Saudi Consultancy Services (SCS)خدمات الاستشارات السعودية
مفتاح أعمالك الرئيسي لدول مجلس التعاون الخليجي
YOUR MASTER KEY TO GULF COOPERATION COUNTRIES (GCC) & MIDDLE EAST BUSINESSES   


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 
Your Subtitle text
Business in Oman

 
About Oman
Middle East, bordering the Arabian Sea, Gulf of Oman, and Arabian Gulf, Between Yemen and UAE

Country Name

conventional long form: Sultanate of Oman
conventional short form: Oman
local long form: Saltanat Uman
local short form: Uman
former: Muscat and Oman

Administrative divisions

5 regions (manatiq, singular - mintaqat) and 4 governorates* (muhafazat, singular - muhafazat) Ad Dakhiliyah, Al Batinah, Al Buraymi*, Al Wusta, Ash Sharqiyah, Az Zahirah, Masqat*, Musandam*, Zufar (Dhofar)

Capital

name: Muscat
geographic coordinates: 23 37 N, 58 35 E
time difference: UTC+4 (9 hours ahead of Washington, DC during Standard Time)

Government Type

monarchy

Independence

1650 (expulsion of the Portuguese)

Ruler

chief of state: Sultan and Prime Minister QABOOS bin Said al-Said (sultan since 23 July 1970 and prime minister since 23 July 1972); note - t

Prime Minister

the monarch is both the chief of state and head of government

Political System

 Sultanate

Constitution

On 6 November 1996, Sultan QABOOS issued a royal decree promulgating a basic law considered by the government to be a constitution which, among other things, clarifies the royal succession, provides for a prime minister, bars ministers from holding interests in companies doing business with the government, establishes a bicameral legislature, and guarantees basic civil liberties for Omani citizens

Area

total: 212,460 sq km
land: 212,460 sq km
water: 0 sq km

Irrigated land

720 sq km (2003)

Land use

arable land: 0.12%
permanent crops: 0.14%
other: 99.74% (2005)

International Dialing Code

+968

Currency

Omani rial (OMR)

Exchange Rate

Omani rials per US dollar - 0.3845 (2007), 0.3845 (2006), 0.3845 (2005), 0.3845 (2004), 0.3845 (2003)

Language

The official language is Arabic. English is widely understood and ranks alongside Arabic as the language of commerce

Religion

Islam. Practice of all religious beliefs is allowed

Population

3,204,897
note: includes 577,293 non-nationals (July 2007 est.)

GDP per Capita

$19,100 (2007 est.)

Real GDP Growth

5.3% (2007 est.)

Industries

crude oil production and refining, natural and liquefied natural gas (LNG) production; construction, cement, copper, steel, chemicals, optic fiber

Oil Production

740,000 bbl/day (2006 est.)

Oil Proven Reserves

5.506 billion bbl (1 January 2006 est.)

Natural Gas Production

18.98 billion cu m (2005 est.)

Natural Gas Proven Reserves

795.2 billion cu m (1 January 2006 est.)

Fiscal Year

calendar year

Weekend

Friday and Saturday for government institutions. Many private companies operate a six-day week (with Friday as an off day)

Exports

$22.68 billion f.o.b. (2007 est.)

Exports - commodities

petroleum, re-exports, fish, metals, textiles

Imports - commodities

machinery and transport equipment, manufactured goods, food, livestock, lubricants

Imports

$11 billion f.o.b. (2007 est.)

Legal system

based on English common law and Islamic law; ultimate appeal to the monarch; has not accepted compulsory ICJ jurisdiction

Flag

with a broad, vertical, red band on the hoist side; the national emblem (a khanjar dagger in its sheath superimposed on two crossed swords in scabbards) in white is centered near the top of the vertical band

Why invest in Oman?
Strategic Location 
Oman is distinct for its strategic location, by virtue of which it controls the most ancient and important marine trade routes in the world, the route between the Arabian Gulf and the Indian Ocean. 

Geographical location 
Oman’s sea-coast stretches for 1700 kilometers and the Sultanate is considered the gateway to the Arabian Gulf. Its location also makes Oman, the meeting place of the Asian and African continents. 

Marketing location 
The GCC states offer a large consumer market catering to around 28 million people with a high purchasing power. Besides, Oman is closer to the Iran and Yemen markets which cater to around 82 million consumers. The Sultanate also lies between the markets of the Indian sub-continent and the East African coast. It is also strategically located near the landlocked Central Asian Republics. 

Political Stability 
Security and stability are two basic elements of development and Oman is characterised with both. Oman has very good relations with its neighbours as well as other countries of the world. 

 Appropriate investment policies

The Sultanate had realized the need to introduce radical and effective reforms on the general investment climate to attract both local and foreign investments. New trade and investment laws were framed providing better degrees of vitality and flexibility to contain the international developments so as to serve the interests of the Omani economy regionally and internationally.

The Omani government supports the private sector to provide appropriate climate to launch the private sector enterprises and to stimulate trade and investment activities, through the following steps: 

  • Providing infrastructures ( industrial estates, ports development, etc.) 
  • Framing appropriate and flexible trade and investment legislation. 
  • Establishing good regional and international economic relations and opening up to the international economy. 
  • Creating active institutions to promote investment and to develop exports. 
  • Laying down privatisation programmes to increase investment opportunities. 
  • Laying down clear and specific strategies and priorities to various manufacturing sectors. 
  • Incentives and loans regulations. 
  • Provision of trade related information 
  • Developing and updating the financial sector

Economic Resources 

  • Oil reserve: Oman’s oil reserves are estimated to be around 5.75 billion barrels and its daily oil production is around 954,800 barrels or 344 million barrels per annum.
  • Gas reserve: Oman’s gas reserves are estimated to be around 29.8 trillion cubic feet and Petroleum Development Oman (PDO) is processing part of it for the local demand.
  •  Mineral ores: Several natural minerals are available in Oman, which can be processed locally. These include, among other minerals, copper (around 25 million tons) and gold (around 1.5 million tons).  

Conducive Economic Policies 

  • Free economy and full competitiveness
    Oman’s economy is based on the free economy concept where competition, free markets and price mechanism concepts prevail. The market economy remains the main focus of Oman’s strategy since its modern renaissance and the state encourages and supports the private sector enterprises. 
  •  Freedom of Money Transfer 
    There are no exchange controls in Oman. Capital and income may be repatriated abroad without any restriction. 

 Excellent Infrastructure

Transport
Construction of infrastructure facilities began based on the objectives of the first Five-Year-Plan (1976-1980) which coincided with the oil boom period. This prompted the growth of non-oil sectors. Oman now has 8,477 kilometres of paved roads 

There is a modern international airport that handles around 38,184 inbound and outbound flights and around 2.7 million passengers per annum. 

Furthermore, Oman’s modern seaports (Mina Sultan Qaboos, Muscat and Salalah Port) and other utilities compliment the industrial sector as they act as the export points for the national products. The expansion of the Salaam port, which is close to major international container traffic route between Europe and the Far East, is aimed at making Oman an international re-export center. The Sohar port is also one of the important natural ports in Oman as its waters are deep and is not affected by sea conditions. 

Telecommunications
The Sultanate is served by an efficient, state-of-the art telecommunications system that is continuously being upgraded with new technology. The entire transmission network is gradually being replaced with fiber optic cables, and is almost 100% digital. Satellite links allow sending and accessing data rapidly. A full range of Internet services is available, making global information and quick communication freely accessible to all.