Domestic liquidity in Oman jumps 6.1% to over OMR25bn

Muscat: Liquidity and lending indicators in the Sultanate of Oman recorded remarkable growth at the end of August 2025. Domestic liquidity increased by 6.1 percent to reach OMR25.84 billion compared to OMR24.35 billion in the same period of 2024.

Preliminary data from the National Centre for Statistics and Information (NCSI) showed a 5.2 percent decrease in currency in circulation, reaching OMR1.4869 billion by the end of August 2025, compared to OMR1.5681 billion during the same period last year. Meanwhile, narrow money supply increased by 6.9 percent to reach OMR7.4071 billion compared to OMR6.9273 billion at the end of August 2024.

Regarding the distribution of credit, total loans and financing granted by commercial banks and Islamic windows amounted to OMR34.10 billion, recording a growth of 8.6 percent compared to the same period last year, which amounted to OMR31.40 billion, with private sector deposits in local banks increasing by 7.5 percent to OMR22.36 billion by the end of August, compared to OMR20.80 billion during the same period of 2024.

Regarding interest rates, the average interest rate on total loans decreased by 2 percent to reach 5.492 percent, compared to 5.603 percent. Data also indicated a 7.1 percent increase in net foreign assets, reaching OMR 7.3386 billion by the end of August 2025, compared to OMR6.8545 billion during the same period in 2024.

In contrast, the effective exchange rate index of the Omani rial decreased by 0.6 percent to record 114.3 points at the end of August 2025.