Sunday 23 / February / 2025
Muscat: The Financial Services Authority (FSA) announced the launching of the first phase of the electronic system for issuing securities (E-IPO). The move comes within the endeavors of digitalization of the services and procedures regulating the Omani capital market to ensure easing and accelerating the transactions between the FSA and the executive entities.
The E-IPO is the stage of submitting applications and approving issues as the system is an integrated digital platform designed to regulate issuance and listing procedures in the Omani capital market.
The system will provide an electronic environment that contributes to accelerating operations and enhancing market efficiency. The system was designed in cooperation between the National Program for Financial Sustainability and Financial Sector Development “Estidama” and Muscat Clearing and Depository Company (MCD).
The electronic system for issuing securities would contribute to reducing the time and effort required to complete issuance procedures and ensures a smooth flow of information between all parties concerned, which enhances transparency in financial transactions.
The first phase of the electronic issuance system includes three basic procedures, starting with the procedures for submitting issuance applications, which include collecting and analyzing financial and legal data related to the security and ensuring their compliance with the applicable regulations. This stage also includes issuing initial approvals and providing the necessary directions to complete the issuance procedures.
The electronic system is a step forward in the process of issuing securities as it contributes to accelerating approval processes and facilitate the regulatory procedures through digital transformation, which would reduce paper transactions and reduce administrative complexities facing the issuers.
The system is scheduled to include two stages in addition to the stage of submitting applications and approving the issues, which will be announced later. The second phase is the book building stage. Meanwhhile, the third stage is the listing stage on the MSX.
It is worth noting that the FSA continues its efforts to facilitate all services provided to individuals and institutions as the percentage of digital transformation in the services provided by the FSA reached more than 93% in 2024.
