Credit to private sector in Oman rises by 7.4 per cent

Credit to the private sector increased by 7.4 per cent to reach OMR17.8 billion as at the end of February 2017.

Conventional banks' overall investments in securities stood at OMR3 billion as at the end of February 2017. 

Investment in Government Development Bonds and Government Sukuk increased by 19 per cent over the year to OMR1 billion at the end of February 2017.

Banks also invested OMR451.6 million in Government Treasury Bills as at the end of February 2017. Conventional banks' investments in foreign securities stood at OMR897.2 million in February 2017.

Aggregate deposits held with conventional banks increased by 3.7 per cent to OMR18.5 billion in February 2017 from OMR17.8 billion a year ago. Government deposits with conventional banks went up by 5.4 per cent to OMR4.9 billion.

Deposits of public enterprises declined by 12.7 per cent to OMR0.9 billion during the same period. Private sector deposits, which accounted for 67.3 per cent of total deposits with conventional banks, increased by 4.6 per cent to OMR12.4 billion in February 2017 from OMR11.9 billion a year ago. The core capital and reserves of conventional banks as at the end of February 2017 stood at OMR4.1 billion.

Islamic banking entities provided financing to the extent of OMR2.6 billion as at the end of February 2017 when compared to OMR1.9 billion a year ago. Total deposits held with Islamic banks and windows also registered a significant increase to OMR2.3 billion in February 2017 from OMR1.6 billion outstanding at the end of February 2016.

The total assets of Islamic banks and Windows combined, amounted to RO 3.3 billion as at the end of February 2017, which constituted about 10.8 percent of the banking system assets.

Source: Timesofoman