The Muscat Stock Exchange (MSX) has become the first state regulator in Oman to issue environmental, social and governance (ESG) guidelines (Guidelines). The MSX was formerly known as the Muscat Securities Market, which was established in 1988 and continues to operate under Oman's Capital Market Authority, the regulator of publicly listed companies in Oman. The MSX underwent a restructure in 2001 and its key mandate currently focuses on facilitating the listing and trading of securities in Oman and monitoring and regulating the Omani securities market.
In issuing the Guidelines, the MSX set out 30 metrics to measure a public company’s impact on environmental sustainability, societal responsibility and governance matters, including the measurement of carbon emissions.
The Guidelines are intended to promote transparency and robustness of ESG reporting by encouraging voluntary reporting in 2024 (for activities conducted in 2023). Reporting will be mandatory for public companies from 2025 onwards, with the first mandatory reports to be filed by 31 March 2025. Moreover, the Guidelines also introduce regional-level environmental responsibility initiatives, such as reducing single-use plastics and paper waste while promoting recycling and clean energy use, as well as, underlines Oman's ongoing commitment in establishing an inclusive and sustainable economic development.
From 2025, public companies will be required to publish standalone ESG reports according to Global Reporting Initiative (GRI) Universal Standards. These reports must document changes in various performance metrics such as energy management sustainability oversight by senior management, ratio gender equality measures and diversity at various organisational levels.
