MUSCAT: The newly established Financial Services Authority (FSA) is expected to vitalize the financial sector in Oman, according to FSA officials.
Last week, His Majesty Sultan Haitham bin Tarik issued Royal Decree No. 20/2024, establishing the Financial Services Authority and enacting its law. Part of the decree stipulated the transfer of rights, obligations, and assets from the Capital Market Authority to the Financial Services Authority.
Speaking at a press conference at FSA headquarters in Muscat yesterday, spokesperson, Majid al Abri, said the establishment of the Financial Services Authority (FSA) and the issuance of its law, will “re-arrange” the financial sector to include a wider set of sectors.
These will include the insurance sector, capital markets, credit rating agencies, commodities and energy markets, and the accounting and auditing sector, which were previously regulated by the Ministry of Commerce, Industry, and Investment Promotion.
Furthermore, he shared that the Authority will aim to include the financial sector in the national decision-making process, as it will directly report to the Cabinet of Ministers per Royal Decree No. 20/2024.
Additionally, the Authority’s establishment aims to promote a conducive investment environment in the Sultanate of Oman, boost and facilitate innovation and the introduction of non-traditional financial instruments and enhance national capacities within the sector.
According to officials, the Authority aims to establish legislative and regulatory frameworks that enhance the integrity, independence, transparency, and competitiveness of financial sectors. Al Abri stated that the newly issued law will pave the way for more sectoral frameworks, notably within the securities, insurance, auditing and accounting firms, commodities, and energy markets sectors. Additionally, the Authority will monitor and enforce compliance of supervised entities with regulatory frameworks.
Moreover, the Authority aims to protect the rights of investors and stakeholders dealing with entities under its supervision, as well as ensure the confidentiality and privacy of data.
Furthermore, the Authority aims to raise awareness among different segments of society and stakeholders. According to officials, the Authority will also “establish or contribute to the establishment of a specialized educational or professional training institution” to support the sectors and activities within its scope.
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