Executive
Regulations Issued for Special Economic Zones, Free Zones Law

Muscat,
20 Sep 2026 (ONA) — The Public Authority for Special Economic Zones and Free
Zones (OPAZ) has issued the decision on the Executive Regulations of the
Special Economic Zones and Free Zones Law, which complete the legislative and
regulatory framework established by the Special Economic Zones and Free Zones
Law promulgated by Royal Decree No. 38/2025.

The
move aims to reinforce the efforts of the Government of the Sultanate of Oman
to strengthen the investment environment, enhance the competitiveness of
Special Economic Zones and Free Zones, and make them more attractive for
drawing and localising high-quality and strategic projects.

Regulation
No. 81/2026 represents a key milestone in translating the principles and
provisions of the Law into a clearer implementation framework, which
strengthens investor confidence, provides a more efficient and stable business
environment, and regulates the journey of the investor and the project from
land or property allocation and licensing, through operations, access to
services, and enjoyment of the prescribed benefits, incentives, exemptions and
facilitations, to the regulation of obligations, oversight, compliance and real
estate development.

Qais
Mohammed Al Yousef, Chairman of the Board of Directors of the Public Authority
for Special Economic Zones and Free Zones, affirmed that the issuance of the
Executive Regulations is an important step in completing what the Special
Economic Zones and Free Zones Law set out to achieve in developing and unifying
the legislative framework governing investment in Special Economic Zones and
Free Zones, enhancing guarantees and regulatory clarity, and facilitating
procedures, thereby raising the competitiveness of these zones and strengthening
their ability to attract local and foreign investment and value-added projects.

He
said that the Authority views legislation as a tool for improving the investor
experience and raising the efficiency of the business environment, noting that
the Regulations translate a number of the principles established by the Law
into practical procedures built on simplifying the investor journey,
strengthening the role of the One-Stop Shop, leveraging digital transformation,
granting strategic projects greater flexibility, and preparing the regulatory
environment for new and future economic sectors.

Al
Yousef explained that the Executive Regulations are an important step in
preparing a more flexible framework for strategic projects, by setting clear
criteria that enable these projects to be dealt with according to their nature
and impact on the national economy. This framework strengthens the ability to respond
to the needs of high-quality projects and offer them suitable facilitations,
contributing to faster procedures and greater certainty for investors, and
enhancing the attractiveness of the Sultanate of Oman’s investment environment
for value-added projects, in line with national priorities, plans and
strategies.

He
affirmed that clear regulatory frameworks for strategic projects support the
Sultanate of Oman’s ability to attract high-quality local and foreign
investment and help consolidate its standing as an attractive destination for
projects with economic impact, supporting the objectives of Oman Vision 2040 in
diversifying the economy, enhancing the competitiveness of the business
environment, and attracting value-added investment.

The
Regulations consolidate the role of the One-Stop Shop as the main channel for
delivering services to investors, extending the Law’s provision that all
services required by projects be provided, and that procedures for issuing
approvals, permits, licences and certificates relating to the conduct of
economic activities be facilitated and simplified through it.

The
Regulations provide for submitting applications for land and property
allocation, licences, approvals, permits and certificates through the One-Stop
Shop, linking it electronically to the systems of relevant entities, alongside
activating e-payment channels, data and systems integration, and protecting the
confidentiality of investors’ information and data.

The
Authority coordinates with governmental and non-governmental entities to
conclude agreements regulating the services associated with the One-Stop Shop,
covering the scope of services, responsibilities, powers, timeframes for
completing transactions, and monitoring and evaluation mechanisms, thereby
supporting the transition to a more integrated model of investment service
delivery.

The
Authority is also working to empower the Free Zone operators and those who
manage, operate and develop Special Economic Zones, granting them the widest
possible scope of executive powers needed to complete investors’ transactions
and deliver services inside the zones, within the limits of the approved legal
and regulatory frameworks and agreements. This brings services closer to
investors, shortens referral and decision-making layers, and accelerates
transaction completion, while preserving the Authority’s regulatory and
supervisory role and unifying service quality standards.

Among
the most notable provisions of the Regulations in simplifying the investment
environment is the ability to issue licences automatically through the One-Stop
Shop following automated verification that the data, documents and approved
requirements are met, together with automatic licence renewal where the
licensee’s data is up to date and meets the prescribed conditions.

The
Regulations also set clear timeframes for deciding on a number of applications
and transactions, and regulate the giving of reasons for rejection decisions
and grievances against them in the cases stipulated, enhancing transparency and
clarity in regulatory procedures.

The
Regulations also complete the provisions introduced by the Law to regulate real
estate development projects in Special Economic Zones, which are an important
addition to economic activities in these zones.

The
Regulations regulate the licensing of real estate development projects,
off-plan sales and freehold ownership of real estate units by non-Omanis in
projects to which the prescribed provisions apply, in addition to regulating
escrow accounts and the financial controls associated with protecting buyers’
rights.

The
Regulations strengthened the protection of buyers’ funds by regulating escrow
account requirements for real estate development projects, ensuring that
appropriate financial and technical requirements are in place before units are
marketed or advertised for sale, along with regulating the disbursements
permitted from the escrow account so that funds are directed to their intended
purposes and buyers’ rights are preserved.

The
Regulations also regulate a number of provisions on the residence of non-Omani
investors and real estate unit owners, and their spouses and first-degree
relatives, in accordance with the applicable controls and legislation.

—Ends/AG