Thanks to positive momentum and rapid expansion in various sectors, especially buoyed by government infrastructure spending and tourism, Oman’s economy has been on a steady path.
To further boost Oman’s economy, Sultan Haitham bin Tarik announced the establishment of The Khazaen Economic City with two free zones in the Governorate of South Al Batina, according to Oman News Agency.
The new city will be supervised by the Public Authority for Special Economic Zones and Free Zones.
In October, Oman launched a three-year fiscal stability program to support the country’s economic growth and heighten the development of the financial sector. The Sultan also launched the National Program for Financial Sustainability and Development of the Financial Sector in January 2023.
Furthermore, the country has signed agreements with its GCC neighbors, including a $3 billion joint venture between Oman Rail and Etihad Rail to connect Oman with the UAE via railway and a $320 million infrastructure project for their Al-Dhahirah Economic Zone with the Saudi Fund for Development.
Fitch Ratings revised its outlook for Oman in April from stable to positive, highlighting the strengthened finances of the GCC state on behalf of higher oil revenue and a decrease in public debt.
The largest non-OPEC producer in the Middle East, Oman expects a budget deficit this year, about 3% of its economy, after achieving a surplus for 2022, the Ministry of Finance said in January.