ODB Offered 23,000 Interest-Free Loans

Oman Development Bank ( ODB ), since establishing and up to July 30, has offered more than 23,000 loans to small beginner investors and craftsmen which are all interest-free. ODB offers developmental loans to different economic sectors in the Sultanate, with more focus on small and medium enterprises (SMEs) of RO 5,000 as a loan limit.

According to terms and conditions set by the bank for funding loans where project capital doesn’t exceed RO 20000, ODB provides funding 90 per cent of the total cost of a single project, with one loan maximum limit is RO 5000. The interest is zero and the loan term extends to 6 years, in addition to one extra year as a grace period. Repayment is on quarterly instalments.

Sector-wise loans and amounts:

Economic Sector Number Total value of loans (RO)

Fisheries 14,597 42,505,043

Agriculture& livestock 6,096 25,816,054

Education& health service 224 932,837

Tourism& public service 1,441 6,461,324

Wood and paper industries, printing press and metals industry 302 1,377,903

Machinery and electrical equipment manufacturing, telecommunications and transportation 610 2,822,369

Mining, building materials and metals 313 1,327,911

Textile, leather and footwear 122 481,212

Food stuff and beverage 50 192,380

Chemicals, petrochemicals and oil 40 467,077

Total 23,795 82,384,108

Oman Daily Observer