PAYING IT FORWARD
Thanks to Credit Oman, local SMEs and large enterprises alike can take the leap to expand their reach without risking everything.

BIOGRAPHY
Khalil Al Harthy is an experienced founding partner with a demonstrated history of working in the management consulting industry. He is skilled in business planning, operations management, HR consulting, coaching, and entrepreneurship. From 1992 to 2003, he worked as a portfolio manager for the Central Bank of Oman and from 2003 to 2010 as Assistant General Manager for Al Ahlia Insurance Oman. In 2010, he founded the Performance Factory, a management consulting firm. He holds a bachelor's in finance from the University of New Orleans with a double-minor in MIS and management.
How do you expect Omani companies to fare in the global trade slowdown, and what role does Credit Oman play in the Sultanate's diversification strategy?
As an oil-producing country, Oman's need to diversify the economy is a fundamental focus for the country's future. This diversification strategy, however, comes with a series of challenges, especially at a time when demand is falling, with rising pressure on margins. For this reason, prioritization, agility, and innovation are key elements that every business needs to incorporate to survive and eventually grow. Some sectors will be more successful than others, but widespread competition will push players to become smarter and adopt technology and alternative selling solutions in their business model. Companies in various sectors, such as agriculture and manufacturing, have been struggling to spread their products' networks beyond conventional markets due to a fear of not receiving their money in time or even at all sometimes. This is where Credit Oman comes into play, offering trade credit insurance to support Omani companies to sell locally to other businesses and export their goods and services without risking insolvency from the buying counterpart. The current market conditions in the country have pushed a good number of players to explore new markets, like Africa or Latin America. These markets often present a high degree of political risk, which is why we have products that cover this type of exposure as well. Rates and products are based off a thorough process of due diligence, which is why, aside from the products themselves, at times we simply recommend not to engage in business relationships with certain foreign players due to lack of information without a secured collateral.
Are you looking to expand your work with SMEs?
We are definitely looking at SMEs across all segments. In developed countries, the SME segment is quite large. SMEs in Oman remain underserviced by financial institutions due to their high-risk profiles. This will require more scrutiny. We are indeed creating a product with some banks and related supportive entities to help SMEs with domestic sales and exports credit guarantees as well. SMEs need money quickly in order to survive, and by providing credit guarantees based on upcoming trade transactions, SMEs can use Credit Oman guarantees to avail working capital facilities. At the moment, we do not have many export-driven small companies, but providing such a product will help SMEs expand faster and leverage technological trade platforms.
Which markets have the most potential for Omani companies to tap into, and what are the main risks in the short to medium term?
We use international standards in terms of credit rating for countries. We have country risk and buyer risk. We apply a risk-based assessment based on an international rating and then conclude the credit worthiness of that transaction. Oman's conventional destinations for exports given its location are GCC countries and the Indian subcontinent. We see a great deal of trade being conducted in Africa as a whole, specifically the east, mainly due to logistical cost effectiveness. Many parts of Europe and Latin America are witnessing some good growth as well. With the massive expansion of e-commerce globally, the world is now within everyone's reach. Credit Oman, like all export credit agencies around the world, plays a pivotal role in enabling trade locally and internationally with the support of the government. We are flexible and agile to tailor-made, fit-for-purpose credit covers for all our clients to trade with confidence.

TABLE OF CONTENTS
Focus: Future foreign policy
Friends to all, enemy to none
In championing the late Sultan Qaboos' non-interference foreign policy, the new ruler of Oman, Sultan Haitham bin Tariq Al Said, is determined to work for friendship and peace, justice and harmony, and coexistence and positive constructive dialogue.
read articleInterview
David Kalife, CEO, Oman Oil Marketing Company (OOMCO)
Despite Oman's fuel market slowing down, OOMCO increased its sales volume of lubricants by 36% in 2019 and is constructing a greenfield bunker terminal at the Port of Duqm. The company has transformed while growing its expertise in Marketing and Digital.
read articleInterview
Azzan Al Busaidi, CEO, Ithraa
Azzan Al Busaidi is an expert in competitiveness and economic growth. He was appointed CEO of Ithraa in 2019 after 17 years spent covering managerial roles in the organization. Al Busaidi was previously Ithraa's director general of planning and studies and is a strong advocate of the potential of digitization. He holds an MBA from the University of Strathclyde and a BSc in Economics from Sultan Qaboos University.
read articleInterview
Qais bin Mohammed Al Yousef, Minister of Commerce, Industry & Investment Promotion & Former Chairman, Oman Chamber of Commerce and Industry
Private Omani companies will be able to benefit greatly from the Fourth Industrial Revolution by enhancing their local value-added strategies and upskilling the workforce.
read articleInterview
Tahir Bin Salim Bin Abdullah Al Amri, Executive President, Central Bank of Oman (CBO)
The Central Bank of Oman's job is to ensure there is adequate liquidity in the system and that banks remain robust and resilient to meet the credit requirements of all segments without undermining financial stability.
read articleB2B
Capital markets
CMA and MSM are supporting Vision 2040 by providing financing to government companies that intend to go public, financing expansion of existing and new IPOs, and widening the investors base in Oman by enhancing and developing the investment funds and insurance industries.
read articleInterview
Khalid Al Balushi, CEO, Khazaen Economic City
International investors and business owners can benefit from Khazaen Economic City's strategic location and its close proximity to the main gateways of the country to import, process, manufacture, distribute locally, and export their goods and services.
read articleFocus: Port 4.0
Destined for greatness
Investments in world-class infrastructure have generated huge rewards for Oman. The goal now is to leverage technology as a disruptive enabler, build human capacity across the public and private logistics sectors, and drive operational efficiencies to build an integrated logistics business environment that is benchmarked against the world's best.
read articleFocus: Gap in tourism services
All bases covered
An amalgamation of local companies and unique experiences in Oman has created an original flavor that is further differentiating Oman's tourism offering from other countries and in the process attracting scores of tourists from all across the world.
read articleB2B
Engineering design
Renardet Engineering Consultants and Design Unit Engineering are recognized experts in their fields. While the former is an international company strongly committed to excellent engineering consultancy services and environmental practices, the latter is an Oman-based team of architects and engineers that incorporates local culture and traditions.
read articleB2B
Construction materials
Oman's construction sector is facing a host of challenges, but Hempel Paints and Al Maha Ceramics are confident that a mix of forward-thinking business models, unique products, and strong government initiatives will help them through turbulent times and generate positive returns in the long run.
read articleInterview
Salim Razvi, CEO, Oman Academic Accreditation Authority (OAAA)
Focusing on higher education institutional accreditation, program accreditation, and the updating and maintaining of the Oman Qualifications Framework, OAAA is helping further advance higher education in the Sultanate.
read article