Latest news with #OmanEconomy
Zawya
2 days ago
- Business
- Zawya
Oman's industrial exports rise 8.6% to $2.5bln in Q1
Muscat – Oman's industrial sector exports recorded a notable increase of 8.6% in the first quarter of 2025, reaching RO1.618bn, compared to RO1.49bn during the same period in 2024, according to data released by the National Centre for Statistics and Information (NCSI). Industrial exports accounted for 28% of Oman's total exports, indicating the growing contribution of the industrial sector to the national economy and its role in promoting economic diversification. This growth is attributed to strong performances across several industrial segments, particularly the electrical machinery and equipment manufacturing sector, which posted an exceptional 141% increase in export value. Exports from this sector rose to RO128mn, compared to RO53mn in Q1 2024, the NCSI data showed. This was followed by metal products, with exports increasing by 14.1% to RO462mn, supported by growing international demand for high-quality Omani goods. In a statement to the Oman News Agency, Eng Khalid bin Salim al Qassabi, Director General of Industry at the Ministry of Commerce, Industry and Investment Promotion, said that the positive results reflect the strength and diversity of Oman's industrial base. He noted that the ministry continues to implement integrated industrial policies aimed at enhancing the competitiveness of Omani products in regional and international markets, while driving export growth. 'The electrical machinery and equipment sector is experiencing rapid growth, spurred by rising demand locally and regionally, and linked to the expansion of infrastructure projects, including electricity networks, public utilities, and the development of new cities. This growth is also supported by increased investment in industries related to renewable energy,' said Qassabi. He emphasised that the sector is a priority under Oman's Industrial Strategy 2040, due to its role in developing supply chains, enhancing the added value of the national economy, supporting entrepreneurship, and facilitating the localisation of advanced technologies. Eng Jassim bin Saif al Jadidi, Technical Director at the Office of the Undersecretary of the Ministry of Commerce, Industry and Investment Promotion for Commerce and Industry, stressed the continuation of efforts to expand the presence of Omani products in both regional and global markets. This goal is central to the Industrial Strategy and a key pillar of Oman Vision 2040. He explained that these efforts involve launching a series of qualitative initiatives aimed at improving the efficiency and quality of national products. This includes supporting local manufacturers in meeting the highest technical standards and international specifications, thereby enhancing competitiveness and consumer confidence in Omani goods. He added that the ministry, in coordination with relevant authorities, is working to open new markets for Omani exports by activating regional and international trade agreements, participating in exhibitions and trade missions, and providing incentives and support for Omani exporters. The ministry is also encouraging the growth of knowledge-based industries and the adoption of advanced technologies, including artificial intelligence and Fourth Industrial Revolution tools. These technologies play a crucial role in improving product quality, reducing costs, and ensuring sustainable industrial growth. They also contribute significantly to supporting the national economy, creating quality employment opportunities for Omani nationals, and reinforcing the sultanate's position as a promising industrial and logistics hub in the region. © Apex Press and Publishing Provided by SyndiGate Media Inc. (
Times of Oman
2 days ago
- Business
- Times of Oman
Producer Price Index in Oman rises by 4.1%
Muscat: The general Producer Price Index (PPI) in the Sultanate of Oman recorded a 4.1% increase in the first quarter of 2025 compared to the same period in 2024, according to data released by the National Centre for Statistics and Information. The mining and quarrying sector saw an 8.9% rise, primarily driven by a 9.2% increase in crude oil and natural gas prices. In contrast, prices of metal ores declined by 3.8%, while prices of stones and sand decreased by 0.6%. Meanwhile, the manufacturing industries sector witnessed a 3.8% decline, mainly due to an 8.8% drop in prices of other transportable goods. On the other hand, prices of metal products, machinery, and equipment rose by 3.2%, while prices of food products, beverages, and textiles increased by 0.7%.
Zawya
3 days ago
- Business
- Zawya
220,000 new Omani jobs required by 2030 to meet growth targets: IMF
MUSCAT: The Omani economy must generate over 220 thousand jobs for its national workforce by 2032 to meet the country's national growth demands, according to the International Monetary Fund (IMF). The figure is based on projections that 550,000 nationals will enter working age within the next year, with participation rates expected to remain around 67%. Published in the IMF's Selected Issues Paper, 'Labour Market Dynamics in Oman,' April 2025, the report underscores that relying on the public sector as the primary source of employment is no longer feasible amidst efforts to ensure medium-term fiscal sustainability and reducing reliance on hydrocarbon revenues. According to the report, while 56% of the Omani workforce is in the private sector, the public sector remains a favorable destination for Omanis due to job security, higher compensation, and more relaxed work arrangement. The private sector, however, remains dominated by expatriates, which make up 86% of the workforce with wages significantly lower on average, particularly in low- and medium-skilled jobs, creating a wage disparity that deters private firms from hiring nationals without government intervention. Furthermore, the IMF notes that Oman's education system, despite improvements, is not sufficiently aligned with the needs of a diversifying economy, causing a discrepancy in the skills required by the private sector and those available in the labour market. According to the report, a large share of educational paths chosen by Omanis are still tilted towards humanities and business administration rather than science, engineering, and technology fields. Additionally, enrollment rates in vocational education represents less than 2% of enrollment in higher education. Another identified challenge is the female labour participation rate which stands at 32%, in comparison to 89% for men. Omani women hold fewer senior and managerial roles, which could discourage them further from entering the