Oman Banks Face Trust Test Amid AI Transformation: What It Means for Investors and Business Owners
MUSCAT, MAY 23 – Oman’s banking sector must advance beyond mere digital transformation to develop trusted, AI-powered financial ecosystems, as technological innovation reshapes competition, customer behavior, and service delivery, stated Mustahil bin Ahmed al Mamari, CEO of the Oman Banks Association (OBA), at the New Age Banking Summit Oman.
Al Mamari emphasized that the industry is entering a profound phase of change, where the primary challenge is no longer just digitizing services but redefining the banking sector’s role within a real-time, interconnected economy. “This is no longer just about transformation. It is about redefinition,” he remarked, highlighting that the very nature of banking is evolving.
He pointed out that financial services are increasingly embedded within digital platforms, customer ecosystems, and daily experiences, moving beyond traditional banking channels. This shift is already evident in Oman’s payments market; according to the Central Bank of Oman, transactions through local electronic payment gateways surged to approximately RO 3.2 billion in 2025, demonstrating rapid growth in digital financial services alongside greater public trust in these channels.
QR-code payments experienced the fastest growth last year, with a remarkable increase of over 133 percent, reaching nearly RO 8 million—almost triple that of the previous year. Al Mamari described these figures as more than mere statistics, reflecting widespread public confidence and evolving customer behavior at scale.
Artificial intelligence is becoming integral to core banking systems, risk management, and customer engagement, transforming operational decision-making within financial institutions. “We are moving into an era where systems are not only supporting decisions, they are increasingly influencing them,” he said.
However, Al Mamari underscored that the adoption of smarter, automated systems must be accompanied by enhanced governance and accountability. “Efficiency alone is not enough. Accountability must remain at the centre,” he stressed.
Trust, he noted, is emerging as the defining factor in modern banking, with customers demanding transparency, reliability, and seamless digital experiences across all transactions. The expansion of digital banking also heightens the need for robust cybersecurity, digital identity protection, and data governance. Referencing global studies, he highlighted that over 70 percent of organizations have faced increased cyber threats, reinforcing the critical need to maintain trust within financial systems.
Looking ahead, Al Mamari stated that the future of banking depends on strengthened collaboration among banks, fintech firms, regulators, technology companies, and digital platforms. Value creation will increasingly occur through networks, partnerships, and shared platforms rather than within isolated institutions.
He commended the Central Bank of Oman for fostering innovation via digital banking frameworks, open banking initiatives, regulatory sandboxes, and payment modernization efforts—all while ensuring financial stability and market confidence.
The Oman Banks Association will continue to drive sector cohesion by uniting banks, regulators, and ecosystem partners to enhance shared infrastructure, standardization, industry insight, and capacity building. “The future of banking will not be defined only by who adopts the most technology, but by who builds the most trusted system, enables the most meaningful collaboration and leads with clarity and responsibility,” Al Mamari concluded.
تحلیل ویژه از عمانت | بازار عمان را کشف کنید
Oman’s banking sector is entering a pivotal era where AI-driven ecosystems and trusted digital collaboration will define competitive advantage beyond mere digitization. For businesses, this signals opportunities to leverage integrated financial services embedded in daily digital interactions, while investors and entrepreneurs must prioritize cybersecurity, regulatory compliance, and partnerships to build trust in a rapidly evolving, interconnected economy. Strategic focus on governance and transparent innovation will be key to thriving in Oman’s future financial landscape.
