The Sultanate of Oman continues to reinforce its status as an emerging regional investment destination, supported by comprehensive legislative reforms and accelerated digital transformation of government services aligned with Oman Vision 2040. These efforts have significantly improved the business environment by simplifying company formation, reducing operating costs, and enhancing the country’s appeal to both local and foreign investors.
A major milestone was the introduction of the Foreign Capital Investment Law under Royal Decree No. 50/2019, which abolished the minimum capital requirement for foreign investors from January 2020. This reform removed a long-standing barrier to market entry and marked a turning point in improving accessibility for international investors.
Oman has also made substantial progress in government digital transformation, with more than 1,700 services digitised between 2021 and 2024. Digital adoption reached 73 percent by the end of 2024, up from 53 percent in 2023. This progress is reflected in increased usage of digital platforms, including the Oman Business Platform, which completed over 827 transactions in 2024, a 15 percent year-on-year increase, and achieved a 72 percent score in the Government Electronic and Mobile Services Maturity Index.
World Bank assessments indicate that Oman has reduced the time, procedures, and cost required to establish a business compared to regional peers. New companies can now be established within four to 4.5 days through four procedures, without a minimum capital requirement. The cost of incorporation remains among the lowest in the region, not exceeding three percent of per capita income.
Digital platforms such as the ‘Invest in Oman’ portal and the Oman Business Platform have played a central role in streamlining investor services by integrating offerings from multiple government entities. AI-enabled services, including a digital Know Your Customer process, allow investors to establish companies remotely without physical presence during initial stages.
Additional measures include reduced expatriate labour permit fees for SMEs, the introduction of a long-term investor residency programme, and continued expansion of public-private partnerships. With foreign direct investment reaching OMR 30 billion by the third quarter of 2024, Oman’s reform momentum is strengthening its competitiveness, supported by political stability, strategic geography, and future plans to expand economic zones and AI-driven investor services.
