Adnan bin Hayder Darwish, General Manager of Oman Housing Bank (OHB), has said that the directives of His Majesty Sultan Qaboos to cancel bank and administrative fees in favour of all borrowers from the bank comes as an addition to the Royal gestures that have become a tradition of His Majesty’s response to and understanding of the conditions of citizens.

The step will help provide decent housing for citizens and encourage the growth of the construction sector, thereby reflecting in a positive way on the economy at large since real estate is a pillar of economic prosperity. The OHB General Manager pointed out that the Royal orders on exemption from fees covers 11,700 citizens. The government will bear the cost of exemption which stands at RO 131 million.

New loan borrowers will also get 75 per cent reduction of bank fees, said the official. The government will also bear the cost of cuts on banking fees costing RO 145 million. Earlier, Darwish bin Ismaeel al Balushi, Minister Responsible for Financial Affairs, who is also the Board Chairman of Oman Housing Bank, said that the exemption does not cover commercial loans and loans not subsidised that are offered by the Oman Housing Bank or loans offered to people who do not meet the conditions.

Last Monday, His Majesty has issued Royal directives to cancel Grade 5 from the schedule of grades and salaries listed in the Civil Service Law promulgated by Royal Decree No 120/2004 and to rectify the impacts that the initiation of Grade 5 caused.