Global Islamic finance assets expected to reach $9.7 trillion

Global Islamic finance assets are projected to soar by more than 60% over the next four years to $9.7 trillion, driven by gains in banking, bonds and insurance markets.

According to a study by the London Stock Exchange and the Islamic Corp. for the Development of the Private Sector, the sector has been growing by an average 10% annual rate, Arab News reports.

The report says Iran, Saudi Arabia and Malaysia together hold roughly $4.3 trillion in Islamic finance assets, or about 72% of the total.

It says the U.K. has emerged as a key hub for Islamic finance, particularly in the sale of sustainable sukuk bonds.

Oman eyes tourism, tech as it seeks emerging market status

Oman’s Muscat Stock Exchange is preparing for up to three IPOs in 2026 as part of efforts to boost listings and pursue emerging market status.

Working with the Oman Investment Authority, the bourse aims to bring new sectors like tourism and information technology to market, with companies such as Oman India Fertiliser considering IPOs. 

Fundraising has slowed this year after a record $2.5 billion in 2023, but the government is offering incentives such as tax waivers and priority in tenders to attract private firms, the exchange’s CEO, Haitham Al Salmi, told Bloomberg. 

The planned merger of Oman’s Sohar International Bank and Ahli Bank is seen as crucial to market capitalization, though the exchange is also exploring consolidation or group listings as alternatives.

“We understand how important this merger is, but we also have Plan B and C,” Al Salmi said.

New fund aims to promote Chinese expansion in Middle East

Abu Dhabi-based BlueFive Capital and China International Capital Corp.’s private equity arm are preparing a new fund to support Chinese companies aiming to expand in the Middle East.

The proposed investment vehicle will target sectors where Chinese firms can build up operations across the Gulf region, leveraging both capital and regional market access, Bloomberg reports.

While details regarding the fund’s size and timeline remain undisclosed, the move reflects growing financial collaboration between Chinese investors and Gulf economies.

The planned fund is positioned to facilitate business expansion by offering both strategic and financial resources to participating Chinese companies.

Oman to impose personal income tax on its high earners by 2028

Oman’s Sultan Haitham bin Tarik has approved a personal income tax law to be implemented on individuals earning more than $110,000 annually.

The measure, which will be imposed starting in 2028, positions Oman as the first Gulf state to levy personal income tax, part of broader efforts to diversify revenue away from oil.

An earlier draft proposing separate thresholds for Omanis and expatriates was rejected by the Sultan.

With 2.7 million workers – 1.8 million expatriates – the reform is projected to raise over $285 million annually.