Latest news with #PublicAuthorityforSpecialEconomicZonesandFreeZones
Observer
4 hours ago
- Business
- Observer
OPAZ named Best Service Outlet in Muscat Governorate for 2024
BUSINESS REPORTER MUSCAT, JULY 29 For the second year in a row, the Public Authority for Special Economic Zones and Free Zones (OPAZ) has won the award for Best Service Outlet in Muscat Governorate for the year 2024. The award is conferred upon government entities participating in the Institutional Excellence System, in recognition of the Authority's continuous efforts to enhance service quality and strengthen its position in global competitiveness indicators. Dr Ahmed bin Saif al Ma'amari, Acting Customer Services Manager Department at the Authority, stated: "This honour reflects the Authority's commitment to implementing the standards of the Institutional Excellence System, which is one of the key pillars for achieving the goals of Oman Vision 2040. It also reinforces a culture of continuous improvement in the work environment to ensure the delivery of high-quality and efficient services that meet the expectations of investors and beneficiaries." The selection of the Authority was based on the results of surveys and indicators measuring client satisfaction. OPAZ affirms its ongoing efforts to enhance institutional excellence, adopt best practices in service delivery, and achieve top performance levels through innovation and continuous improvement. OPAZ implements high-efficiency practices to serve investors in the special economic zones, free zones, and industrial cities, including: Integrated service representatives, A one-stop platform for all services, continuous care service for investors, strategic project account supervisors, continuous service improvement, comprehensive approvals for strategic projects, fast and defined timelines for request processing, an interactive communication centre, instant approvals to start projects.
Observer
a day ago
- Business
- Observer
Oman's FDI: A gateway for the region's prosperity
Oman is moving forward with confidence in its economic journey—one that is full of promise, transformation, and global opportunity. At the heart of this transformation is foreign direct investment, better known as FDI. For many, FDI might sound like just financial inflows from abroad, but it's much more than that. It brings innovation, advanced technologies, international expertise, and, most importantly, jobs. Together, these elements enable nations like Oman to transition from traditional oil dependence toward a diversified, future-ready economy. The world economy, however, hasn't made this journey easy. According to the World Bank's Global Economic Prospects published in June 2025, global economic growth is projected to decelerate to 2.3% this year—the lowest pace since 2008 outside of full-blown recessions. At the same time, global FDI flows have been under strain due to rising trade barriers, geopolitical tensions, and a general sense of economic uncertainty. The World Bank notes that FDI inflows into emerging and developing economies have now dropped to less than half their 2008 peak and will likely remain subdued unless governments introduce smart reforms. Amid this difficult global environment, the Middle East has shown remarkable resilience, and Oman has become a standout success story. According to the FDI Trends Report—July 2025 by the Public Authority for Special Economic Zones and Free Zones, greenfield FDI capital expenditure in the Middle East rose by 30.7% from January to May 2025 compared to the same period in 2024. Project numbers also went up by 14.5%, thanks to long-term planning, strategic diversification, and investor-focused policies across the region. Oman has emerged as a regional leader in greenfield FDI growth. The same report highlights that Oman witnessed a staggering 4,402% increase in greenfield FDI capital spending during the first five months of 2025, alongside a 36% increase in the number of investment projects. This growth has been driven by strategic investments in renewable energy, ICT, real estate, and the expansion of special economic zones. Oman now ranks first in the region in terms of year-on-year growth in FDI, showing that the country is fast becoming a serious investment destination in the Gulf. These growth numbers are not just impressive—they're real proof of investor trust. According to the National Centre for Statistics and Information (NCSI), Oman's total FDI stock reached $79.6 billion (equivalent to RO 30.6 billion) by the end of the first quarter of 2025, marking a 20.6% increase from the same period last year. While the oil and gas sector continues to take the lion's share—roughly $64.2 billion—other sectors are quickly catching up. Manufacturing has attracted $7.1 billion in foreign investment, and financial services have brought in $3.4 billion, all pointing toward meaningful economic diversification. Oman is also drawing interest