The Sultanate of Oman has successfully enhanced its position as an attractive investment destination in the region, benefiting from a series of economic and legislative reforms that have helped reshape the business environment and enabled growing inflows of foreign capital.
Alongside the launch of multi-billion-dollar projects led by prominent regional investments, Oman’s real estate sector is witnessing strong momentum that reflects investor confidence in the market’s stability and its ability to generate sustainable returns. This activity comes within a broader vision aimed at diversifying income sources and strengthening growth away from reliance on oil.
Reflecting this momentum, Egypt’s Talaat Moustafa Group Holding announced in early December the launch of two new projects in the Sultanate with investments exceeding $5 billion, comprising around 15,000 residential units, according to a company statement. The two projects, named “Joud” and “Yamal,” span an area of 4.9 million square meters and aim to introduce a new urban model aligned with Oman Vision 2040.
At the same time, the Sultanate continues to attract foreign investments. Data from the National Centre for Statistics and Information revealed that total foreign direct investment reached 30.2 billion Omani rials (approximately $78.54 billion) by the end of the first half of 2025.
The data showed that the oil and gas extraction sector accounted for a significant share of total investment at 80.7%, valued at 24.4 billion rials, while real estate and commercial activities recorded investments of 580 million rials, with cash inflows estimated at 429 million rials.
Economic experts, including Ahmed Kashoub, link the Sultanate’s success in attracting these investments to economic reforms aligned with Oman Vision 2040. These reforms included major legislative changes, such as the 2019 Foreign Capital Investment Law, which allows full foreign ownership in most sectors without the need for a local partner or a minimum capital requirement.
In addition to legislation, the “Invest in Oman” program, overseen by the Ministry of Commerce, Industry, and Investment Promotion, has played a key role in attracting foreign investor interest. The program succeeded in increasing the number of investment projects from 29 projects worth 1.2 billion rials in 2023 to 43 projects with a total cost exceeding 2.25 billion rials by mid-2025.
Incentives granted to investors—such as customs and tax exemptions in special economic zones like Duqm and Sohar—add a competitive advantage to these areas, particularly for projects focused on sustainable tourism.
On the other hand, Egyptian investments highlight growing confidence in the Omani market. In addition to Talaat Moustafa’s projects, there have been long-term investments by Orascom Development Group, led by Egyptian businessman Samih Sawiris, which began around 17 years ago in partnership with the Omani government through the company “Muriya.” This partnership has resulted in landmark projects such as the “Jebel Sifah” community and the “Salalah Beach” resort, which are considered integrated developments combining tourism, residential living, and leisure.
In the same context, Dr. Qais bin Dawood Al-Sabai confirms that the real estate sector in the Sultanate is among the main beneficiaries of foreign investment inflows. The market has witnessed a notable increase in transaction values, reaching 2.124 billion rials by the end of August 2025, supported by reforms such as the introduction of the Golden Residency Visa for investors, which requires a minimum investment of 200,000 rials.
Data from the National Centre for Statistics and Information also show an 11% increase in general real estate prices during the second quarter of 2025 compared to the previous year, with the value of real estate transactions reaching approximately 259.6 million rials. Total investment volume in the real estate and construction sector reached around 3.5 billion rials.
