Subject: Depreciation of Real Estate Owned by Licensed Banks

With reference to the Oman Central Bank Circular No. BM361/1982 issued on 10 October 1982, on depreciation of Real Estate owned by licensed banks, the Board of Governors of the Central Bank of Oman have decided at its meeting on 6th March 1983 to amend the said Circular and issue the following:

In order that licensed banks adopt a broadly uniform approach for the depreciation of real estate and real property which they own, and commencing with the financial year ending December 1982, banks shall adopt the following practice:

1. • a) Property owned and used for business and part thereof for accommodation of the staff shall be depreciated over a period not exceeding 25 years.

   • b) Property owned and constructed purposely for the accommodation of the staff shall be depreciated over a period not exceeding 25 years.

   • c) Property owned and constructed purposely for the storage of goods to which a licensed bank has claim shall be depreciated over a period not exceeding 15 years.