The tourism sector has long been the focus of Oman’s efforts to diversify the economy away from a reliance on hydrocarbons. After slow but steady growth throughout the 2010s, the tourism sector’s contribution to GDP reached a high of 2.9% in 2019. However, restrictions imposed due to the Covid-19 pandemic weighed on the sector’s performance for much of 2020. As part of its long-term economic…
With 3200 km of coastline and swathes of cultivated land, agriculture and fisheries are key economic activities across the sultanate, providing employment opportunities, and supporting the country’s economic diversification and food security efforts. These were vital industries prior to the discovery of hydrocarbons, particularly for coastal communities. The climate allows for year-round fishing,…
Oman’s geographical location and cordial regional diplomatic relations offer multiple strategic opportunities that, if skillfully harnessed by the government, could see the sultanate become a regional and global transportation and logistics centre. Indeed, strengthening transport capacities and capabilities is central to Oman Vision 2040, the government’s overarching socioeconomic development plan.…
With mineral mining a major focal point of the government’s plans to diversify Oman’s economy, the sector has seen revitalised interest in recent years from both domestic and foreign investors. The newly adopted strategy to develop the sector through comprehensive, large-scale concession agreements is opening up more territory and streamlining the business side. New geological surveys are being…
Manufacturing activity has undergone a significant expansion in Oman since the turn of the century, with further growth targeted in a number of strategically identified segments to boost self-sufficiency and aid the economic diversification agenda. The Covid-19 pandemic demonstrated the importance of self-sufficiency, particularly in relation to food and medical supplies. Industrial, free and special…
Construction activity will be key to realising the objectives of Oman Vision 2040, which prioritises diversifying the economy away from a reliance on hydrocarbons revenue. Public-private partnerships present an opportunity to accelerate progress towards strategic goals such as affordable housing while also preserving public finances. Matching real estate supply with the precise demands of the residential…
Broad digital transformation is at the heart of Oman Vision 2040, the government’s long-term economic development blueprint. In the years leading to the Covid-19 pandemic the sector’s governance structures were overhauled to improve efficiency, while private investment in ICT activities had already been growing. To support this, the authorities have prioritised deepening the local tech talent pool,…
Oman Vision 2040, the national plan to diversify the sultanate’s economy and put it on a more sustainable footing, is the most important driver of change in the utilities sector. In March 2019 the Oman Power and Water Procurement Company forecast the share of renewables in the energy mix would reach 30% by 2030, compared to Vision 2040’s initial projection of 20%. Following the country’s announcement…
As Russia’s invasion of Ukraine and climate change continue to disrupt market dynamics, the transition to cleaner sources of energy has never been in sharper focus. Oman’s policy response is guided by Oman Vision 2040, which aims to put the economy on a more diversified and sustainable footing, while protecting the environment and improving livelihoods. Other notable initiatives include the country’s…
Oman’s capital markets are positioned to play a crucial role in achieving Oman Vision 2040’s objectives, having made great strides in the wake of the Covid-19 pandemic. Oman is currently undergoing a period of wide-ranging reforms and strategic changes designed to accelerate private sector growth and enhance resilience. This has opened up new opportunities in the kingdom’s capital markets, which…
