Muscat – This significant move is part of a series of reforms to the country’s mortgage lending regulations, designed to help meet the growing demand for affordable housing.

In a statement, Ahmed Al Musalmi, Governor of the CBO, explained that the reforms will allow licensed banks to provide competitive interest rates, making home financing more accessible for Omani families.
“Pleased to update that the Central Bank of Oman has introduced a significant transformation in the realm of home ownership for Omani citizens through groundbreaking regulatory reforms in mortgage lending. The reforms help to unlock over RO 4.5 billion in lending capacity, which will enable banks to cater to the surging demand for home ownership among Omanis at competitive interest rates. This renewed focus on mortgage lending is essential, as it directly addresses the pressing need for affordable financing options, empowering families across the nation to secure homes that offer both dignity and stability,” the CBO Governor stated.

These changes are in line with Oman Vision 2040, aiming to foster a more stable and prosperous society. The CBO’s focus on mortgage lending is an essential part of this broader vision, aligning with His Majesty Sultan Haitham bin Tarik’s directives to improve the welfare of Oman’s citizens.

Beyond housing, the CBO is also driving economic diversification and job creation. Over the next five years, the central bank plans to allocate over $25 billion from bank loan portfolios to key non-oil sectors, including tourism, manufacturing, renewable energy, and healthcare.