, the government is increasingly aiming to encourage greater private sector activity, with the privatization of various state-owned firms and support for SMEs being significant drivers in this regard. This chapter contains an interview with Sultan bin Salim Al Habsi, Secretary-General, Supreme Council for Planning; and Khalifa Al Barwani, CEO, National Centre for Statistics and Information.

More investments in improving irrigation systems Regulation of cottonseed intended to improve quality New smartcards help to rationalise food subsidies Opportunities for private players in several segments

Alternative power supply options are being considered Food producers recording high sales and profits New legislation could reinvigorate the auto segment Textiles producers set to significantly increase exports