from global partners. South Korea leads the way, investing over $3.45 billion in Oman during early 2025. This includes a major project by LUPRO—a green ammonia facility in Duqm, built in partnership with Bait Muscat. This facility is expected to produce 5 million tonnes of green ammonia and is supported by a 200 MW power plant and a 2 GW renewable energy complex. China has also made its mark with a $564 million solar cell manufacturing plant in Sohar Freezone. Egypt, too, has committed to projects in ICT and manufacturing, making Oman a preferred destination across Asia and Africa. All this progress is no coincidence—it is driven by vision and leadership. Oman Vision 2040, the country's blueprint for economic and social transformation, is guiding this shift. This vision aims to reduce the contribution of oil and gas to just 8.4% of GDP by 2040 and boost the share of non-oil sectors to 91.6%. Other goals include producing 1 million tonnes of green hydrogen by 2030 and generating 35% to 39% of electricity from renewable sources by 2040. These are not just numbers; they reflect Oman's strong commitment to sustainable growth and future-ready industries. To attract more investors, Oman has introduced a host of reforms. The Foreign Capital Investment Law, introduced in 2019, allows 100% foreign ownership in most sectors and removes minimum capital requirements. There are also generous tax breaks in free zones, zero VAT, duty-free imports, and more relaxed Omanisation policies within special zones. Platforms like 'Invest in Oman' make it easy for investors to set up by offering a smooth and transparent approval process. Another crucial piece of the puzzle is talent. Attracting the right kind of FDI requires skilled professionals—especially in government agencies that promote investment. These professionals must understand not just local rules and sectors but also global market trends, international finance, taxation, logistics, and real estate. Soft skills are equally important. The ability to market Oman's opportunities, build relationships, and negotiate deals is essential for success. Recognising this, Oman is investing in its human capital. Investment promotion agencies like 'Invest Oman' are working to develop teams that combine technical expertise with strong interpersonal skills. According to experts cited in the FDI Trends Report, investment promotion today is not just about facts and figures—it's about communication, collaboration, and creativity. To support this, Oman is hosting a major training initiative: the FDI Executive Program in FDI, SEZs & Investment Promotion. Scheduled for September 16–18, 2025, in Salalah, this program is being organized by Smart Investment & Consultancy Gateway (SIG) and NextZone. The sessions will cover global investment trends, strategic promotion, and how to use digital tools and AI for targeting the right investors. In the end, FDI extends beyond capital—it encompasses knowledge transfer, partnerships, and innovation. For Oman, it means more than economic growth. It's about creating clean energy, new industries, and job opportunities for future generations. It's about placing Oman firmly on the global investment map—while holding true to its heritage, values, and vision. The world is changing fast, but Oman is not merely adapting to global trends—it is shaping them with clarity of vision and strategic intent.
Observer
3 days ago
- Business
- Observer
Tourism investment in Duqm reaches RO 853m
AL DUQM: Tourism investment in the Special Economic Zone at Duqm (SEZAD) reached over RO 853 million by the end of last year, reflecting the growing appeal of the governorate as a tourism destination. The area now boasts 21 hotels, 10 hotel apartment complexes and a large-scale multi-use tourism development that includes hotels, villas and hotel apartments. This surge in investment is attributed to rising demand for tourism services, an increasing number of visitors, and a favourable business climate supported by the Public Authority for Special Economic Zones and Free Zones and SEZAD. Official statistics show that 16 tourism projects had been completed by the end of 2023, with 11 currently under construction and five others still in the planning phase. Eng Ahmed bin Ali Akaak, CEO of SEZAD, highlighted Duqm's unique location on the Arabian Sea, moderate climate throughout the year and a wide range of amenities as key factors attracting tourism interest. Eng Ahmed bin Ali Akaak CEO, SEZAD Notable attractions include scenic beaches, the Rock Garden, Duqm Beach Park and a public park in the Sai Commercial District, which has become a new landmark. Additionally, nearby attractions, such as Bar Al Hikman, enhance Duqm's appeal. Akaak noted that SEZAD, in partnership with the Public Authority for Special Economic Zones and Free Zones, is actively organising sporting, economic and tourism events to promote investment in the tourism sector. He pointed