Oman investment continued to attract strong foreign interest during the first quarter of 2026. Oman investment remained resilient despite ongoing regional tensions. In addition, government reforms and economic diversification continued strengthening investor confidence across multiple sectors.
Official figures showed foreign direct investment reached OMR800 million during the first quarter. This equals approximately $2.6 billion in new investment. As a result, cumulative foreign direct investment increased to OMR32.2 billion by the end of March.
The latest figures reflected continued confidence in the country’s long-term economic strategy. Investors continued supporting projects across several industries despite uncertainty across the wider Middle East. Furthermore, Oman’s strategic location and stable investment environment remained attractive for international businesses.
Energy continued receiving the largest share of foreign investment. Oil and gas accounted for approximately OMR25.4 billion of total foreign investment at the end of 2025. However, other sectors also continued expanding as economic diversification gathered momentum.
Manufacturing ranked among the leading sectors for foreign capital. The industry attracted approximately OMR2.7 billion in cumulative investment. Financial services also performed well, receiving nearly OMR1.5 billion in foreign investment. These industries continued supporting broader economic growth while reducing dependence on energy revenues.
Economic experts believe Oman has successfully expanded investment opportunities beyond traditional industries. Government initiatives encouraged businesses to explore logistics, mining, renewable energy, tourism, and advanced manufacturing. Consequently, investors now view the country as a more diversified investment destination.
The United Kingdom remained the largest foreign investor in Oman. British investment totaled OMR16.4 billion by the end of 2025. Meanwhile, the United States ranked second with OMR8.5 billion in investments. Kuwait followed with OMR1.4 billion, while China contributed approximately OMR887 million.
Several large investment projects also strengthened confidence in the country’s economy. South Korean company Lupro announced plans to develop a green ammonia project valued at $3.5 billion. In addition, Saudi Arabia’s Dar Al Arkan launched a real estate development worth $4.2 billion in the sultanate.
Although some international companies adjusted their investment strategies, overall confidence remained strong. Analysts noted that individual project changes have not slowed broader investment activity. Instead, new opportunities continue replacing completed or cancelled projects across different sectors.
Government reforms have played an important role in attracting foreign investors. Authorities introduced business-friendly regulations, expanded tax incentives, and simplified investment procedures. At the same time, integrated economic zones and free zones created additional opportunities for international companies.
Oman’s Vision 2040 strategy also continues supporting long-term economic transformation. The national development plan encourages private sector growth while improving the country’s investment climate. These reforms have strengthened confidence among global investors and financial institutions.
The government also made significant progress in improving public finances. Oman reduced its debt-to-GDP ratio from 68 percent in 2020 to 34 percent last year. Early repayment of both domestic and international debt contributed to this improvement. Consequently, international credit rating agencies restored the country’s investment-grade status.
A stronger financial position has further improved investor confidence. Stable public finances reduce financial risks while supporting future economic growth. Investors often consider these factors before committing long-term capital to emerging markets.
Economic forecasts also remain positive for the country. International organizations expect Oman’s economy to grow by approximately 3.5 percent during 2026. This represents an improvement from the previous year’s growth rate of 2.4 percent.
Investor optimism also supported the local stock market during recent months. Muscat’s main stock index reached a record high earlier this year before experiencing a moderate pullback. Even after the decline, the market continues recording strong gains since the beginning of 2026.
Experts believe foreign direct investment will remain essential for Oman’s future development. New investment brings financial resources, advanced technology, management expertise, and stronger access to international markets. These benefits continue supporting economic diversification and private sector expansion.
Oman investment remains one of the country’s strongest economic priorities. Continued reforms, financial stability, and expanding investment opportunities continue attracting international businesses. As development projects move forward, Oman investment is expected to remain a key driver of sustainable economic growth in the years ahead.
