MUSCAT : The shift towards digital banking in Oman is no longer a routine upgrade of systems, it has evolved into a strategic restructuring that redefines how financial institutions operate and how customers interact with them. From e-wallets and instant payments to virtual assistants and smart finance platforms, today’s digital services mark a radical departure from traditional banking, promoting innovation, speed, and sustainability within the financial ecosystem.

Economic expert Ishaq bin Hilal Al-Sharyani told the Oman News Agency that digital transformation has become a key pillar of the Omani banking landscape, significantly enhancing operational efficiency and streamlining transactions. “It has stimulated the investment environment, raised transparency, and accelerated the flow of financial information,” he said, noting that these improvements have strengthened investor confidence both locally and internationally.

Al-Sharyani added that digital tools are providing businesses, especially startups, with more flexible financing options, boosting competitiveness and long-term sustainability across the sector.

He highlighted several key drivers behind this progress, including the Central Bank of Oman’s support for electronic payments, the licensing of fintech firms, and the nationwide Financial Transformation Strategy 2021–2025. Coupled with improved digital infrastructure and rising technical awareness among citizens, these developments have paved the way for a sustainable digital economy.

Financial advisor Faisal bin Nasser Al-Azizi emphasized that the shift is more than a technological upgrade; it is a complete restructuring of how banks deliver services and manage operations. He pointed out that Omani banks have made significant advances in transforming customer experiences into fully digital journeys, where daily transactions can now be carried out seamlessly through smart apps and automated platforms available around the clock.

According to Al-Azizi, the adoption of artificial intelligence, behavioral analytics, and virtual assistants has played a crucial role in reducing operational costs, increasing customer satisfaction, and creating a more flexible financial environment that supports e-commerce and economic growth.

He stressed the need for adaptable regulatory frameworks capable of keeping pace with emerging financial models, including digital banks and fintech companies. A modern, data-driven regulatory environment, he said, would strengthen risk management, enhance compliance with global standards, and encourage innovation without imposing restrictions on progress.

Al-Azizi added that digital transformation goes beyond technical upgrades, it reshapes the social fabric by broadening access to banking services. He noted that digital platforms have removed long-standing barriers for low-income groups and people in remote areas, allowing anyone to open accounts, receive transfers, and manage savings without traditional paperwork.

He further explained that digitization provides a robust financial database that helps track the movement of funds, enhances market stability, and protects the economy from illicit activities. It has also opened new avenues for small and medium enterprises, women-led initiatives, and startups by offering easier access to digital payments and financing tools.

In addition, digital transformation has strengthened transparency, compliance, and fairness in the business environment, becoming an integral part of Oman’s tax system by improving financial disclosure and supporting tax collection efforts.

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