Oman's central bank rolls out partial payment cheque clearing system

17/12/2025 04:25 AST

The Central Bank of Oman (CBO) has rolled out the Partial Payment Cheque Clearing System effective from 15 December 2025, in line with the new regulatory instructions on Partial Payment of Cheque.

These instructions allow beneficiaries of cheques to receive the available funds from a customer's bank account in cases where the account balance is less than the cheque amount.

The new framework, which will apply to all types of cheques regardless of the value, aims to enhance financial discipline by improving cash flows for individuals and businesses and to minimise legal disputes related to returned cheques.

The cheques eligible for Partial Payment of Cheque are Crossed cheques or Account payee cheques, Cash, Bearer or Order Cheques drawn on a licensed bank in the Sultanate of Oman.

Although, it is mandatory for the beneficiaries of the cheque to accept partial payment, the customer has full right to re-present the cheque to the bank to receive the outstanding amount of the partially paid cheque, subject to the terms and conditions prescribed by the Central Bank of Oman.

In all cases the beneficiary retains their full legal right of recourse to the drawer for the outstanding amount in the cheque, in accordance with the provisions contained in Article (566) of the Commercial Law and the relevant provision in the Penal Code.

The Central Bank of Oman has enhanced the Electronic Cheque Clearing System with features to support the functionality of Partial Payment of Cheques, for the inter-bank clearing process among licensed banks in the Sultanate of Oman.

The Central Bank of Oman emphasised that the introduction of Partial Payment of Cheques represents an important regulatory step aimed to enhance the efficiency of banking transactions, contributing to the stability of the overall financial system.

Times of Oman