VOL. XLV

No 30

29-July-2002

OMAN

Declining Asset Quality Impacts Omani Banks 2001 Results

The Omani banking sector had adifficult year in 2001. The global economic slowdown, compounded by the eventsof 11 September, kept a lid on the growth of the Omani economy, which remainsoverly dependent on oil and gas. The resulting lack of lending opportunities,excess liquidity and interest rates falling in line with the drop in rates inthe US and other economies have combined to increase competitive...