The Gulf Payments Company announced the onboarding of the National Bank of Oman to the AFAQ cross-border instant payment system in February 2026, marking continued expansion of the GCC's unified payment infrastructure.
AFAQ Expansion
AFAQ enables real-time cross-border transfers between banks across the six GCC member states (Saudi Arabia, UAE, Bahrain, Kuwait, Qatar, Oman). The National Bank of Oman's addition brings the total number of participating institutions to over 60. The system processes transfers in local GCC currencies, avoiding USD intermediation for intra-Gulf payments.
Multi-Currency Settlement
AFAQ settles in the local currencies of both the sending and receiving countries, using exchange rates provided by participating central banks. This reduces costs compared to traditional correspondent banking, where GCC transfers often routed through USD despite the region's currency pegs.
What This Means
AFAQ represents one of the most advanced regional instant payment interconnection projects globally. With participants now spanning all six GCC states, the system addresses a genuine need: the Gulf's large expatriate workforce regularly sends money across GCC borders. Real-time settlement in local currencies at central bank rates undercuts the fees charged by traditional remittance providers.
Sources: Gulf Payments Company, Finextra