BMI View: Like the rest of the economy, Oman's financial services sector is dealing with the impact of low oil prices, weighing on the industry's short-term growth and development prospects. The banking industry and stock market are expected to suffer the most, especially with the recent fiscal consolidation strategy. Nonetheless, efforts to diversify and upgrade the country's financial infrastructure should reap longer-term benefits, with strong potential for growth particularly in the relatively undeveloped insurance and Islamic finance markets. The banking sector dominates the industry now, and will do over the forecast period, with the strength of large local groups - alongside the government's 'Omanisation' programme - likely to remain a barrier to entry for foreign players. The asset management sector and insurance markets are relatively small and underdeveloped, while the stock market is far from realizing its potential.