Capital Market Incentive Programme to expand Oman's Capital Market

Muscat: The Capital Market Incentive Programme will play a key role in expanding and deepening Oman's capital market, attracting increased domestic and foreign investments, said Haitham Al Salmi, CEO of the Muscat Stock Exchange.

At a press conference held by the Financial Services Authority, the details of the programme were unveiled, showcasing a package of incentives designed to enhance Oman's investment and business environment, thereby supporting economic development.

The five-year Capital Market Incentive Programme comprises three main tracks: encouraging the establishment or conversion of family businesses into public joint stock companies, creating a sub-market on the Muscat Stock Exchange called the "Promising Companies Market," and promoting the transformation of limited liability companies into closed joint stock companies.

The CEO of the Financial Services Authority emphasized that the initiative aligns with the government's commitment to developing the private sector business environment and achieving the objectives of Oman Vision 2040.

"The Promising Companies Market will offer a conducive environment for private, family-owned, emerging, and small and medium-sized companies to grow and gain experience in the financial markets," the CEO added.

He also noted that the Financial Services Authority is currently collaborating with the Muscat Stock Exchange to establish regulations and procedures for the Promising Companies Market, which is expected to be launched by the end of the year.

His Excellency, the Secretary General of the Ministry of Finance, stated that "the Capital Market Incentive Programme, approved by His Majesty the Sultan, aligns with the goals of the National Program for Financial Sustainability and Financial Sector Development."

His Excellency, Dr. Undersecretary of the Ministry of Commerce, Industry, and Investment Promotion for Commerce and Industry, remarked that "the royal endorsement of the capital market development pathways will advance the trade and industry sectors in Oman, while enhancing oversight, governance, disclosure, and transparency in transactions."

The CEO of the Authority for Small and Medium Enterprises Development commented, "The establishment of the Promising Companies Market on the Muscat Stock Exchange will positively impact start-ups, family businesses, and institutions, encouraging their transformation into public joint stock companies."

The Director General of Commerce at the Ministry of Commerce, Industry, and Investment Promotion added, "The Ministry will soon announce the procedures and requirements for converting limited liability companies into closed joint-stock companies, with the current number of such companies standing at 118,052."