Saturday 29 / November / 2025
Muscat: The Sultanate of Oman has consolidated its position as a regional centre that attracts investment, driven by structural and legal reforms, comprehensive incentives and facilities, and economic sustainability, which have greatly contributed to simplifying foreign capital investments, making it a highly regarded destination for long-term foreign investment.
Since the Foreign Capital Investment Law and the Public-Private Partnership Law came into effect in 2020, the Sultanate of Oman has affirmed its openness to business and investment, while the strategic direction of economic diversification in accordance with the objectives of the “Oman 2040” vision is driving the attraction of more foreign direct investments in an environment that provides legal protection within a business-friendly investment framework.
The launch of the “Invest Easily” platform of the Ministry of Commerce, Industry and Investment Promotion in 2016, and its merger during 2023 into the “Oman Business” platform to build a unified window for all electronic government services, contributed to simplifying business establishment procedures, improving access to incentives such as tax and customs exemptions, and greatly reducing the time required to complete transactions.
While renewable energy and green hydrogen are among the most attractive sectors for future investments, the Sultanate of Oman aims to generate about 30 percent of its electricity from renewable energy sources by 2030.
While the right of usufruct for 99 years is an important element for attracting foreign investors, as it gives them the right to use, invest in and inherit the property for a long period, it is also applied in integrated tourist complexes.
The Sultanate of Oman has proven itself to be an attractive and growing investment destination that combines a strategic geographical location, a clear legal framework and an ambitious economic vision. With continued reforms and openness to investments, it stands out as one of the most important regional destinations for establishing long-term projects that enjoy high returns and sustainable economic stability.
A number of foreign investors confirmed that the Foreign Investment Law, the availability of 100 percent foreign ownership, digital transformation, the Sultanate of Oman’s move towards utilising renewable energy, and the right of usufruct for 99 years are all incentives that have contributed to enhancing the investment climate.
In expressing the satisfaction of foreign investors with the investment environment in the Sultanate of Oman,
Davis Kallukaran
, Managing Partner of Crow Oman, Board Member of the American Chamber of Commerce, Vice Chairman of the Foreign Investment Committee of the Oman Chamber of Commerce and Industry, and Founding Director of the Indian Business Council for the Middle East, praised the Omani laws related to encouraging investment in the Sultanate of Oman for their transparency and clarity to foreign investors.
Dr. Davis said that the Foreign Capital Investment Act helps investors understand the government’s direction and way of thinking, and provides them with a sense of confidence in knowing how their interests are protected and the potential challenges when investing in the Omani market.
He pointed out that imposing corporate tax has contributed to attracting investments, due to its direct positive impact on the standard of living of citizens and residents, and on the development of infrastructure as well.
He explained that the government established a specialised renewable energy entity called "Hydrogen Oman - Hydrom" and allocated approximately 50,000 square kilometres of land for green energy projects, which constitutes a major competitive advantage for the Sultanate of Oman in this field.
For his part, Syed Fayyaz Ali Shah, Chairman of the Syed Fayyaz Group, affirmed that the new laws have played an influential role in attracting major investors to the Sultanate of Oman, describing them as an embodiment of Oman’s renewed renaissance.
He explained that these laws promote a strong legal framework, open new horizons for cooperation between the public and private sectors, and demonstrate a deep understanding of the business environment, thus preparing the Sultanate of Oman for decades to come in terms of economic growth.
He stressed that the digital transformation has clearly impacted the growth of the private sector and increased investor confidence, especially in the real estate sector.
For his part, Ahmad Subhani, CEO of Falcon Group, confirmed that allowing 100 percent foreign ownership in special economic zones was a pivotal factor in boosting investor confidence.
He added that allowing full foreign ownership along with clarity in partnerships confirms that the Sultanate of Oman is serious about openness and economic growth.
He said that digital transformation has radically changed the business experience in the Sultanate of Oman, noting that platforms such as "Invest Oman" and "Oman Business Platform" have made procedures faster, more transparent and more investor-friendly.
He pointed out that this transformation reflects the government’s vision of building a technology-based economy, making the establishment and expansion of businesses much easier than in previous years, explaining that there are promising opportunities in the tourism, logistics, fisheries, mining, health, technology and creative industries sectors, in addition to renewable energy.
As explained by Sivakumar S, Managing Director at Novell Muscat International, these laws were introduced to address the most important concerns of foreign investors regarding ownership. The Foreign Capital Investment Act allows 100 percent ownership, and the Partnership Act provides a clear and transparent framework for large infrastructure projects.
He added that the partnership with the government gives investors’ confidence and opens up great opportunities in the manufacturing, water, electricity, transportation and healthcare sectors.
He stressed that granting the right of usufruct for 99 years is a strategic step that has boosted investor confidence in large projects, explaining that “long-term usufruct provides the necessary certainty for industrial projects that require planning that extends for decades, and with allowing full foreign ownership, the government is demonstrating a serious commitment to establishing strategic partnerships with foreign capital.”
Anthony Ghazi Al-Helou, CEO of Al-Sarouj Construction, said that business procedures in the Sultanate of Oman used to take weeks are now completed in one day, noting that this digital transformation has enabled investors to focus on their business instead of being constrained by paper transactions.
He stressed that the Sultanate of Oman is one of the world’s promising markets for renewable energy thanks to its great potential in solar and wind energy, in addition to its ideal location for the production of green hydrogen and green ammonia.
