Blogs

The infusion of technology into Islamic banking in Oman is reshaping the sector, enhancing accessibility and adhering to Sharia-compliant finance principles. Key developments include mobile banking, digital customization, fintech collaborations, contactless payments, and the adoption of blockchain and cryptocurrency. This digital evolution caters to tech-savvy customers and promises a future where Islamic banking is both innovative and in alignment with Islamic finance principles.

Oman's financial landscape is rapidly evolving with a significant shift towards digital payments, led by the Central Bank of Oman's National Payment System. This transformation promotes economic growth and prosperity by ensuring scalability, real-time transactions, improved security, and transparency.

Traditional banks in Oman are embracing FinTech to boost inclusivity and innovation in the financial industry. This integration has led to the rise of mobile banking apps, digital payments, open banking with API integration, neobanks, and embedded finance. The synergy between traditional banks and FinTech is revolutionizing Oman's financial landscape, offering a more accessible, efficient, and customer-centric digital ecosystem.

Today, Oman is making headway towards a digital economy to achieve its Vision 2040. Banks are at the forefront of this transformation, increasingly adopting NextGen technologies to improve operational efficiency, enhance customer experience, and expand their reach.

Emerging technologies such as Blockchain, AI, and metaverse are causing a vast paradigm shift, reshaping the way banks operate. When combined with a keen grasp of customer needs, this technology transformation can push banks to the forefront of digitally advanced financial services, delivering excellence in customer service.

The emergence of alternative data has been driven by technological advancements, the proliferation of digital platforms, and the increasing interconnectedness of individuals and businesses in the digital realm. Retail and corporate lending lenders now leverage alternative data to supplement traditional credit assessment methods. By analyzing alternative data sources, lenders can gain insights into an applicant's financial behavior, spending habits, repayment patterns, and potential risk factors. This information aids in making more informed lending decisions, enabling lenders to better assess the creditworthiness of individuals and businesses that might have previously been underserved or overlooked by traditional credit evaluation methods.