Muscat – The Muscat Stock Exchange (MSX) ranked as the third-best performing market in the GCC in 2024, following the steepest decline in the region in 2023. The MSX 30 Index posted a modest yearly gain of 1.4% and closed the year at 4,576.6 points.

GCC markets once again saw one of the smallest equity market gains globally in 2024. The aggregate MSCI GCC Index reported a gain of 0.7% for the year, reflecting mixed performance at the country level, according to a research report by Kuwait-based Kamco Investment.

The Dubai Financial Market saw the largest gains, with a 27.1% surge, followed by a healthy 8.0% rise in Boursa Kuwait. Saudi Arabia also closed the year in the green, with a 0.6% gain after a volatile year, while Oman and Bahrain posted gains of 1.4% and 0.7%, respectively. However, these gains were partially offset by declines in Qatar and Abu Dhabi, which fell 2.4% and 1.7%, respectively.

“The stock market performance in 2024 was shaped by several key global events, particularly in the Middle East, that impacted GCC markets. These included the conflict in Gaza, followed by developments in Lebanon, as well as the sudden change in power in Syria. The attacks in the Red Sea also had a significant impact on sentiment towards the region,” Junaid Ansari, Head of Investment Strategy and Research at Kamco Investment, said in the report.

Oman’s benchmark MSX30 Index reached its peak for the year at 4,865.33 points in late May, while its lowest point was 4,464.18 at the close of December.

Services sector leads performance

MSX sector performance in 2024 tilted positively, with two out of three sectors recording gains. The services sector index emerged as the top performer, rising 11.3%, buoyed by a large number of constituent stocks posting share price increases. The financial sector index followed with a 4.5% gain, while the industrial sector experienced a decline of 3.7%.

Barka Water and Power Company led the gainers, with a multifold surge in its share price, followed by SMN Power Holding and Al Batinah Power, which posted gains of 356.6% and 230%, respectively.

On the downside, Galfar Engineering and Contracting saw the largest loss, with its share price falling by 55% over the year. Financial Corporation and Majan Glass also posted significant losses, shedding 45.0% and 39.1%, respectively.

Strong growth in trading activity

Trading activity on the MSX increased in 2024 compared to the previous year. Total value traded rose 15.1% to reach RO1.2bn, up from RO1.0bn in 2023. The total yearly volume also grew by 47.1%, reaching 6.4bn shares, compared to 4.4bn in 2023.

The newly listed OQ Exploration and Production topped the value traded chart, with RO253mn worth of shares changing hands. Abraj Energy Services and Sohar International Bank followed, with value traded of RO139.8mn and RO123.7mn, respectively.

In terms of volume, Sohar International Bank led the way, with nearly 1bn shares traded, compared to 293.9mn shares in 2023. OQ Exploration and Production and OQ Gas Networks followed, with 673.7mn and 525mn shares traded, respectively.

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