Muscat – Oman’s Financial Services Authority (FSA) has introduced investment banking as a regulated activity under the new Executive Regulation of the Securities Law, paving the way for specialised financial services to support capital raising, securities issuance and investment advisory activities.

The FSA recently issued the Executive Regulation of the Securities Law, establishing a comprehensive regulatory framework aimed at modernising Oman’s capital market.

The introduction of investment banking as a regulated activity is one of the key reforms under the new framework. It is expected to strengthen the role of licensed entities in supporting the primary market, improving market efficiency and liquidity, and expanding financing and investment options.

According to the FSA, entities licensed to conduct investment banking activities will provide specialised financial services, including assisting companies and other entities in raising capital, as well as providing investment and advisory services. The framework is aligned with the objectives of Oman Vision 2040 to develop the financial sector, diversify financing and investment channels, and enhance the sultanate’s ability to attract capital.

Between 2021 and 2025, financing provided through Oman’s capital market exceeded RO7bn, highlighting the sector’s growing role as a financing channel for companies and economic projects.

The FSA said licensed entities conducting investment banking activities would serve as a link between companies seeking financing and local and international investors. This would include developing issuance arrangement services and financial product structuring, broadening the investor base, increasing institutional investor participation, and connecting companies and projects seeking financing with domestic and international sources of capital.

The presence of entities specialising in investment services could also improve the efficiency of securities issuance, support the development of financial products and expand the range of options available to companies and investors, the FSA said.

Under the new Regulation, investment banking activities comprise five activities conducted collectively: investment management, product structuring, securities portfolio management, research and advisory services related to investment in listed securities, and issue management.

The Regulation also permits entities licensed to conduct investment banking activities to act as underwriters for issuances approved by the FSA.

The new regulatory framework comes as Oman’s broader investment environment continues to strengthen. In March 2026, S&P Global Ratings affirmed Oman’s long-term sovereign credit rating at BBB- with a stable outlook, maintaining the country’s investment-grade status.

The FSA said the continued advancement of the capital market’s regulatory and institutional framework, alongside greater diversification of financing and investment instruments, would support Oman’s ability to attract local and international capital and strengthen the market’s contribution to economic growth.