Purpose – To evaluate the financial performance of the local commercial banks in Sultanate of Oman in the context of the global financial crisis. Design/Methodology/approach - The paper examines the financial performance of the seven local commercial banks using the CAGR (Compound Annual Growth Rate) approach. The analysis is done by calculating the CAGR of gross loans, customer deposits, fee income, operating profit, net worth, net profit and net interest income during the period from 2005 to 2009. Findings – The analysis reveals that the performance of the banks are influenced by the orientation and strategy of the management. Some banks are strong in their marketing potential while some are effective in taking care of shareholders’ interest by enhancing income and operating profit. However, some banks show their dominance in efficiency or effective cost management. The effect of global financial crisis on the Omani commercial banks has not been significant except for National Bank of Oman (NBO). The study reveals that the local commercial banks show a high degree of resilience and stability. Research limitations/implications – The study would help the bank managers to assess the resilience, competitiveness and stability of the banking system in Oman and sources of vulnerabilities. The results also reflect the operational orientation of the managers. This research is based on the financial data of the seven banks for only five years due to non-availability of financial information. Practical implications – The financial performance evaluation would help in establishing the competitiveness and sustainability of the various local commercial banks in Oman. The analysis brings to the forefront the strengths and weaknesses of the various banks and enables the individual banks to identify improvement goals. The findings thus serve as a platform to formulate policies that will help promote effective financial system. Originality/value - This paper provides an in-depth analysis of the financial performance of local commercial banks which form the backbone of the financial services industry in Oman. The paper helps to assess the health and resilience of the commercial banks in Oman especially during the periods of financial crisis

Purpose – To evaluate the financial performance of the local commercial banks in Sultanate of Oman in the context of the global financial crisis. Design/Methodology/approach - The paper examines the financial performance of the seven local commercial banks using the CAGR (Compound Annual Growth Rate...