Omani insurance companies are set to face challenges due to the adoption of IFRS 17, which will lead to a rise in Expected Credit Losses (ECL). According to a report by Badri Management Consultancy, conventional insurance companies in Oman saw a 7% increase in Insurance Revenue, reaching OMR136m ($354m) in 1Q2024. However, the transition to IFRS 17 has not been without challenges, with some companies facing obstacles in reconciling Account Receivables/Payables and addressing related credit risk implications. As a result, provisions for write-offs are expected to increase.
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