In 2018, the investment environment continued to address the difficult challenges and the different events of regional economies, particularly instability in regional financial markets, as well as low oil prices and continued low levels, and the impact of the suspension of government support in the GCC countries on the income of the Companies and individuals and thus the performance of markets, which has affected the local and regional economic growth. Muscat securities Market Index has dropped from 5,082 points to 4,572 points reaching a total drop of 10%.
On the other hand, Oman’s economy is expected to grow moderately in 2019 and 2020, but with some weakness. Economic activity remains dependent on the performance of the oil sector as the Government’s plans for economic diversification have not evolved.
These and other challenges are the main concern of the executive management at the present time, where the work will be on three main axes and be represented by the following:
I. Preserving the company assets and increases it as much as possible.
II. Disposing the assets with unrequired returns, this will be done at the time and possible price.
III. Increasing the company’s assets by looking for new investment opportunities with acceptable returns.
A) The way in which the company’s completion of its work.
The company has the financial and management policy which conformity with the instructions received from the organization that followed by the company, as well as the responsibilities, procedures and duties of the staff fully implemented with the ongoing monitoring.
B) Investment opportunities and obstacles:
Since the company establishment, the company followed the diversification policy of its investments in all economic sectors, including local and regional, where the divarication investment policy will tend to reduce the degree of the risk to a minimum level in line with the investment policy of the company’s.
The company is seeking to invest in the most important pillars of the Omani economy, which are represented in education, logistics, industrial and financial. The management also seeks to invest in new vital sectors that affect citizens and the economy, in order to be a source of support for the local economy and achieve a profitable return for the shareholders of the company
C) Explanation of the company’s
Diversification and Specialization are the most important characteristics of investment in the world today. The company’s management relies on a strategy of success, which is mainly to provide the company shareholders with a diversified list of investments and to allocate programs to facilitate the decision-making process in an effective manner and to work on diversifying the sources of income and investments of the company.
The management is doing the best to apply the best standards and practices in the business world and committed to achieving the ideal synergy between business experience, professionalism and technological solutions and is designed to serve our shareholders in an environment that upholds the highest ethical standards.
The management aims to be the most promising holding company in the Sultanate of Oman and aspires to be an integrated investment institution that can redesign financial investments at the local and regional levels.
The Company periodically discloses the financial statements, and all that would enhance the company’s standing, whether in the local market or foreign markets.
D) Internal control system and its relevance:
The management of the company are fully aware of its responsibilities towards all of the shareholders and the customers, and as a part of these responsibilities and to ensure that all the company’s operations are managed efficiently and effectively, the company’s internal control system is highly active through the Internal Audit Department, which is checked on all the activities of the company’s internal and external, and evaluate internal control systems through periodic reports and the results of these evaluations are directly presented to the Audit Committee then to the Board of Directors, which meets regularly.
E) The financial performance and operational performance of the company:
Non-Audited financial results of the Consolidation in the June 30, 2018 showed achieving Total Comprehensive profit of RO 1,243,309, the attributable profit to parent RO 692,709, while shareholders’ equity RO 32,854,155. The audited financial results of the parent showed achieving loss of RO 1,002,564, while shareholders’ equity RO 26,594,356.
F) The company’s efforts and activities in social responsibility:
Global Financial Investments Holding has taken upon itself since inception contribute effectively to the social responsibility of the country, through the employment of Omani staff in various departments covered by the company and its subsidiaries.
18 Omani employees were employed in the parent company of a total staff of 23 employees. The company also provides training plans for staff and students of universities and colleges.
G) The company Outlook:
Based on the Investment Diversification policy of the company’s, we will be able to achieve the growth in the future years, and we are looking positive as much as possible to increase our income and reduce our expeditors without effecting our performance.
The company looks forward to providing appropriate opportunities for further investment in the various activities in the private sector, which is an expansion of its activities.
Therefore, it will always be our endeavor to pay attention to our feature in order to develop and improve the level of performance. We also strive to improve the performance through our employees by giving continuous training and professional qualifications.
Hussam Hisham Bostami
Acting Chief Executive Officer