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Average bank net interest margins vary widely across Gulf Cooperation Council (GCC) countries, net interest margins of Omani banks are significantly higher. The resultant low level of financial intermediation implies reduced investment and economic growth. Understanding the reason for these high and persistent spreads is important to develop a policy for improving effectiveness of the banking system. The paper aims to discuss these issues.

Net interest margins of Arab GCC banks during the period 1999-2012 are examined using the balanced panel regression model with bank specific, financial/market structure specific and macroeconomic factors as determinants. The method used for estimation used is the estimated generalized least squares (EGLS) method with both fixed effects and random effects.

Bank-specific variables, which explain net interest margins in GCC, are bank capitalization ratios, loan ratios and overhead expenses. Spread of banking sector (as measured by ratio of total bank credit to GDP) is positive and highly significant, implying that along with the expansion of the banking sector in GCC economies, interest margins of banks also improved. Omani banks were able to increase interest margins by aggressively marketing high yield personal and credit card loans, and, zero interest paying deposit products. The study also finds a negative relationship between concentration and net interest margin, and attempts to explain this finding which is at variance with other country studies using the price leadership model of oligopoly.

The standard, accepted econometric model of net interest margins which has been used in earlier studies is unable to explain the high net interest margins of banks in Oman although it is able to explain interest margins in other GCC countries. There is a need to develop non econometric models. More work is needed on the implications of NIM spreads for how they affect an economy.

The study shows that as the banking sector spreads in the economy, individual banks have more opportunities to market their products while at the same time maintaining interest margins. Bank managements should note this point and look for opportunities to expand.

There is no evidence of any empirical studies which focused on net interest margins in the GCC countries. This study attempts to fill in this gap with a view to nudge policy makers to look at the issue of high interest margins and its detrimental impact on economic growth and development in the Gulf region. The paper is useful for policy makers to understand and rectify the problem of excessive interest spreads which is hurting the financial intermediation process.

The Oman Development Bank (ODB) was established in the year 1976 under the Royal Decree No 31/76. The ODB is the first specialised development bank started in Sultanate for the purpose of contributing to the economic and social development in the country. ODB is attracted by more local and foreign investments created many investment opportunities in development projects by providing the funds, technical support and advice to its clients especially in the establishments of Small and Medium Scale Enterprises (SMEs). The objective of this study is to analyse the role of ODB in financing the small and medium scale industries with the aid of qualitative data. The study analyses the approved loans in region wise. To study the effectiveness of ODB in financing small and medium scale industries in sector wise. The study period is from 2006 to 2009. The analysis and findings of this study provide useful information for bankers, policy makers and to the customers who seek to start SMEs in Sultanate.

The purpose of this paper is to underline the significance of invoking Big Data and Internet of Things (IoT) technologies in Omani Banks. Opportunities and challenges are also being discussed in the case study.

Four Omani banks representative of local, international, Islamic and specialized banks are being studied in terms of their social networking presence on Facebook and their e-banking facilities. Also, impetus is laid upon the aggregation of internal data and vast amounts of semi-structured external data from public sources, including social media.

The case study shows that Big Data analytics and IoT technologies may be utilized by the Omani banks for facilitating them in “forecasting” and “nowcasting”. Besides, customers may be better managed with better and efficient services. However, there are challenges in tapping these technologies such as security, infrastructure, regulatory norms, etc.

Banks in Oman need to appreciate the utility of Big Data and IoT technologies, and for this, a robust IT infrastructure should be institutionalized.

The case study is a major step in integrating Big Data and IoT technologies in Omani banks across four variants of national, international, Islamic and specialized banks. This is the first study where such integration has been emphasized in the Omani banking sector.

In recent years, there has been a growing tendency to establish closer ties among the Gulf Cooperation Council (GCC) countries (Bahrain, Saudi Arabia, Oman, Qatar, and United Arab Emirates) in economies and financial institutions. As a result, there is an increasing need for the harmonization of accounting regulations in order to improve cooperation and enhance the efficiency of the financial institutions among GCC countries. This study is an investigation of the accounting standards followed by the financial institutions in five GCC countries with some policy prescriptions for harmonization of the accounting regulations in GCC countries. This paper deals with accounting policies and practices, including loans and provisions, assets, investments, taxation, liabilities, foreign exchange, revenue recognization, and consolidation of GCC countries’ banking and other financial institutions.

