Economic View

On how infrastructure development and digitalisation are helping to drive industry expansion

How can tourism development ensure genuine economic participation by local small and medium-sized enterprises (SMEs) and communities?

SHABIB AL MAAMARI: Tourism development today must go beyond building hotels and attractions – it must create value that stays in the community. The strategy now is to design mountain, desert and coastal clusters as integrated ecosystems where local SMEs play an active role in the visitor journey. That means prioritising local guides, transport providers, handicraft producers, adventure operators and small hospitality businesses in procurement and product development. At the same time, support programmes are helping SMEs improve safety, quality standards, digital presence and market access, enabling them to be visible and bookable to international travellers. The goal is not simply to bring visitors into a region, but to ensure that the economic benefits circulate within the local community and empower residents to become long-term stakeholders in the tourism economy.

What role will digital platforms, data and artificial intelligence (AI)-driven personalisation play in deepening visitor engagement and spending?

AL MAAMARI: Digital platforms are becoming the primary entry point for discovering and booking destinations. By integrating accommodation, transport and curated experiences into a single digital ecosystem, travellers can seamlessly research, plan and confirm their entire itinerary. Data analytics allows us to understand how visitors behave – what they are searching for, what experiences they value and when they tend to book. That intelligence then informs product development and targeted marketing. AI-driven personalisation has the potential to take this further by tailoring itineraries to different visitor profiles, such as adventure seekers or culture enthusiasts, which naturally increases length of stay and spending. Importantly, the intent is not to replace authenticity with technology, but to make authentic and often small-scale experiences discoverable to the right audience globally, without overwhelming local communities.

To what extent will improvements to air routes, transport and visas help drive a shift from short-stay to experience-driven tourism?

AL MAAMARI: Connectivity fundamentally changes traveller behaviour. Enhanced direct air routes open access to long-haul markets, and these travellers typically stay longer, visit multiple regions and spend more per trip. Streamlined visa processes, such as expanded visa-on-arrival eligibility and simplified e-visas, remove friction and simplify access to the destination. Concurrently, investment in ground transport, regional roads and regional airports allows visitors to move beyond the capital and explore mountains, deserts and coastal areas at their own pace.

In what ways can Oman reduce its reliance on Gulf markets and increase demand from Europe and Asia?

AL MAAMARI: Diversifying source markets requires a differentiated approach. Gulf travellers tend to book closer to travel dates and prioritise short stays, while European and Asian travellers plan earlier and seek nature-based, cultural and authentic experiences. For Europe, the priority is building visibility around adventure, heritage and sustainable travel – offerings that resonate strongly with European travel motivations. For Asia, demand is driven more by digital channels, partnerships with tour operators and the ability to combine Oman with multi-destination regional itineraries. By collaborating with airlines, online travel agents and global distribution partners, the sector can reach new markets with tailored product propositions. The objective is not to replace regional markets, but rather to build complementary demand from long-haul travellers who stay longer and explore more widely.

Which strategies are being developed to convert visitors into longer stays and wider dispersal across the sultanate?

AL MAAMARI: The key strategy is to design experiences that naturally link different regions. Integrated itineraries – from mountain to desert to coast – are being built into bookable routes that encourage visitors to spend two or three nights in each destination rather than staying in a single city. Experience infrastructure, such as trails, visitor nodes and community-guided tours, is being developed to give travellers compelling reasons to move. Digital trip planners and curated thematic journeys also play an important role by reducing friction in planning, making visitors more likely to explore beyond the capital. Ultimately, the focus is shifting from simply increasing visitor numbers to deepening engagement with the country as a whole.