As Islamic banks and windows enter Oman's housing finance
market, they have the opportunity to use the shortage of Omani sukuk to benefit
the entire market without creating too much risk for the government. For example, with a government guarantee, the
risk should be covered by the originators through fees in exchange and limits
on the eligible mortgages to ensure it can be targeted specifically at the
segments of the market where supply is the most lagging of demand.
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