Muscat: The value of Oman’s bond and sukuk market reached RO 4.98 billion by the end of the third quarter of 2025, up from RO 4.308 billion at the end of 2024. This substantial growth comes as the FSA intensifies its work to modernise policies, enhance investor protection, and introduce innovative financing instruments, including sustainable and endowment-based sukuk.
Bonds and sukuk remain among the safest investment options in the Omani capital market. Trading volumes on the Muscat Stock Exchange (MSX) reached RO 36.814 million for bonds and RO 15.423 million for sukuk by the end of Q3 2025.
Central to this momentum has been the rollout of the updated regulatory framework governing public and private issuances. These regulations promote transparency, streamline issuance processes, and support new financing models tied to environmental and social objectives. The flexible legislative structure also enables the creation of specialised bond and sukuk types tailored to distinct financing needs for both issuers and investors.
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Trading data from the Muscat Clearing and Depository Company highlighted increasing institutional activity, with institutional purchases hitting RO 39.9 million compared to RO 12.3 million by individual investors. Institutional sales stood at RO 46.6 million, far surpassing RO 5.6 million in individual sales.
Omani investors continue to dominate the sector, recording RO 43.6 million in purchases versus RO 8.7 million by foreign investors. Their ownership of debt instruments reached RO 4.75 billion, representing an overwhelming 97.2% of total market value. In contrast, foreign investors accounted for just 2.8%, or RO 137 million, of the market.
Mustafa bin Ahmed Salman, Chairman and CEO of United Securities, said the strong rise in Oman’s bond and sukuk market mirrors global trends driven by increased demand following interest rate cuts by the US Federal Reserve. He noted that expectations of continued rate reductions have boosted investor appetite and strengthened overall trading activity.
He added that volatility in global financial markets has further pushed investors toward bonds and sukuk, viewed as stable and attractive alternatives. The increase in their prices on the MSX, he said, also supports gains in listed company shares, especially in Oman, where stocks continue to offer competitive returns despite high valuations.
