Central Bank of Oman approves BankMuscat's financial statements for the year ended 31 December 2005

The cash dividend proposal is in addition to the bank's proposed stock dividend distribution of 10% for the year.

BankMuscat, the nation's premier bank, it may be recalled, had achieved a net profit of RO 45.4 million for the year ended 31 December 2005, as against a net profit of RO 34.1 million for the year ended 31 December 2004, an increase of 33.1%. The bank had in a earlier news release intimated that the 'Board of Directors are pleased to recommend a cash dividend of 40% and stock dividend of 10% for the year 2005, subject to due approval by the shareholders and regulatory authorities, thus keeping up the practice of consistently providing good returns to shareholders'.

The recommendations of the Central Bank of Oman have been accepted and approved by the BankMuscat Board of Directors in the capital. The proposals of the Board, are however, are still subject to approval at the Annual General Meeting of shareholders and by the Capital Markets Authority, Sultanate of Oman in accordance with article 120 of the Commercial Companies Law no 1974/4 and its amendments as well as article 45 of the Articles of Association of the bank.

The bank expects its Annual General Meeting to be held on 19 March 2006.