CBFS signs MoU with banks to conduct research

MUSCAT: As part of knowledge transfer initiative, the College of Banking and Financial Studies (CBFS) signed an agreement jointly with Oman Arab Bank, Bank Dhofar and Alizz Islamic Bank to conduct applied research. Under this agreement, a team of CBFS will conduct research on “Implications of oil price shocks on sustainability of banking sector of Oman”. It is expected that the research outcome will be useful to the banks for strategic decisions said by Dr Ahmed al Ghassani, the Dean of CBFS.

Adil Ali al Rahbi, Head of Human Resource Division from Oman Arab Bank, Mohammed al Balushi, Chief Human Resources Officer from Alizz Islamic Bank and Usama Ismail Hamdan al Farsi, Senior Manager, Learning & Development Department, Bank Dhofar have signed on behalf of their banks at MoU signing event held at the CBFS campus. Dr Ahmed al Ghassani represented on behalf of CBFS in this process. The event was attended by Assistant Deans, Directors and Heads of various Departments of CBFS. The bank representatives have expressed view that such partnership will help mutually and strengthen the academic and industry relationship. They hoped that with such research initiatives, CBFS will emerge as knowledge generation centre for banking industries in Oman in the near future. The banks are keen to support such initiative as part of corporate social responsibility.

During the past three decades, the world had experienced a number of oil price shocks due to various reasons. These shocks have created uncertainties in the global economy and led to global recession. In Oman, oil contributes with more than 77 per cent of the government revenues, 63 per cent of the exports and 51 per cent of the Gross Domestic Product. Oman is one of the GCC most effected by the oil price shocks. In this background, the banks sponsored to this research have felt that this research is highly relevant to the present context.

The purpose of this project is to investigate the implications of the oil price shocks on sustainability of banking sector in Oman. The research aims to identify the key channels through which oil price shock transmit to the banking sector in Oman. The study will also assess the impact of oil price shocks on key performance indicators of the banking sector. The team for this research consists of Dr Anand S, Dr Omer Ali Ibrahim and Sonal Devesh of PG Studies and Research Department of the College.