MUSCAT – BankDhofar has signed a partnership agreement with the Development Bank to launch Financing Guarantee Programme aimed at enhancing access to finance for small and medium enterprises (SMEs), reinforcing their role as a key driver of economic growth and diversification in the Sultanate of Oman.

The agreement was signed on behalf of BankDhofar by Ahmed bin Said Al Ibrahim, Chief Retail and Government Banking Officer , and on behalf of the Development Bank by Hamad bin Salem Al Harthi, Chief of Business.

The initiative reflects the two organisations’ shared commitment to supporting and empowering SMEs, which constitute a vital pillar of the national economy. The programme is expected to facilitate financing for businesses operating across strategic sectors, including industry, tourism, logistics, renewable energy, agriculture and technology.

By providing Financing guarantees, the programme aims to expand financing opportunities for startups and growing enterprises, enabling them to implement new projects, scale their operations and create long-term economic value. It is also expected to mitigate credit risks and strengthen the confidence of financial institutions in extending finance to the SME sector, thereby increasing its contribution to the Sultanate’s GDP.

Commenting on the partnership, Ahmed bin Said Al Ibrahim said: “This agreement marks an important milestone in BankDhofar’s ongoing efforts to support the SME sector, which is a key engine of economic growth and diversification. Through this programme, we seek to empower entrepreneurs by facilitating access to financing, enabling businesses to grow, innovate and compete more effectively across a wide range of sectors.”

He added: “We believe that investing in SMEs is an investment in the future of Oman’s economy. BankDhofar remains committed to delivering integrated banking solutions that meet the evolving needs of our customers and support their ambitions, while contributing to the objectives of Oman Vision 2040.”

The Financing Guarantee Programme forms part of broader national efforts to foster entrepreneurship, stimulate private sector investment and strengthen the resilience of the SME ecosystem. By reducing financing barriers and encouraging business expansion, the initiative is expected to support job creation, innovation and sustainable economic development.

Through this partnership, BankDhofar reaffirms its commitment to delivering innovative financial solutions that address market needs and enhance the competitiveness of SMEs. The initiative also underscores the bank’s active contribution to the goals of Oman Vision 2040, particularly in advancing economic diversification and building a more sustainable and prosperous future for the Sultanate.