Increased
Allocations for Governorate Development Underscore Royal Care to Social
Welfare

Muscat,
11 Jan 2026 (ONA) — The Royal directives to increase the allocations for the
Governorate Development Program to RO 270 million during the Eleventh Five-Year
Development Plan (2026–2030) confirm the Royal care to enhancing social
welfare and ensuring balanced development in the governorates. This financial boost
supports the expansion of the program’s projects, aims to maximize investment
and economic returns, and builds upon the successes of the Tenth Five-Year Plan
in stimulating economic activity, creating jobs, and supporting small and
medium-sized enterprises (SMEs).

Said
Rashid Al Qutbi, Director General of Social Sectors at the Ministry of Economy,
explained that the program translates the directives of His Majesty Sultan
Haitham bin Tarik. Originally launched in 2022 with an annual allocation of RO 4
million per governorate, the program has become a cornerstone for comprehensive
development by utilizing the natural resources and comparative advantages of
each region.

Al
Qutbi noted that the program has significantly contributed to the goals of Oman
Vision 2040 by strengthening administrative, financial, and economic autonomy
for governorates, encouraging the local private sector and improving the
investment and tourism attractiveness of governorates and creating direct and
indirect employment opportunities through localized projects.

Data
reveals significant progress in project implementation and community impact up
to the second half of 2025 with the number of completed and ongoing projects
rose from 941 at the end of 2024 to 1,089 projects by mid-2025.

Total
spending reached RO 127 million between 2021 and November 2025 while 950
contracts were awarded to small and medium enterprises.

The
program generated 1,400 direct job opportunities and 428 indirect jobs by the
end of last year.

The
program covers a wide range of sectors aimed at improving infrastructure and
quality of life. Sixty projects are focusing on waterfronts, viewpoints, and
water spring developments, alongside 67 festivals and tourism events. As many
as 162 projects are for parks and healthy walkways, and 80 projects for
markets, slaughterhouses, and kiosks. As many as 259 projects are for general
maintenance and land leveling, 125 are for road lighting, and 97 for internal
and industrial road paving.

Twenty
projects are dedicated to rainwater drainage and flood protection.

With
the onset of the Eleventh Five-Year Plan (2026–2030), the Ministry of Economy
is collaborating with stakeholders to introduce 20 new strategic programs.
These will focus on building smart cities, integrating rural and urban
development, and enhancing spatial justice. Key enablers already in place include
the Governorate Competitiveness Index and an interactive platform that monitors
performance across 61 indicators.

Furthermore,
training programs have empowered 50 local officials in spatial and financial
planning to ensure that the increased budget is managed effectively through
partnerships with the private sector. This comprehensive momentum reflects
Oman’s steady progress toward economic diversification and long-term social
stability.

—Ends/AG