Muscat: Over the last five years, Oman has experienced a 17.6% rise in total foreign direct investment (FDI), culminating in a cumulative FDI value of OMR26.677 billion by the end of the third quarter of 2024.
This significant growth underscores Oman's achievement in positioning itself as a prominent global investment destination, bolstered by strategic initiatives, a favorable investment climate, and robust infrastructure.
Qais bin Mohammed Al-Yousef, Minister of Commerce, Industry, and Investment Promotion (MoCIIP), emphasized that the efforts to enhance the investment landscape have been crucial in fostering a promising economic future, underpinned by clear and cohesive strategies.
He highlighted that the encouraging trends in the investment sector reflect the effectiveness of Oman's policies and initiatives in creating a conducive environment for attracting investment projects.
Additionally, he mentioned that the establishment of the Investment and Trade Court demonstrates the government's dedication to ensuring a stable legal framework that promotes foreign investments. The ministry is focused on providing essential support and competitive incentives to facilitate business operations in a vibrant environment.
He stressed that improving the investment and business climate is a primary objective for achieving sustainable development, with the ministry actively pursuing various initiatives aimed at diversifying the national economy and generating job opportunities across multiple sectors.
Ibtisam bint Ahmed Al-Faroojiyah, Undersecretary of the Ministry of Commerce, Industry, and Investment Promotion for Investment Promotion, stated that the ministry is currently reviewing investment policies, regulations, and incentives while promoting foreign investment through local, regional, and international promotional efforts, exhibitions, key investment forums, and targeted marketing campaigns to attract investors.
Investment opportunities are being developed and refined through feasibility studies, subsequently presented to investors to stimulate investment in targeted sectors and enhance the attraction of foreign investments into Oman. This initiative supports economic diversification and increases the proportion of non-oil revenues in the gross domestic product (GDP), thereby positively influencing investor confidence and improving Oman's competitive metrics.
The government, through the Ministry of Commerce, Industry, and Investment Promotion along with other investment bodies, is concentrating on several pivotal sectors aligned with Oman Vision 2040. These sectors encompass transport and logistics, renewable energy, information technology (IT), food security, tourism, mining, and various industries, as well as supporting sectors like the circular economy, health, and education.
Data from the National Centre for Statistics and Information (NCSI) indicates that the United Kingdom has emerged as the leading foreign investor, with investments totaling OMR13.66 billion, followed by the United States at OMR5.25 billion, the United Arab Emirates at OMR836.5 million, Kuwait at OMR833.5 million, China at OMR817.8 million, and Switzerland at OMR551.9 million, as of the end of the third quarter of 2024.
By the end of the third quarter of last year, Qatar's investments in Oman amounted to OMR488.3 million, while Bahrain's investments reached OMR375.7 million. Investments from the Netherlands and India were approximately OMR359.1 million and OMR286.1 million, respectively.
Al-Faroojiyah further noted that these figures reveal that the manufacturing sector attracted foreign direct investment (FDI) of OMR2.13 billion, financial intermediaries received OMR1.36 billion, and real estate activities garnered OMR969.1 million.
The Ministry of Commerce, Industry, and Investment Promotion has overseen investment opportunities on the ‘Invest in Oman’ platform, where 20 opportunities have been published across sectors such as tourism, real estate development, aviation, logistics, and industry. In collaboration with the Public Establishment for Industrial Estates (Madayn), industrial land has been designated for investment in the manufacturing sector, attracting interest from investors in the industrial cities of Rusayl, Sohar, and Samail.
Last year, the ministry promoted Oman on an international scale through 21 events, welcomed delegations from 23 countries, organized 8 local promotional activities, and focused on 6 G20 nations and 4 markets in partnership with the Oman Chamber of Commerce and Industry (OCCI). These initiatives are designed to draw in diverse sectors and enhance the value of foreign investments.
Eng. Nasser bin Khalifa Al-Kindi, CEO of Invest in Oman, stated that the ‘Invest in Oman’ initiative unites various government entities to streamline the investor experience and attract significant capital to priority sectors. It acts as a digital platform to showcase Oman's investment landscape and provide investors with a clear overview of available opportunities.
He further noted that there are currently 59 investment projects in progress, totaling OMR3.2 billion, with 29 projects worth OMR1.2 billion already localized. India, China, and Egypt are the leading countries in terms of investor numbers, with the industry sector being the most prominent, followed by renewable energy and health.
