Oman Launches Ishraq Fund to Boost Sharia-Compliant Tech and Growth Investments
Oman has officially launched the Ishraq Fund, a new private equity fund focused on driving Sharia-compliant investments within the Sultanate, particularly targeting emerging and growth-stage companies in key sectors including technology and innovation.
Key Details of the Fund
The Ishraq Fund is a dedicated Sharia-compliant private equity fund established through a collaboration between Ishraq Capital and Ithraa Ventures, a subsidiary of the Oman Investment Authority (OIA). It is designed to channel investment into the Sultanate's burgeoning economy, adhering strictly to Islamic finance principles. The fund will focus on providing growth capital to promising ventures.
Goals and Objectives
The primary goal of the Ishraq Fund is to contribute significantly to Oman's economic diversification efforts, aligning with the objectives of Oman Vision 2040. Key objectives include:
Stimulating investment in emerging and growth sectors.
Supporting the development and expansion of Small and Medium Enterprises (SMEs).
Creating new employment opportunities for Omanis.
Attracting further local and foreign capital into the country.
Driving value creation and fostering sustainable economic development.
Target Sectors and Investment Focus
The fund is specifically geared towards investing in Omani companies or international companies looking to establish a significant presence and operations within Oman. While the focus is broad across growth sectors, there is a particular emphasis on areas driving innovation and future growth, including:
Technology
Innovation
Other emerging sectors vital for economic diversification.
The fund aims to partner with companies demonstrating strong potential for growth and impact, helping them scale while ensuring compliance with Sharia principles throughout the investment lifecycle.
About the Ishraq Fund & Partners
The Ishraq Fund is managed by Ishraq Capital, a leading Islamic finance institution. Oversight and strategic direction are provided in collaboration with Ithraa Ventures, the venture capital arm of the Oman Investment Authority (OIA). This partnership leverages the investment expertise of Ishraq Capital with the strategic national development focus of the OIA through Ithraa Ventures, aiming to create a robust platform for Sharia-compliant investment in Oman.
Implications for Oman and MENA
The launch of the Ishraq Fund marks a significant step in enhancing Oman's investment landscape, particularly within the realm of Islamic finance and its application to modern growth sectors like technology. It provides a dedicated avenue for investors seeking Sharia-compliant opportunities within Oman and signals the country's commitment to supporting innovation through diverse funding mechanisms. For the broader MENA region, it highlights the growing convergence of Islamic finance and the tech/startup ecosystem.
Looking Ahead
The Ishraq Fund is poised to become a key player in financing the next generation of Omani companies and attracting Sharia-conscious capital. Its success will likely pave the way for further specialized funds and investment models within the Sultanate, supporting its transition towards a more diversified and innovation-driven economy.
Source: Zawya