Credit to the private sector on the rise
Also, conventional banks achieved an annual growth in total credit of 3.2 per cent by August-end, mainly due to credit to the private sector increasing by 4.4 per cent to OMR18.1 billion. Conventional banks’ overall investments in securities grew by 1.2 per cent to OMR2.9 billion. Investment in government treasury bills stood at OMR437.3 million as of the end of August 2017.Aggregate deposits held with conventional banks increased moderately by 0.7 per cent to OMR18.8 billion in August 2017, from OMR18.7 billion for the same period a year ago.Besides, Islamic banks provided financing to the extent of OMR2.9 billion as of the end of August, compared with OMR2.2 billion a year ago. Total deposits held with Islamic banks and windows also registered a significant increase to OMR2.8 billion in August 2017, from OMR2 billion as of the end of August 2016. The total assets of Islamic banks and windows combined, amounted to OMR3.6 billion as of the end of August 2017, constituting about 11.7 per cent of the banking system’s assets.

Average annual inflation based on Consumer Price Index (CPI) for the Sultanate during January to July 2017 rose to 1.8 per cent, mainly due to a rise in transport costs, education, furnishings, household equipment and routine household maintenance, tobacco and energy prices, noted the central bank report. The average price of Omani crude oil during the January to July period stood at $51.6 per barrel.