Oman projects $ 50.6 million fund to boost bourse

The Omani Minister of commerce and industry, Maqboul Bin Ali Sultan, said that there are projects to establish a new fund of $ 50.6 mln to strengthen the Omani bourse and provide cash liquidity for investors.

The official told Monday the Shura council (non-elected parliament) studies show that the deterioration of the Omani stock exchange is a result of a number of factors including the economic crisis in Asia and the fall of oil prices in the past two years.

The government adopted a number of policies to address the market deterioration and a decree was issued by the Sultan of Oman to establish the public authority of the stock exchange to supervise and monitor the market's performance, he said.

Other policies include the creation of a national fund to strengthen the role of corporate investors in the market in addition to compelling listed companies to announce their financial status, he added.

The stock exchange has also become listed in the International Finance Corporation (IFC).

The official explained that the current rise of oil prices and the boost of different economic sectors indicate a future revival of the stock market.

The Muscat stock exchange has been hit hard since 1998 and the market index feel to about 52% leaving Omani investors with enormous losses.