Oman fast-tracks Artificial Intelligence for economic transformation

Observer

07-05-2025

MUSCAT: The Sultanate of Oman is intensifying efforts to integrate artificial intelligence (AI) across various economic sectors as part of its broader digital economy strategy. Central to this initiative is the National Program for Artificial Intelligence and Advanced Digital Technologies, which promotes AI adoption in economic and development sectors, localises AI technologies, and ensures responsible governance with a human-centered approach.
Oman's focus on AI is yielding results. In 2024, the country climbed five spots to rank 45th globally out of 193 countries on the Government AI Readiness Index. The national AI programme has led to several milestones, including the 'Engineer It with AI' competition, which generated eight qualified generative AI applications now available on digital platforms.
To foster innovation and reduce implementation risks, the Ministry of Transport, Communications and Information Technology (MoTCIT) has piloted a range of AI-powered experiments in controlled settings. These include facial recognition systems, air quality monitoring, AI-driven agricultural census, smart urban planning, drone-based surveying, and intelligent systems for fish farming and construction.
Meanwhile, the Ministry of Higher Education, Research, and Innovation is backing academic research aligned with national AI priorities. A standout project from the National University of Science and Technology—focused on maximising benefits and minimising risks of generative AI in education—has made notable progress. The research involves building smart models and analysing educational data to create a national framework for AI's impact in the sector.
In a bid to accelerate economic diversification, Oman is implementing the 'Artificial Intelligence Economics' initiative, which supports government innovation and AI-based solutions across sectors. Among the approved projects are the National Centre for Virtual Health, Geological Data Analysis, Environmental Information Bank, Ain Media Platform, Investment Dashboard, smart governance portals, and a support program for Omani startups.
Dr Salem bin Humaid al Shuaili, Director of AI and Advanced Technologies Projects at MoTCIT, revealed that Oman allocated RO 10 million in 2023 and RO 15 million in 2024 for AI projects. Between 2021 and 2024, total investment in the AI sector reached RO 60 million.
Dr Al Shuaili also highlighted the ongoing development of 'Oman GPT,' a national language model to improve public sector efficiency using generative AI. Additionally, the upcoming 'Studio Oman' AI Centre will serve as a platform to bridge innovators with market needs, boost GDP contributions from AI, and localise key digital technologies.
Oman is also setting up a Fourth Industrial Revolution Centre—the sixth in the Middle East and 22nd globally—to drive AI localisation and benefit from international expertise. The move underscores Oman's ambition to become a leading nation in AI readiness, attract more startups, and increase annual AI investment by 20%.