Traditional Banks - Oman

Oman

In 2024, the projected Net Interest Income in the Traditional Banks market market in Oman is estimated to reach US$15.07bn.
Traditional Retail Banking dominates this market segment, with a projected market volume of US$9.29bn in 2024.
The Net Interest Income is expected to demonstrate an annual growth rate (CAGR 2024-2029) of 3.65%, resulting in a market volume of US$18.03bn by 2029.
When compared globally, in China is anticipated to generate the highest Net Interest Income of US$3,869.0bn in 2024.
Oman's traditional banks are investing in digital transformation to cater to the growing demand for online banking services.

Key regions: Germany, United Kingdom, France, Japan, China

Definition:

The Traditional Retail and Commercial Banks market refers to the financial services sector that provides a range of financial products and services to individuals and businesses through store-based branches and other traditional channels. Retail banking focuses on offering financial services to individual consumers, such as personal loans, savings and checking accounts, credit cards, and mortgages. Commercial banking, on the other hand, provides financial services to small and large businesses, including loans, lines of credit, and other financial products designed specifically for businesses.
The traditional banking market is highly competitive and characterized by the presence of large global players as well as regional and local banks. These banks have a long history of serving customers and have established relationships and a deep understanding of the financial needs of their communities. They offer a wide range of services and are able to provide personalized advice and support to their customers.
In this market, banks are continually seeking ways to improve their offerings and remain competitive by leveraging technology and offering innovative financial products and services. However, they also face challenges, such as increased competition and changing customer preferences, which are driving the need for continuous improvement and adaptation.
Overall, the traditional retail and commercial banking market provides a wide range of financial services to both individuals and businesses through established, trusted channels and continues to play a vital role in the financial landscape.

Structure:

The market consists of two segments:
- The Traditional Retail Banks market refers to financial services provided to individual consumers (e.g., personal loans, savings and checking accounts, credit cards, mortgages).
- The Traditional Commercial Banks market refers to financial services provided to businesses, including small and large enterprises (loans, lines of credit, other financial products specifically designed for businesses).

The market data comprises Net Interest Income, the value of Deposits, the value of Loans, Credit Card Interest Income, the number of ATMs as well as the number of Bank Branches.

Additional information:

The Banking market is highly competitive and characterized by the presence of large global players as well as regional and local banks. Banks are continually seeking ways to improve their offerings and remain competitive by leveraging technology and offering innovative financial products and services. Additionally, changes in regulations and the growing trend toward digitalization are shaping the retail and commercial banking market, creating opportunities for new entrants and forcing existing players to adapt.

Key players in this market are companies such as Industrial and Commercial Bank of China Ltd., JPMorgan Chase & Co., and HSBC Holdings.

Use the info button next to the boxes for more information on the data displayed.

Market

Region

Region comparison

Currency

Analyst Opinion

The Traditional Banks market in Oman is experiencing a shift in customer preferences and market trends, influenced by local special circumstances and underlying macroeconomic factors.

Customer preferences: Customers in Oman are increasingly seeking personalized banking services and digital solutions from traditional banks. They are looking for convenience, efficiency, and security in their banking transactions. This shift in preferences is in line with global trends where customers are demanding more tech-savvy and customer-centric services from traditional banks.

Trends in the market: In Oman, traditional banks are adapting to the changing landscape by investing in digital transformation and enhancing their online banking platforms. This trend is driven by the growing demand for mobile banking services and the need to stay competitive in the market. Additionally, traditional banks in Oman are focusing on expanding their product offerings to include Islamic banking services to cater to the specific needs of the Muslim population in the country.

Local special circumstances: One of the unique aspects of the Traditional Banks market in Oman is the strong presence of Islamic banking principles. As a predominantly Muslim country, Oman has a high demand for Sharia-compliant financial products and services. Traditional banks in Oman are incorporating Islamic banking practices to attract a larger customer base and adhere to the religious beliefs of the population. This local special circumstance sets the Traditional Banks market in Oman apart from other regions and influences the strategic decisions made by banks operating in the country.

Underlying macroeconomic factors: The development of the Traditional Banks market in Oman is also influenced by macroeconomic factors such as economic growth, regulatory environment, and government initiatives. As the economy continues to grow, traditional banks are presented with opportunities to expand their operations and increase their market share. Additionally, regulatory reforms aimed at enhancing transparency and stability in the banking sector are shaping the way traditional banks operate in Oman. Government initiatives to promote financial inclusion and support small businesses are also driving the growth of the Traditional Banks market in the country.

Methodology

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on Net Interest Income, Bank Account Penetration rate, the value of Deposits, the number of depositors, the value of Loans, the number of borrowers, Credit Card Interest Income, the number of ATMs as well as the number of Bank Branches.

Modeling approach / Market size:

Market sizes are determined by a combined Top-Down and Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use data provided by the IMF, World Bank and the annual reports of the top 1000 Banks by asset size. Next we use relevant key market indicators and data from country-specific associations such as GDP, deposit interest rates, lending interest rates or bank account penetration rates. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, the S-curve function and exponential trend smoothing are well suited to forecast financial services for digital as well as traditional products and services.

Additional Notes:

The market is updated twice per year in case market dynamics change.