Oman foreign investment rose sharply to $79.6 billion in early 2025, reflecting strong international confidence in the country’s economic potential. This surge comes as the oil and gas sector continues to attract the largest share of foreign direct investment (FDI).
In the first quarter alone, Oman secured $13.6 billion in new FDI. This amount surpassed last year’s same period performance, underlining growing investor interest. The oil and gas sector dominated the inflows, receiving $12.5 billion in just three months. Overall, energy projects now account for 81% of total foreign investment.
Manufacturing also contributed significantly to Oman foreign investment. The sector attracted $7.1 billion, with $1.5 billion entering during the first quarter. Financial services followed with $3.4 billion in total FDI, supported by $566.5 million in new quarterly investment. These gains demonstrate Oman’s efforts to diversify its economy beyond oil and gas.
However, not all sectors shared in the growth. Real estate and business services fell 36.8% to $1.7 billion. Transport and communications brought in $930.8 million, while trade attracted $681.4 million. Hotels and restaurants received $303.3 million, showing a smaller share of foreign capital compared to energy and manufacturing.
The main sources of Oman’s foreign investment included the United Kingdom at $40.5 billion, followed by the United States with $20.3 billion. Other key contributors were Kuwait, China, UAE, Qatar, and Bahrain. This diversified pool of investors highlights Oman’s success in appealing to both regional and global partners.
Oman’s economic growth further supports foreign investment inflows. The national economy expanded 2.5%, driven mainly by a 4.4% rise in non-oil sectors. Despite a slight 0.4% dip in oil revenues, the dominance of energy in FDI signals its strategic importance for Oman’s future.
Officials view Oman’s foreign investment as vital to national development goals. The government continues to attract global capital by offering opportunities in energy, manufacturing, and financial services. These efforts align with broader plans to strengthen infrastructure, create jobs, and diversify income sources.
As global markets shift and energy demands evolve, Oman is positioning itself as a stable and attractive destination for foreign investors. Continued interest in high-value sectors ensures the country’s resilience and ability to sustain economic growth over the long term.
This trajectory highlights Oman’s role in regional economic development and its growing importance to international investors seeking reliable returns in the Middle East.
