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The Financial Services Authority published the Executive Regulation of Sultani Decree No 46/2022 in the Official Gazette on 26 July 2026 with the new rules entering into force on 27 July according to the regulator’s announcement. Approved by FSA Chairman Dr Khamis bin Saif al Jabri the regulations establish clearer obligations for capital market institutions and introduce minimum capital requirements alongside a shift to risk-based supervision. The framework addresses capital adequacy market and credit risk operational resilience and business continuity as part of efforts to align Oman’s markets with evolving international standards a regulatory assessment found.
Investment banking activities now require specific authorisation covering investment management product structuring portfolio management research advisory services issue management and underwriting the regulation stated. A dedicated crowdfunding regime targets small and medium-sized enterprises as well as micro-enterprises to expand financing channels while fintech operators can obtain licences through a regulatory sandbox designed to test innovations in a controlled environment. These measures build on the core Securities Law enacted in 2022 which had replaced the longstanding Capital Market Law first established decades earlier according to legal analyses from Trowers & Hamlins.
Commercial banks must transfer their securities-related activities to separate independent entities within three years under the new structural separation rules with exceptions retained for custody trust services and underwriting the FSA directive indicated. Institutions receive a six-month period to regularise their positions while banks have the extended three-year window to achieve compliance. The regulation also revises the fee structure aiming to balance enhanced regulatory demands with efforts to reduce overall compliance costs for market participants.
The Executive Regulations replace the prior rules issued under the repealed Capital Market Law including the 2009 CMA Decision that had governed the sector for years a Chambers and Partners banking guide noted. Development of the new text followed public consultation on a draft version released in late 2023 which had already signalled major updates in areas such as investment funds and licensing requirements. The FSA had been tasked with issuing the implementing regulations within one year of the 2022 law’s promulgation though the final version arrived after additional refinement.
Oman’s capital market institutions will face updated supervisory expectations focused on risk management and operational standards as the FSA moves toward more proportionate oversight based on entity size and activity type. The changes are expected to support greater market integrity while opening pathways for innovation in areas such as digital finance and alternative funding mechanisms according to the published framework. Market participants must now review their operations against the detailed provisions to ensure timely adherence within the stipulated transition periods.
