Five years on, MSX reshapes market growth in Oman

MUSCAT: At a time when global financial centres are redefining their roles and reshaping market structures, Muscat Stock Exchange (MSX) has emerged as one of the most notable transformation stories within Oman’s capital market sector in recent years, following its transition in 2021 into a company owned by the Oman Investment Authority (OIA). That transition reflected a broader strategic direction aimed at positioning MSX to play a more influential role in supporting economic growth, attracting investment and advancing Oman’s diversification agenda. It also marked the Exchange’s evolution from a conventional trading platform into a more agile, efficient and market-driven financial institution.

Marking five years since the transformation, MSX hosted a special ceremony highlighting the key milestones and achievements that have shaped its evolution under the new corporate model and the role this transition has played in strengthening operational efficiency, enhancing market attractiveness and reinforcing MSX’s regional and international standing as a more competitive and globally connected marketplace.

On this occasion, Mohammed bin Mahfoudh al Ardhi, Chairman of MSX, stated, “The transformation into a company owned by the OIA granted MSX greater flexibility in developing the market and accelerating the implementation of strategic initiatives, while contributing to building a more efficient investment environment capable of adapting to rapid economic and investment changes.

“The progress achieved in recent years was reflected not only in stronger market performance and higher market capitalisation, but also in building a deeper and more sustainable market ecosystem based on enhancing confidence, improving market efficiency and expanding investment opportunities in a way that strengthens the role of the capital market in supporting economic development and diversification”.

Over the past five years, MSX has gradually expanded its role beyond the traditional function of managing trading activity, adopting a broader market development approach focused on enhancing liquidity, deepening investor participation, expanding investment products and strengthening the competitiveness of the Omani market within the regional financial landscape.

Financial indicators underscore the scale of this transformation. Market capitalisation increased from approximately RO 22 billion at the end of 2021 to more than RO 32 billion in 2025, representing growth of over 45%. The increase reflects a combination of factors, including stronger performance among listed companies, rising investor confidence in the Omani market and significant improvements in Oman’s economic and investment environment.

Liquidity indicators also point to a substantial expansion in market activity. Trading value surged from around RO 818 million in 2021 to more than RO 5 billion in 2025 — an increase of more than 5.7 times in five years — reflecting broader market participation, stronger investment activity and growing confidence among both domestic and international investors in the Omani market.

The performance was supported by a combination of economic and regulatory drivers, including improvements in the macroeconomic environment, the restoration of Oman’s investment-grade credit ratings, enhancements to regulatory and operational frameworks; and the introduction of initiatives to deepen markets, enhance efficiency and boost investment activity.

In 2025, MSX entered a broader phase of market development with the launch of the Alternative Investment Market (AIM), the expansion of investment products and services, the introduction of the GCC Unified Investor Relations Best Practices Guide and the adoption of a unified GCC ESG framework, alongside enhanced sustainability disclosures. New listings and public offerings also played a key role in revitalising market activity, particularly with the return of momentum to IPOs in recent years, which has contributed to stronger liquidity, increased trading activity and broader participation from both domestic and international investors.

In parallel, MSX adopted a more flexible and market-oriented operating model, accelerating development initiatives, expanding market-maker and liquidity-provider programmes, launching the AIM Market and strengthening integration with regional and international financial markets, all of which contributed to greater market depth and enhanced operational and investment efficiency.

As MSX enters its sixth year as a company, it is moving towards a broader new phase in its transformation journey aimed at deepening the market, expanding investment instruments and strengthening integration with global markets, in support of building a more efficient, flexible and investment-attractive financial market capable of adapting to the future transformations of the capital markets industry.