Promising companies market launched to boost Omani SMEs
Published: 02:08 PM,Aug 11,2024 | EDITED : 06:08 PM,Aug 11,2024
The initiative aims to create a conducive environment for these companies to gain experience in financial markets, explore financing alternatives, and prepare for conversion into public joint stock companies.
MUSCAT: In a significant move to boost the growth of private companies, family businesses, and small and medium enterprises (SMEs), the Financial Services Authority (FSA) has announced the establishment of the 'Promising Companies Market' as a sub-market within the Muscat Stock Exchange (MSX). This initiative aims to create a conducive environment for these companies to gain experience in financial markets, explore financing alternatives, and prepare for conversion into public joint stock companies.
Shaikh Abdullah Salem al Salmi, Executive President of the FSA explained that the Promising Companies Market will operate under flexible listing requirements, supervised by the FSA. Currently, the FSA is collaborating with the MSX to finalise regulations and listing procedures, with an expected launch before the end of the year.
Mahmoud Abdullah al Awaini, Secretary General of the Ministry of Finance, emphasised that the capital market incentives programme, endorsed by His Majesty Sultan Haitham bin Tarik, aligns with the goals of the National Programme for Financial Sustainability and Financial Sector Development (Estidamah).
This initiative is expected to enhance the attractiveness of foreign investments and activate the capital market's role in the national economy.
Dr Saleh Saeed Musan, Undersecretary of the Ministry of Commerce, Industry, and Investment Promotion, noted that encouraging the conversion of limited liability companies into closed joint stock companies will foster growth, enhance governance, and improve transparency. This transition will provide more decision-making flexibility and boost confidence among stakeholders, ensuring the sustainability of companies and their contributions to the national economy.
Haitham Salem al Salmi, CEO of the Muscat Stock Exchange, highlighted the importance of the incentives programme in providing additional financing options for companies. The programme is expected to enlarge and deepen the capital market, stimulate the listing of new companies, and elevate the MSX's status from a frontier market to an emerging market, attracting more internal and external investments.
Halima Rashid al Zariyah, Executive President of the Small and Medium Enterprises Development Authority, stated that the establishment of the Promising Companies Market aligns with the authority's vision to enhance competition in the SME sector. This market will encourage emerging companies, family businesses, and SMEs to convert into public joint stock companies, enabling them to access financial markets, secure project financing, and ensure their long-term sustainability and growth. This initiative is poised to strengthen these companies, facilitating their transition across generations and enhancing their role in the national and international economic arenas.
Shaikh Abdullah Salem al Salmi, Executive President of the FSA explained that the Promising Companies Market will operate under flexible listing requirements, supervised by the FSA. Currently, the FSA is collaborating with the MSX to finalise regulations and listing procedures, with an expected launch before the end of the year.
Mahmoud Abdullah al Awaini, Secretary General of the Ministry of Finance, emphasised that the capital market incentives programme, endorsed by His Majesty Sultan Haitham bin Tarik, aligns with the goals of the National Programme for Financial Sustainability and Financial Sector Development (Estidamah).
This initiative is expected to enhance the attractiveness of foreign investments and activate the capital market's role in the national economy.
Dr Saleh Saeed Musan, Undersecretary of the Ministry of Commerce, Industry, and Investment Promotion, noted that encouraging the conversion of limited liability companies into closed joint stock companies will foster growth, enhance governance, and improve transparency. This transition will provide more decision-making flexibility and boost confidence among stakeholders, ensuring the sustainability of companies and their contributions to the national economy.
Haitham Salem al Salmi, CEO of the Muscat Stock Exchange, highlighted the importance of the incentives programme in providing additional financing options for companies. The programme is expected to enlarge and deepen the capital market, stimulate the listing of new companies, and elevate the MSX's status from a frontier market to an emerging market, attracting more internal and external investments.
Halima Rashid al Zariyah, Executive President of the Small and Medium Enterprises Development Authority, stated that the establishment of the Promising Companies Market aligns with the authority's vision to enhance competition in the SME sector. This market will encourage emerging companies, family businesses, and SMEs to convert into public joint stock companies, enabling them to access financial markets, secure project financing, and ensure their long-term sustainability and growth. This initiative is poised to strengthen these companies, facilitating their transition across generations and enhancing their role in the national and international economic arenas.