This paper aims to integrate Big Data in e-government in Oman, also known as “e-Oman”, wherein Big Data might be better harnessed to tackle real-time challenges.

Besides a description of the concepts of e-government and Big Data in general, the paper underscores the dimensions of “e-Oman”. Following a qualitative approach, the paper asserts how integration of Big Data in “e-Oman” may be useful by invoking examples from four short case studies across different sectors.

The paper supports the integration of “e-Oman” and Big Data wherein besides providing smooth public services, the government is encouraged to forge inter- and intra-ministerial collaboration and public-private partnership. The paper probes through the challenges and opportunities in effecting this integration.

The paper provides a platform for the policymakers to conceive of a synchronized programme for integrating “e-Oman” and the Big Data generated by it. This integration would go a long way in building upon the economy of Oman, besides providing better public services to the individuals and businesses on a real-time basis.

The paper does throw light on the issues of privacy and confidentiality of data available with the government. There are challenges of cybercrime as well. Therefore, the paper posits that a robust fool-proof infrastructure should be instituted by the government for effecting integration of e-government and Big Data.

This paper seeks to fill the gap in extant literature which remains scant on the integration of e-government with Big Data. This is especially true in the case of Oman where not a single study has been presented to probe this issue. Given that “e-Oman” is expanding its scope over the years, this paper foresees the concomitant opportunities and challenges in the integration of Big Data in “e-Oman”.

The literature dealing with the firm's financing decisions in developing capital markets is limited. This paper aims to contribute to the published research by documenting the perceptions of managers of Omani firms listed on the Muscat Securities Market with regards to the capital structure of their firms. Survey responses show that financial decision‐making behavior of Omani firms can be explained by the “pecking order” view of capital structure. The effect of tax and bankruptcy on capital structure is not clear. Firms' relationships with banks and government shareholdings minimize the effect of financial distress. Further, managers tend not to release information to the suppliers of funds even though this might reduce the cost of funds required. Most firms seem to maintain spare borrowing policy. The conclusion is that executives of Omani firms are not less sophisticated than their American, Australian, British, Korean, Hong Kong, or Singapore counterparts in terms of their decision‐making process related to financial leverage.

Inter-organizational knowledge transfer (IOKT) is important especially for small and medium enterprises (SMEs). Organizations need external knowledge to improve learning capabilities and their own competitiveness. SMEs are important for every nation’s economy. IOKT can enable SMEs’ learning and innovation and consequently its contribution to the national economy. This study aims to examine the factors that influence the IOKT process in Omani SMEs.

This study uses qualitative methodology. Participants were ten Omani SMEs from the information and communications technology sector, a knowledge-intensive sector. The study is based on face-to-face semi-structured interviews and content analysis.

The results confirmed that inter-organizational knowledge is considered to be important to SMEs. This research also showed that IOKT is affected by many factors related to the donor organization, recipient organization, nature of the knowledge and inter-organizational dynamics. The core factor to IOKT in SMEs is risk and trust.

Literature shows that there is an emphasis on the importance of studying knowledge management in SMEs; however, there is little work that has been done. Such study is even more important for Omani SMEs to improve their learning, innovation and contribution to a national diversified economy. This study provides valuable insights to establish an effective foundation for IOKT in Omani SMEs.

Information and communications technology (ICT) is the driving force and key enabler of a knowledge economy. The purpose of this study is to identify the critical ICT indicators that foster the development of the knowledge economy and its main pillars (education, innovation and economic and institutional regimes) in Oman.

The study used a qualitative approach and conducted four Delphi studies on four groups of experts (ICT experts, educators, innovation experts and economists) in Oman.

The results indicated that the most commonly top-listed ICT indicators of a boost in the country’s knowledge economy are related to the national level (total research and development expenditure on ICT, ICT patents as a percentage of national total and ICT as an overall priority for the government), firm level (the proportion of businesses using the internet, the proportion of businesses using computers and the proportion of businesses with a Web presence), and inhabitant level (mobile phone subscribers per 100 inhabitants, internet subscribers per 100 inhabitants and personal computers per 100 inhabitants).

