To: All Licensed Commercial Banks operating in the Sultanate of Oman

Subject: Investment in Shares and Securities in the International Markets

After Compliments,

1. The Attention of all banks is drawn to powers vested in banks under Article 4- 4.02(b) of Oman Law No. 7/1974, the Banking Law 1974 with regard to their investments in shares and securities of corporations domiciled and organized abroad subject to those legal limitations specified in the Law and Regulations promulgated thereunder.

2. With a view towards encouraging banks to invest and operate, on their own, in a trading portfolio of stocks outside the Sultanate within reasonable limits and based on recommendations from acknowledged international securities firms, the Central Bank of Oman is pleased to inform that the Board of Governors has reviewed the investment powers conferred on banks by Article 4-4.02(b) of Oman Law No. 7/1974 and has decided to permit banks to build a trading portfolio of reputable stocks in the international markets within certain specified limits.

3. Accordingly, banks are, hereby, advised that, with effect from the date of this Circular,