The assets of Islamic banks in the Sultanate are set to cross RO 2 billion by 2015, according to a feasibility study prepared by Al Izz Islamic Bank. The assets of Islamic banks in the Sultanate constitute 10 per cent of total banking assets. The study, whose results were published in alongside the initial public offering of the bank’s shares last Sunday, indicates that the basic incentives for Islamic monetary services in the Sultanate are seen driven by a number of factors, including demographic indicators as people aged 15-80 years constitute 72 per cent of the Sultanate’s population, the greatest majority of which is Muslim.
The study showed that there is strong support for the concept of Islamic financing and that 70 per cent of those covered by the survey expressed interest in opeing savings accounts at Islamic banks within the next 12 months. Meanwhile, 77 per cent of those interviewed expressed desire to opt for Islamic financing within a couple of years to come. A challenge that Islamic banking has to face is the fact that the secotr of services and monetary products is a new one and it requires time to develop, said the study.
Oman Daily Observer
