The Central Bank of Oman has recently released data highlighting the growth in the banking sector’s credit balance, which increased by 3.4 percent to reach OMR 31.3 billion by the end of July 2024. Credit granted to the private sector also saw a 3 percent growth, totaling OMR 26.2 billion during the same period. The data further reveals that the household sector claimed the largest share of credit, amounting to 45.1 percent, followed closely by non-financial companies at 44.9 percent, with the remaining percentage distributed among financial companies and other sectors.
Total deposits in the Omani banking sector experienced a significant increase of 12.5 percent, reaching OMR 31 billion by the end of July 2024. Private sector deposits within the banking system also saw a notable growth of 13.9 percent, totaling OMR 20.7 billion during the same period. The distribution of these deposits across various sectors indicated that the household sector received the largest share, accounting for about 49.9 percent, followed by non-financial and financial corporate sectors with shares of 29.9 percent and 17.7 percent, respectively.
The data from the Central Bank of Oman further revealed that the total assets of Islamic banks and windows in the country reached approximately OMR 7.8 billion, representing 18.2 percent of the total assets of the banking sector by the end of July 2024. This marked an increase of 10.8 percent compared to the previous year. The total financing balance granted by Islamic banking units also saw a significant increase of 11 percent, totaling around OMR 6.4 billion during the same period.
Deposits in Islamic banks and windows also experienced a notable growth, increasing by 17 percent to reach approximately OMR 6.2 billion by the end of July 2024. These figures reflect the continued growth and importance of Islamic banking in Oman, with assets and deposits in this sector showing significant increases compared to the previous year.
In conclusion, the data released by the Central Bank of Oman highlights the positive growth trends in the Omani banking sector, with increases in credit balances, total deposits, and assets of Islamic banks and windows. The significant growth in private sector credit and deposits further emphasizes the strong performance of the banking sector in supporting the economy and financial activities in the Sultanate of Oman. As these sectors continue to expand and diversify, they are expected to play a crucial role in driving economic growth and development in the country for the foreseeable future.
