CBO waives digital transfer fees for individuals, SMEs

BUSINESS REPORTER
MUSCAT, JUNE 17
The Central Bank of Oman (CBO) has announced a major reform of national payment system fees, removing charges on local digital fund transfers for individual customers and small and medium enterprises. The revised fee structure will take effect from July 1, 2026 and covers transactions made through the Real-Time Gross Settlement System (RTGS), the Automated Clearing House (ACH) and the Instant Payment System when carried out through digital banking and payment channels, including e-wallets.
The CBO said the move is intended to reduce the cost of digital payments, encourage wider use of secure electronic channels and support Oman’s transition towards a less-cash and less-cheque economy.
Under the changes, individuals and SMEs will benefit from free local digital transfers through RTGS and ACH. Person-to-person payments through the Instant Payment System, whether using a mobile number or alias, will also remain free for all customers, regardless of whether the beneficiary is with the same bank or another bank or payment service provider.
For private sector employers using the Ministry of Labour’s Wage Protection System, banks may charge a maximum of RO 1 per month for processing salary payment files, regardless of the number of employees, number of salary files or beneficiary banks.
The CBO has also reduced the maximum merchant service fee for QR-code-based “scan and pay” transactions from 0.75 per cent to 0.50 per cent of the transaction value, with a maximum cap of RO 2 per transaction. The reduction is expected to lower payment acceptance costs for retailers, micro-businesses and SMEs, while encouraging wider adoption of QR payments.
The reforms form part of wider efforts by the CBO to strengthen Oman’s national payment infrastructure, including the development of national payment systems and the launch of the Maal domestic card scheme. The CBO said several Maal-related fees, including issuance, annual and certification fees, have been waived to support market readiness and encourage the use of domestic payment solutions. The scheme also offers merchant service fees nearly 50 per cent lower than those of other card schemes.
The central bank has also introduced and enhanced direct debit and e-mandate services as secure digital alternatives to cheques and recurring payments. These services are provided free of charge to customers to encourage broader adoption. The CBO said it will continue working with banks, payment service providers and relevant stakeholders to ensure effective implementation of the revised charges. It will also monitor digital payment adoption during 2026 to assess the impact on customer behaviour, cash usage, cheque dependency and overall payment efficiency.
Banks and licensed payment service providers have been directed to launch awareness campaigns across print, digital and social media platforms to inform customers about the revised charges and the benefits of digital payment channels.
Ahmed al Musalmi, Governor of the Central Bank of Oman, said the decision marked an important milestone in efforts to make digital payments the preferred method for financial transactions in Oman.
“By removing cost barriers for retail customers and SMEs, we are encouraging wider adoption of secure, efficient and accessible digital payment solutions,” he said. He added that the CBO remains committed to strengthening the national payment ecosystem, supporting financial inclusion, enabling innovation and ensuring digital payments deliver value to individuals, businesses, banks, payment service providers and the wider economy.