The Middle East

Oil and gas still take centre stage in Oman, accounting for more than half of GDP and 85% of government revenues. After a slump in 2000-07 as fields depleted, oil production is once again increasing, boosted by discoveries of new reserves and improved extraction techniques that glean more from old fields. Meanwhile, the government is looking to improve in-country value and the Omanisation of its...

With a steady stream of new entrants in the past decade and growth from a small base, Oman’s insurance market is a competitive one. Several factors are boosting the industry, with sharia-compliant lines of insurance looking set to enhance the sector’s potential and automobile coverage boosted by record vehicle sales. Further to this, the sultanate’s infrastructure spending is combining with job...

Despite being a stable and growing bourse for a number of years, authorities see a broader, deeper market as a strategic goal to help create economic opportunity. Sustained dedication to that cause has paid off in recent years, chiefly in the form of an increased flow of initial public offerings. The inclusion of sharia-compliant instruments looks set to take off, meaning diversification of the...

High capital adequacy and profitability define the banking sector in Oman. Aggregate net profits from local banks and foreign branches rose 15.6% in 2012 to $786.1m, up from $683.8m in 2011 with local banks accounting for 96.1% of the total. Consumer spending is driving lending markets as the wealth of the population increases, and banks are looking to meet this demand. New support for SMEs, an...

The sultanate’s economy continues to enjoy the benefits of petroleum wealth, which has provided budget surpluses in most years and served as a backbone for growth. However, planning is well under way for an era in which oil will not be the main economic driver, with the twin goals of diversification and creating an increased number of private sector jobs at the top of the government’s current...

An ancient maritime power, Oman is open to the world while at the same time preserving a strong sense of tradition and culture. Its numerous land borders and extensive coastline have given leaders a knack for negotiation and pragmatism in foreign policy. The government is making efforts are to respond to the increasing need for employment caused by a rapidly growing population, many which are...