labor market, despite higher academic performance among women, the report notes. Finally, another key restraint to the labour market is limited mobility, especially for expatriate workers. Until recently, labour regulations required expatriates to remain with their initial employer for 12 months before qualifying for an unconditional job transfer. This restriction indirectly encouraged firms to favour expatriates over nationals, as their limited bargaining power contributed to lower wage expectations. In turn, this dynamic reduced the attractiveness of private sector roles for low-skilled Omanis. The IMF hailed the new Social Protection and Labour Laws as a step in the right direction toward addressing longstanding challenges in the Omani labour market, while also recommending complementary policies to amplify their impact. These include strengthening and scaling up active labor market programmes to reduce the skill mismatch with private sector needs, as well as adopting dual-education systems that integrate vocational training with on-site experience. The Fund also calls for accelerating efforts to increase the participation of women in the workforce. In addition, aligning wages in the public and private sectors more closely with productivity is seen as a key measure to enhance the appeal of private sector employment for nationals. 2022 © All right reserved for Oman Establishment for Press, Publication and Advertising (OEPPA) Provided by SyndiGate Media Inc. (
Times of Oman
3 days ago
- Business
- Times of Oman
Electrical equipment manufacturing sector drives growth in Oman's industrial exports
Muscat: Oman's industrial exports witnessed a notable 8.6% increase during the first quarter of 2025, reaching OMR1.618 billion, compared to OMR1.490 billion during the same period in 2024, according to data released by the National Centre for Statistics and Information (NCSI). Industrial exports accounted for 28% of Oman's total exports, underscoring the growing contribution of the industrial sector to the national economy and the country's economic diversification efforts. This growth was driven by strong performance across several industrial sectors, most notably the electrical equipment and machinery manufacturing sector, which recorded exceptional growth of 141%, with its exports rising to OMR128 million compared to OMR53 million in Q1 2024. The metal products sector followed with a 14.1% increase in exports, reaching OMR462 million, fuelled by rising international demand for high-quality Omani products. Eng. Khaled Salim Al Qasabi, Director General of Industry at the Ministry of Commerce, Industry, and Investment Promotion, stated that these positive results reflect the strength and diversity of Oman's industrial sector. He emphasised the ministry's ongoing implementation of integrated industrial policies aimed at enhancing the competitiveness of Omani products in regional and global markets while boosting industrial exports. In remarks to Oman News Agency (ONA), he noted that the electrical equipment and machinery sector is experiencing rapid growth due to increasing local and regional demand, driven by infrastructure expansion projects—particularly in electricity networks, utilities, and new cities—alongside growing investments in renewable energy-related industries. He affirmed that this sector is a priority under Oman's Industrial Strategy 2040, given its role in developing supply chains, enhancing value-added economic activities, supporting entrepreneurship, and localising advanced technologies. Eng. Jassim Saif Al Jedidi, Technical Director at the Ministry of Commerce, Industry, and Investment Promotion, highlighted ongoing efforts to strengthen the presence of Omani products in regional and global markets—a key objective of the industrial strategy and a pillar of economic diversification under Oman Vision 2040. Speaking to ONA, he explained that these efforts include launching qualitative initiatives to improve the efficiency and quality of national products by supporting local manufacturers in adhering to the highest technical standards and international certifications. This enhances competitiveness and consumer confidence in Omani products. He added that the ministry, in coordination with relevant entities, is working to open new markets for Omani exports by activating regional and international trade agreements, participating in trade exhibitions and missions, and providing incentives and facilities for Omani exporters. Additionally, the ministry is promoting knowledge-based and advanced technology industries, including artificial intelligence and Fourth Industrial Revolution technologies, which play a pivotal role in improving product quality, reducing costs, and achieving sustainable industrial growth. These efforts contribute to strengthening the national economy, generating quality job opportunities for Omani talent, and positioning Oman as a promising industrial and logistics hub in the region.
Zawya
7 days ago
- Business
- Zawya
Oman records budget deficit in Q1
An increase in spending allied with lower revenues to create a deficit in Oman's budget in the first quarter of 2025, official data showed on Wednesday. The shortfall is in contrast with a large fiscal surplus recorded by the Gulf nation in the past two years mainly due to high oil prices. Finance Ministry figures showed the budget recorded a deficit of around 136 million Omani rials ($354 million) in the first quarter of this year compared with a surplus of OMR 162 million ($421 million) in the first quarter of 2024. Revenues declined by around seven percent to OMR 2.6 billion ($6.7 billion) in the first quarter of 2025 while expenditure grew by nearly four percent to around OMR 2.77 billion ($7.2 billion) in the same period. The report, published by the official Oman News Agency, showed the decline in total revenues was a result of a fall of about 13 percent in oil export earnings to nearly OMR1.47 billion ($3.8 billion) in the first quarter of 2025. Gas revenues also edged down by around two percent to nearly OMR436 million ($1.13 billion) in the same period. Figures by Oman's Oil Ministry showed the decline in oil revenues was caused by a drop in average oil prices to around $76 a barrel in the first quarter from $80 in the same period of last year. Oman's oil production also receded to nearly 986,000 barrels per day (bpd) from 997,000 bpd during that period. Oman, which is not an OPEC member but coordinates with grouping on output and price policies, recorded an actual budget surplus of OMR 830 million ($2.2 billion) in 2024 and about OMR 520 million ($1.35 billion) in the first 10 months of 2024. (Writing by Nadim Kawach; Editing by Anoop Menon) (