to the governorate's strategic plan for 2025–2030, which places tourism development at its core. The first of two key themes focuses on enhancing quality of life through urban and social development, while the second aims to promote Duqm as a distinctive tourism destination by expanding the variety and quality of visitor experiences. One of the flagship promotional initiatives is the 'Pass by' campaign, which has been successful in drawing tourists travelling to and from Dhofar. This year, the campaign is set to grow further with a packed calendar of activities designed to meet the expectations of tourists. Akaak also stressed Duqm's coastal advantage, with attractive beaches at Nafun and Ras Madrakah. SEZAD is encouraging private sector participation to unlock the area's full tourism potential and implement new projects that make use of Duqm's natural assets. — ONA
Observer
4 days ago
- Business
- Observer
Duqm receives investments worth RO853 million in tourism
Duqm - The total investment committed to the tourism sector in the Special Economic Zone at Duqm (SEZD) by the end of last year amounted to more than RO853 million. The list of tourism investments in Duqm includes 21 hotels, 10 hotel apartments, and a multi-facility tourism project comprising hotels, villas, and hotel apartments. These figures reflect the growing demand for tourism services in the region, the increasing number of tourists and visitors, the vibrant business environment, and the facilities and incentives provided by the Public Authority for Special Economic Zones and Free Zones, and the management of the Special Economic Zone in Duqm. Statistics issued by the Special Economic Zone Authority at Duqm (SEZAD) indicate that the total number of completed tourism projects by the end of last year reached 16, including 11 projects under construction and five projects with construction work yet to commence. Engineer Ahmed bin Ali Akaak, CEO of the Special Economic Zone Authority at Duqm (SEZAD), said that the region enjoys significant tourism interest due to its location on the Arabian Sea overlooking the Indian Ocean, moderate temperatures throughout the year, and the availability of numerous facilities and services that support tourism growth. He added that the region also offers numerous tourist attractions such as the various beaches, the Rock Garden, Duqm Beach Park, and the public park in the Sai Commercial District, which is one of the new landmarks in the Special Economic Zone Authority at Duqm. Several other tourist attractions can also be reached through Duqm, such as Barr Al Hikman and the Al Maha Nature Reserve. He added that the management of the Special Economic Zone in Duqm (SEZAD) is working in cooperation with the Public Authority for Special Economic Zones and Free Zones on an ongoing basis to organize numerous sporting, economic, and tourism events to highlight the region's investment and tourism potential and encourage investors to invest in the tourism sector, which is one of the region's main investment sectors. He stressed that the region's strategy for the period (2025-2030), which was launched in the first quarter of this year, included a number of key axes related to the development of tourism activities, most notably the axis of developing a balanced lifestyle and the axis of attracting tourists and partners. He pointed out that the first axis related to developing a balanced lifestyle aims to increase Duqm's attractiveness to be a preferred lifestyle through the urban, commercial and social development plan that focuses on making Duqm an attractive location for visitors, residents and investors, while the second axis related to attracting tourists and partners focuses on stimulating investment and ensuring Duqm's emergence as a unique tourist destination, through a wide range of visitor experiences, in light of the presence of an increasing mix of tourist attractions. He pointed out that the "Pass by" campaign, which began its activities in the Special Economic Zone at Duqm (SEZD) in recent days, is one of the most prominent tourism events aimed at promoting the region and its tourism potential. The campaign has achieved numerous positive results over the past years and has contributed to attracting many tourists coming to or from Dhofar Governorate. The CEO of the Special Economic Zone Authority at Duqm (SEZAD) explained that this year is expected to witness significant growth, especially with the many events that will be organized during the campaign, which will meet the aspirations of the region's visitors. He explained that Duqm is located on an open sea, which has given it a tourist advantage, with a group of beaches available in the center of Duqm, in Nafun and Ras Madrakah. The management of the Special Economic Zone Authority at Duqm is working to encourage the private sector and entrepreneurs to invest in the region's natural features to implement several tourism projects.
