Effective July 1, 2025, Oman will enforce the use of International Bank Account Numbers (IBANs) for all domestic bank transfers. This change follows the earlier requirement for international transfers, which was implemented in March 2024. The Central Bank of Oman has introduced this measure to enhance the accuracy and speed of financial transactions within the country. By standardizing the use of IBANs, the bank aims to reduce errors and streamline the banking process, ensuring that funds are transferred efficiently and securely.

The introduction of mandatory IBANs for domestic transfers aligns with global banking practices, providing a uniform system that simplifies cross-border transactions. Banks operating in Oman, such as Emirates NBD, have been proactive in advising their customers to update beneficiary details to prevent any disruptions or failed payments. This advisory is crucial as incorrect or outdated information could lead to delays or rejections of transactions.

Interestingly, while IBANs are now required for domestic transfers, international transfers to Oman no longer necessitate the use of IBANs. This adjustment reflects a strategic decision by the Central Bank to facilitate easier access for foreign remittances into the country, potentially boosting foreign investment and economic engagement.

The move is expected to have significant implications for both individual and corporate banking clients in Oman. For individuals, it means ensuring that personal banking details are up-to-date and compliant with the new regulations. For businesses, particularly those engaged in frequent domestic transactions, it necessitates a review of current financial processes to incorporate IBAN usage seamlessly.

Overall, this regulatory change underscores Oman’s commitment to modernizing its banking infrastructure and aligning with international standards. It highlights the importance of adapting to evolving financial systems to maintain competitiveness and efficiency in a globalized economy.