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Investing the Omani way: Steady and sustainable
Investing the Omani way: Steady and sustainable

Observer

time16-07-2025

  • Business
  • Observer

Investing the Omani way: Steady and sustainable

As investors around the world adapt to a changing landscape marked by uncertainty, rising costs and shifting priorities, the search for stability has become paramount. In this context, Oman's measured and values-driven approach is drawing increasing interest. The Sultanate of Oman is positioning itself not only as an attractive investment destination — but as a country offering clarity, consistency and long-term value. Quiet Growth, Strong Fundamentals In a region shaped by rapid transformation, Oman stands out for its intentional and grounded approach. Rather than competing for visibility, the country has focused on building trust and resilience — appealing to investors looking beyond short-term gains. According to official data, foreign direct investment (FDI) into Oman rose by 16.2 per cent year-on-year, reaching RO 26.68 billion by Q3 2024, up from RO 22.96 billion during the same period the year before. Strategic Institutions and Projects Oman's investment environment is strengthened by the role of key institutions such as the Oman Investment Authority (OIA), Invest Oman, and the Public Authority for Special Economic Zones and Free Zones (OPAZ). These bodies provide structured support, policy clarity and investor facilitation across sectors. Recent developments include: a $30-billion green hydrogen programme, with major projects underway in Duqm and Salalah; the launch of 15 new public-private partnership (PPP) projects in 2024; and continued industrial and logistics expansion in Suhar, Khazaen and Salalah. These are not isolated announcements — they are part of a coherent national strategy linking diversification with long-term resilience. Institutions such OIA, Invest Oman, and OPAZ provide structured support, policy clarity and investor facilitation across sectors Sustainability with Local Roots Environmental stewardship in Oman is not driven by trend but by tradition. From water conservation practices to mountain ecosystems, sustainability has long been embedded in Omani life. In policy terms, the country jumped from 149th to 50th in the 2024 Environmental Performance Index (EPI) — a major rise backed by reforms in pollution control, ecosystem protection and renewable energy policy. Oman has also committed to Net-Zero carbon emissions by 2050, with guidance from the Oman Sustainability Centre. This alignment between vision and values is increasingly important to ESG-driven investors. Innovation That Respects Identity Oman is embracing innovation — but doing so on its own terms. The National Digital Economy Strategy targets a 10-per cent contribution to GDP by 2040, led by growth in fintech, e-government and smart logistics. In parallel, eco-tourism grew by 46 per cent in 2023, reflecting the rising appeal of cultural authenticity, coastal nature and heritage-based travel. In both technology and tourism, Oman is innovating in ways that preserve identity and add long-term value. A Culture of Genuine Partnership What distinguishes Oman is not only what it builds — but how it builds it. Investors frequently note the accessibility of decision-makers, the responsiveness of institutions and the emphasis on listening. This culture of engagement is not simply hospitable; it is strategic. Oman recognises that lasting investment requires more than incentives — it requires trust. Key Strategic Takeaways • Oman is delivering consistent FDI growth despite global uncertainty. • Green hydrogen, PPPs and digital economy projects are key drivers of diversification. • Sustainability is backed by cultural heritage and bold climate policy. • Innovation is pursued with local identity and long-term impact in mind. • The investment climate is shaped by transparency, humility and strategic intent. A Model for Uncertain Times While some economies move fast to attract attention, Oman is moving deliberately to build resilience. Its approach may be quieter, but it is also smarter — especially for investors who value depth over spectacle and coherence over volatility. In a world of distractions, Oman's steady, strategic and sustainable model stands out — and investors are taking notice.

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