Observer
21-07-2025
- Business
- Observer
EZAD: Anchoring investments for a diversified future
Oman's economic landscape is undergoing a profound transformation guided by Vision 2040, the Sultanate of Oman's strategic roadmap towards a diversified, knowledge-driven economy. Central to this vision is the Al Dhahirah Economic Zone (EZAD), a flagship initiative that reflects Oman's commitment to redefining its economic narrative and deepening regional integration within the GCC. EZAD is more than just an economic zone; it is a symbol of visionary policy, geographic advantage, and sustainable development. Situated in the Al Dhahirah Governorate, just 20 kilometers from the Rub Al Khali border crossing with Saudi Arabia, EZAD strategically positions Oman as a gateway to the $1.6 trillion GCC market. This proximity enables seamless overland trade, substantially reducing transportation costs and delivery times for businesses accessing the Saudi market and beyond. The newly established direct Oman-Saudi road has already driven a remarkable 350% increase in bilateral trade between 2022 and 2024, reaching nearly RO 2.18 billion. This momentum underscores the immense potential EZAD holds in enhancing trade flows and industrial collaboration across borders. The Public Authority for Special Economic Zones and Free Zones (OPAZ) plays a pivotal role in steering the development of EZAD. The zone encompasses a total area of 388 km², with OPAZ currently focused on Phase 1A, which spans 7.5 km² as part of the initial urgent development stage. This phase includes essential facilities such as the dry port and a dedicated veterinary quarantine centre. Through a robust regulatory framework and a streamlined 'one-stop shop' service, OPAZ ensures a highly investor-friendly environment. Investors benefit from a suite of competitive incentives including 100% foreign ownership, tax holidays of up to 30 years, duty exemptions on equipment and raw materials, and full repatriation of profits. These advantages firmly position EZAD as a leading investment destination within the Middle East. Aligned with Oman's economic diversification objectives, EZAD is purposefully designed to cultivate sectors beyond hydrocarbons. Key industries targeted include clean and renewable energy, high-precision manufacturing, logistics, and advanced manufacturing that demand sophisticated infrastructure and specialised facilities. EZAD is poised to emerge as a regional logistics hub, featuring a 4 km² dry port managed by Asyad Group on behalf of the Omani government. The first phase of the dry port development covers 1 km² and will include customs facilities, bonded warehouses, and container handling infrastructure. Smart city innovations, such as solar-powered lighting and intelligent traffic management systems, underline the zone's commitment to sustainability and operational efficiency. To support this expansive vision, RO 122 million has been secured for comprehensive infrastructure development, encompassing roads, drainage systems, and connectivity enhancements. Specifically, RO 22.3 million has been allocated for Phase 1, ensuring the foundational infrastructure is in place to catalyse growth and investor confidence. The zone's commitment to empowering local businesses is clear. Contracts stipulate significant subcontracting opportunities for Omani SMEs, with over RO 10 million earmarked for local enterprises. This strategy not only fosters job creation and skill development but also embeds SMEs into regional supply chains, contributing to Oman's broader economic objectives. EZAD exemplifies Oman-Saudi collaboration. A joint executive committee oversees the zone's development, fostering mutual investments, regulatory alignment, and business facilitation. Discussions on establishing a joint Saudi-Omani operating company further solidify this bilateral partnership, reducing investor risks and enhancing regional cooperation. While the zone's primary focus is regional, it actively seeks investments from Asia—particularly China and India—as well as Europe. Oman's stable investment climate, strategic logistics positioning, and connectivity to Gulf and African markets present compelling advantages for international investors. The zone is an ideal base for distribution centres, cold storage facilities, and third-party logistics operations. Diverse investment opportunities await both local and international players. Agro-processing units can leverage Al Dhahirah's agricultural potential, while the veterinary quarantine centre opens pathways in livestock trade. Mining and mineral processing offer prospects to capitalise on Oman's rich natural resources. Financial institutions like Sohar International Bank stand ready to support these ventures through joint ventures and PPP models. To maximise EZAD's potential, strategic enhancements are essential. Improving customs protocols with Saudi Arabia, adopting single-window systems, and integrating digital documentation will streamline cross-border trade. Utility infrastructure, including reliable energy, water, and telecommunications, must be fortified to support industrial activity. OPAZ has also tendered projects for an administrative and commercial complex featuring a hotel, clinic, administration building, business centre and mall. Promotion of EZAD should leverage its unique Oman-Saudi identity. Establishing an annual Al Dhahirah Economic Forum could serve as a dynamic platform to showcase investment opportunities. Additionally, academic and vocational training partnerships will be pivotal in cultivating a skilled workforce tailored to the zone's specialised industries. Facilitating technology transfers and fostering innovation clusters will further elevate EZAD's global competitiveness. In conclusion, the Al Dhahirah Economic Zone stands as a strategic nexus for Oman's economic diversification, regional integration, and global engagement. Its strategic location, investor-friendly policies, comprehensive infrastructure, and deep-rooted Oman-Saudi collaboration make it a beacon of sustainable growth and investment. As Oman advances toward its Vision 2040 goals, EZAD is poised to play a transformative role in shaping a resilient, diversified, and globally competitive economy. Its success will not only benefit Oman but also serve as a testament to the power of visionary leadership, collaborative governance, and shared prosperity. Dr Yousuf Hamed al Balushi The writer is founder and CEO - Smart Investment Gateway, economists, board adviser & business transformation mentor.
