Meethaq, a subsidiary of Bank Muscat, has signed a financing agreement with the Drug Manufacturing Company (DMC) to set up a manufacturing unit in Sohar Industrial Area.

Sulaiman Al Harthy, deputy CEO, Islamic Banking, and Ali Musa Al Balushi, CEO of the Drug Manufacturing Company, signed the finance agreement, Times of Oman reported.

“Against the backdrop of Oman’s strategic economic diversification programme and the emergence of Islamic financial services industry, Meethaq is proud to join hands with the DMC as part of its commitment to facilitate attractive investment opportunities for local and foreign investors.

“Meethaq is confident that the finance agreement with the DMC will further contribute to sustainable economic development in Oman,” said Al Harthy.

The company, with an installed capacity of 420 tonnes annually, will manufacture pharmaceutical products, including active pharmaceutical ingredients (APIs), intermediates, and formulations.

The promoters of DMC have the expertise and experience in setting up and running similar pharmaceuticals projects in Oman and India, he added.

Meethaq’s Islamic financing assets rose to $2.22bn (OMR855m) as of 31 December, 2016, compared to $1.64bn (OMR635m) in the same period of 2015.

Customer deposits amounted to $1.98bn (OMR763m) as of 31 December, 2016, compared to $1.62bn (OMR625m) reported for the same period in 2015, the report said.