ICT is the driving pillar of a knowledge economy. The literature indicated that most of the ICTs for development studies are conducted in developed countries; hence, there is a great need for investigations in the context of less developed economies such as Oman. This study can provide insights for the country on how to develop and exploit ICT to boost the development of the overall knowledge economy and its pillars and to provide guidance for exploiting ICT to gain economic value. Oman’s vision for 2020 and 2040 aims at economic diversification; the knowledge economy is a critical aspect of the country’s economic diversification. In addition, the literature indicated that the relationship between ICT and development is still not clear; hence, this study provided some insights into the context of knowledge economy development.

The concept of Islamic banking (IB) as a discipline and the introduction of the full-fledged Islamic banks and Islamic windows are relatively newer developments in the banking sector in Oman. This paper aims to assess customers’ perceptions of the Islamic banks and IB windows in Oman.

Following the interpretive paradigm and an exploratory research design, data collected through personal interviews with a group of 60 respondents in two of the prominent cities in Oman were analysed qualitatively.

The study found that customers in Oman had mixed feelings about the Islamic Banks. While some of them were not sure if the banks follow the Islamic principles, a majority of them had not opened an account with the Islamic banks or Islamic windows. The study revealed some vulnerabilities in the areas of their operations, marketing practices, staff knowledge of products and customer-dealings, as well as customers’ understanding of Islamic banks, their principles and practices.

As the advent of IB is relatively new to Oman, the insights gained by this study will have wider implications for the growth of IB locally. The outcomes of this study would appraise the officials and regulators of Islamic banks and Islamic windows with customers’ perception of IB. The elimination of the identified weaknesses would help them to improve the knowledge, quality and the marketing and promotion of products and services while competing with the conventional banks.

This study is a pioneering effort to know the status of IB and customers’ motivations in Oman towards IB.

Even though sustainable entrepreneurship has increasingly received researchers’ attention in recent years, the topic remains rather under-researched in natural resources’ rich Gulf countries such as Oman. Hence, this paper aims to fill this gap in the literature and, to the best of the authors’ knowledge, is one of the first attempts to assess the state of sustainable entrepreneurship development in Oman from a multi-stakeholder perspective.

This paper uses a qualitative research approach where in-depth semi-structured interviews were undertaken with 12 respondents representing relevant stakeholders of sustainable entrepreneurship development in Oman. The interviewees included four sustainable entrepreneurs, four policymakers and four educationists representing entrepreneurial skills development institutes in Oman.

This papers’ findings highlight that despite some positive improvements, several critical challenges remain, which hinder sustainable entrepreneurship development. The authors further found the role of FinTech to be critical in this concern by all stakeholders, though its usage and acceptance remain low. Also, the costs associated with the post-carbon (sustainable) economy and different profitability evolution have resulted in a slow change in the policy development in this concern. From an educational (skills development) perspective, a lack of context-specific training programmes and culture-based hesitations appeared to be hindering achieving sustainable entrepreneurship possibilities in Oman. The nascent entrepreneurial ecosystem, bureaucracy and lack of human capital (attraction as well as retention) appeared to be significant challenges for entrepreneurs. Finally, the findings highlighted the need for cross-sector collaboration with clear benchmarks for effective policy development concerning sustainable entrepreneurship in Oman.

To the best of the authors’ knowledge, this paper is the first academic study explicitly highlighting the state of sustainable entrepreneurship in Oman by incorporating the development initiatives as well as the major challenges in the analysis. Secondly, this study is also a pioneering work specifying the interlinkage between financing (FinTech), policy initiatives and skills development and the development of a sustainable entrepreneurship ecosystem in an under-researched context of Oman. Finally, the transition to a sustainable economy is challenging in natural resources’ dependent economies like Oman, as it needs to be supported by the mindset change in the larger society (legitimacy). In this concern, this paper, to the best of the authors’ knowledge, is one of the first academic endeavours to also specify the role of legitimacy from the perspective of different stakeholders (and larger society) for sustainable entrepreneurship development in such contexts.