The Muscat Stock Exchange (MSX) has seen a significant increase in the number of nationalities investing, with a total of 135 now involved in the market. The MSX is actively working to attract more investors through increased awareness of investment opportunities and by diversifying its investment tools. The exchange is urging listed companies to adhere to principles of disclosure and transparency, as well as encouraging government and family-owned businesses to transform into private companies. The Sultanate of Oman offers various advantages for foreign investors, including low tax rates, no restrictions on transferring capital and profits abroad, and exchangeability of the Omani rial against other currencies.
Foreign investors can easily invest in shares of companies or investment funds listed on the Muscat Stock Exchange without requiring prior permission. The exchange also has an independent supervisory body that ensures a fair and stable market, protects investors’ rights, and promotes transparency, disclosure, and integrity. Most public joint stock companies listed on the MSX allow 100 percent foreign investment, with foreign investments primarily concentrated in the industrial and services sectors. Gulf investors focus on the services and financial sectors, while Arab non-Gulf investments are mainly in the financial sector.
Local investments in Oman are primarily concentrated in the financial, industrial, and services sectors, with the financial sector having the highest percentage of investments. The first half of this year witnessed an increase in both the volume and value of trading on the MSX. The total value of trading rose by 38.4 percent compared to the same period last year, with an increase in the number of securities traded and transactions executed. This growth is attributed to the improved performance of the national economy and increased confidence in government measures aimed at reducing public debt and increasing government spending on basic services and infrastructure projects.
The market value of public joint-stock companies listed on the stock exchange has also seen gains, rising to OMR 9.416 billion at the end of May 2024 compared to OMR 8.967 billion at the end of last year. The market value of these companies represents about 38.5 percent of the total market value of securities listed on the stock market. The main index of the stock exchange has recorded an increase and is expected to see further gains with the Oman Investment Authority planning to offer several companies for public subscription during the current year.
Overall, the Muscat Stock Exchange provides a conducive environment for both local and foreign investors, with a diverse range of investment opportunities and a supportive regulatory framework. With a growing number of nationalities investing in the market and positive performance indicators, the MSX is poised for continued growth and success in the future.
