FinTech in
Oman

Oman's fintech sector is at a turning point. In the past 12 months, the number of licensed fintech operators has doubled from 26 to 42, with another 52 applications under Central Bank review. The government has set an official target of 500 licensed fintechs by 2040 as part of its National Digital Economy Programme.¹

Three major regulatory changes landed almost simultaneously: a new Banking Law replacing 25-year-old legislation, a Digital Bank Licensing Framework opening the door to fully digital banks, and an Open Banking framework enabling data sharing across financial institutions. On top of that, the International Financial Centre of Oman (IFC Oman) launched in January 2026 — offering English common law, 50 years of corporate tax exemption, and zero VAT.

The opportunity is clear. Oman has the GCC's lowest digital payment adoption (50% of transactions are still cash), a large unbanked population (1.37 million people), and a USD 3.8–5 billion annual remittance market. The infrastructure is modern and improving fast — mobile payments grew 318% in a single year. But the market is wide open: total fintech venture funding to date is just USD 8.35 million, and only 8 of 42 licensed fintechs have raised external capital.

For companies considering the GCC, Oman represents a classic blue ocean — less competition, strong government backing, and a regulator actively recruiting entrants.

Understanding the Market Size

The headline figure widely cited is OMR 1.1 billion (USD 2.86 billion). This represents the total value of digital transactions flowing through Oman's payment infrastructure — not the revenue of fintech companies.²

The actual fintech industry — what companies earn in fees, commissions, and subscriptions — is estimated at USD 200–500 million, depending on methodology.³

42 Licensed Fintechs — What They Do

In 2025 alone, 16 new licenses were approved. The CBO received 1,020 licensing applications across all financial categories — an 81% increase year-on-year.

Pure-Play Fintechs

• Thawani Technologies — Oman's first CBO-licensed fintech (2020). Payment gateway, mobile wallet, and "Mojab Business" — the first integrated smart corporate financial card. Forbes ME Top 50.⁵
• Zumr Technologies — Digital savings platform based on the ROSCA model, modernised with smart algorithms. NBO custodian bank. CBO-Omantel Accelerator graduate.
• QPay — Oman's first licensed BNPL provider. Seed round with Cyfr Capital (Oct 2024).⁶
• Hal Capital — Sharia-compliant financing for MSMEs. Operating in Oman and Kenya.
• Wadiaa — Equity crowdfunding and P2P lending with AI-powered risk assessment.
• Khedmah Pay — E-wallet by OIFC. Received final CBO PSP approval in 2024.

International FDI & Strategic Entrants

• Paymob — Egypt-founded, PayPal-backed payment infrastructure platform. One of MENA's largest payment processors (200K+ merchants across 6 markets). Entered Oman through NBO partnership — a flagship example of Vision 2040's FDI strategy to attract global fintech operators. Provides merchant acquiring, online payments, QR, and BNPL infrastructure. Series B backed by PayPal Ventures, FMO, and A15.

Banks with Fintech Initiatives

• Bank Muscat — Committed to a dedicated fintech investment vehicle (USD 100–390M).⁷
• NBO — Most active in partnerships: Paymob, PayMate, Zumr, Pay+.
• Sohar International — First Omani bank to launch an open banking API portal (May 2024).
• Dhofar Islamic — Partnered with CBO to launch "Maal," Oman's first national payment card.

Telecom Players

• Ooredoo Fintech International (OFTI) — Dedicated fintech subsidiary. Walletii app offers the first remittance marketplace in Oman. First Gulf mobile money fintech to partner with PayPal (Oct 2025).⁸
• Omantel — Innovation Lab, CBO-Omantel Accelerator, eFloos wallet, OMPAY remittance.
• FriendiPay — Beyond ONE subsidiary (Dubai-based, CBO-licensed 2024). Digital payments for residents.

The regulatory environment has undergone its most significant transformation in two decades. Five developments are reshaping the sector simultaneously.

1. New Banking Law (Royal Decree 2/2025)

Effective January 2025, this replaced legislation from 2000. Enhanced CBO supervisory powers, international capital requirements, stronger consumer protection, and — critically — explicit recognition of digital banks. Fines of OMR 1,000–5,000 daily for operating without authorisation.⁹

2. Digital Bank Licensing Framework

Effective June 2025, two pathways:¹⁰

• Category 1 (Full operations) — Minimum capital: OMR 30 million. Unrestricted activities.
• Category 2 (Limited operations) — Minimum capital: OMR 10 million. Caps on deposits and lending.

Both require physical presence in Oman, Omanisation from 50% to 90% by year five, and mandatory exit plans. CBO must respond within 90 days — silence is treated as approval.

