Oman’s first crowdfunding platform, which is likely to be licensed by the end of this year, will spur the economy forward and lead to the creation of more jobs. The Capital Market Authority (CMA) has approved the legislation required to set up crowdfunding platforms in the country, the body’s Board of Directors said.

“These platforms are innovative financing instruments and financial techs enabling entrepreneurs, micro, and small and medium enterprises (SMEs) to get more appropriate financing mechanisms,” the CMA said in a statement. The board emphasized the importance of launching such products as financing options for SMEs in Oman to enhance economic development, creation of jobs, and financial inclusion.

It is worth noting that crowdfunding platform regulations are in their final stages of preparation. “The CMA will take into consideration, in setting out the rules, that they will not be transformed into lending institutions in the conventional sense and will post them for consultation and feedback from the public,” the statement said.

Source Credit: Times of Oman