Overview
The financial services sector in Oman employs ~18,000 direct workers with an Omanisation rate of ~92%. Workforce development is a critical enabler of Vision 2040 objectives, requiring targeted interventions in skills training, career pathway development, and nationalisation policies tailored to sector-specific needs.
Key Indicators
| Indicator | Current | 2040 Target |
|---|---|---|
| Direct Employment | ~18,000 direct | See 2040 targets |
| Omanisation Rate | ~92% | See 2040 targets |
| Key Employers | Bank Muscat, BankDhofar, National Bank o… | Expanding |
Analysis
Workforce composition in Oman’s financial services sector reflects both historical development patterns and emerging skill requirements. The current Omanisation rate of ~92% indicates strong progress toward nationalisation targets. Key employers including Bank Muscat, BankDhofar, National Bank of Oman, Alizz Islamic Bank, CMA, CBO are implementing structured training programmes. However, skills gaps persist in technical specialisations, middle management, and digital competencies. The sector must balance rapid Omanisation with maintaining operational excellence and international competitiveness.
Challenges
Skills mismatch between education outputs and sector requirements remains the primary workforce challenge. Limited capital market depth, low equity market liquidity, conservative lending culture, nascent fintech ecosystem, regulatory fragmentation between CBO and CMA, and high NPL ratios in SME lending (~8 percent). Additionally, retaining Omani talent in the face of competition from government and higher-paying sectors requires innovative compensation and career development frameworks.
Opportunities
Structured apprenticeship programmes, industry-academia partnerships, and TVET alignment with sector needs can accelerate workforce readiness. Islamic finance expansion, fintech sandbox and digital banking licences, insurance penetration growth (currently ~1.5 percent of GDP), green bonds and sukuk, pension fund reform, and regional wealth management hub potential.
Vision 2040 Targets
Increase financial services GDP share to over 10 percent; double insurance penetration; grow Islamic banking to 25 percent of assets; launch a digital riyal CBDC pilot; maintain 92 percent+ Omanisation.