3. The Fintech Regulatory Sandbox

Launched December 2020. A live testing environment where companies trial products with real customers under CBO supervision.¹¹ Open to local and foreign companies. Three cohorts completed: Payment Solutions, Blockchain Trade Finance, Digital Lending. Graduates include Zumr.

4. Open Banking Framework

Approved December 2024. Mandates data sharing through standardised APIs — covering data standards, consent management, and cybersecurity. The implementation layer is where the next wave of opportunity lies.¹²

5. IFC Oman

Established by Royal Decree 8/2026. A financial free zone under English common law in Madinat Al Irfan, Muscat.¹³

• Corporate tax exemption through 2076 (50 years)
• Zero personal income tax for non-Omani employees
• Zero VAT
• Own judicial system, regulator, and dispute resolution

Note: IFC Oman has not yet issued detailed regulations. The build-out is expected throughout 2026.

Strong Pipes, Low Adoption

Oman has invested heavily in modern payment infrastructure. The systems are world-class. The problem is that half the country is still using cash.

• 24/7 RTGS — Processed OMR 240.5B in 2024¹⁴
• OmanNet Switch — 432.9M transactions (OMR 6.88B), up 31% from 2023
• MPCSS — Mobile payments surged 318% in one year¹⁵
• AFAQ — Connected to GCC cross-border system (180 institutions)
• Buna — Linked to Arab regional cross-border system
• Maal — Oman's first national payment card

Where Oman Stands in the GCC

The GCC fintech industry is valued at approximately USD 10.5 billion in 2025, projected to reach USD 29.8 billion by 2032 at a 15.7–16.1% CAGR.¹⁷

Oman vs Bahrain — Why Both, Not Either/Or

Seven global trends are directly relevant to where Oman's fintech sector is heading.

1. Embedded Finance

Projected to reach USD 454B by 2031 (23.8% CAGR). By 2026, 50%+ of consumer financial transactions will happen on non-financial platforms.²⁰ In Oman, the convergence of open banking and digital bank licensing creates the foundation for Banking-as-a-Service.

2. AI in Financial Services

Global AI-in-fintech market: USD 17.6–18.3B, heading to USD 53–97B by 2030–34. AI-powered fraud detection used by 87% of financial institutions globally.²¹ Oman's National AI Policy (April 2025) explicitly targets financial services — immediate application: credit scoring for the 1.37M unbanked.

3. Open Banking

Global market: USD 31–35B with 470M users. Bahrain leads GCC (2018, 300+ APIs). Oman approved framework in late 2024 — the commercial opportunity is in the implementation layer.²²

4. Digital Banks

Global neobanking: USD 210–383B, ~350M users. But only 20% profitable. Revenue comes from business accounts (67%), not consumers. Path to profitability in Oman runs through SME banking.²³

5. Islamic Fintech — The Biggest Gap

Global Islamic fintech: USD 198B, heading to USD 341B by 2029. Only 484 companies globally (1.5% of all fintechs). In Oman: 62% prefer Sharia-compliant products, 32% lack digital access, virtually zero dedicated operators.²⁴

6. BNPL — Consolidating

ME BNPL: USD 2.7B, heading to USD 8.8B by 2031. Market consolidating around Tabby ($3.3B valuation) and Tamara. Remaining Oman opportunity: niche BNPL — Sharia-compliant, sector-specific (insurance, education, healthcare).²⁵

7. Cross-Border Payments

USD 212.6B global market. Average cost of sending USD 200: 6.2–6.3% (vs UN target of 3%). Oman's 2.42M expatriates send USD 3.8–5B home annually. 67% of senders now prefer digital channels.²⁶

A young, connected, underserved population with government capital behind the strategy.

Government Capital Behind the Strategy

• Future Fund Oman — USD 5.2 billion (Jan 2024), 7% for SMEs, 3% for startups
• Oman Technology Fund — OMR 75 million for accelerator and venture programmes
• Inma Fund — OMR 25 million for SME support in 2025
• National AI Policy — April 2025, financial services as priority sector
• CBO-Omantel Accelerator — 6-month programme actively recruiting fintechs

The Underserved Segments

Partnership Pathways

• CBO-Omantel Accelerator — Actively recruits in BNPL, crowdfunding, microfinance, ROSCA
• NBO — Proven appetite for fintech partnerships (Paymob, PayMate, Zumr, Pay+)
• IFC Oman — New pathway for foreign fintechs wanting regulated presence without full onshore licensing
• Sohar International — Already has open banking APIs live — potential integration partner