25 June 2026 at 06:09 pm IST
Oman has confirmed that mandatory sustainability disclosure standards will come into force in 2029, marking a major step in the country's efforts to strengthen corporate transparency and align with international sustainability reporting practices. The Financial Services Authority (FSA) announced the timeline as part of its roadmap for adopting the International Financial Reporting Standards (IFRS) Sustainability Disclosure Standards. The framework will require entities within the scope of the regulation to disclose sustainability-related risks, opportunities and climate-related information in line with IFRS S1 and IFRS S2 standards developed by the International Sustainability Standards Board (ISSB). The move is intended to improve the quality, consistency and comparability of sustainability-related financial information across Oman's non-banking financial sector. According to the FSA, the phased implementation approach will provide organisations with sufficient time to build internal capabilities, establish reporting systems and strengthen governance processes before the requirements become mandatory. The authority said the transition period is designed to support effective and sustainable adoption of the standards while minimising compliance challenges for affected entities. Officials noted that enhanced sustainability reporting will strengthen investor confidence and improve transparency in financial markets by providing clearer information on environmental, social and climate-related risks. The standards are also expected to support sustainable finance initiatives and help businesses better assess long-term opportunities associated with the transition to a low-carbon economy. The FSA said the adoption of international sustainability disclosure standards aligns with Oman Vision 2040 and the country's broader sustainability objectives, including its net-zero ambitions. By integrating sustainability considerations into mainstream financial reporting, Oman aims to strengthen its investment environment and improve the resilience and competitiveness of its economy in the years ahead.
