Investments
Reach RO 21 Billion in OPAZ Zones
Muscat, 14
Apr (ONA) — The Public Authority for Special Economic Zones and Free Zones
(OPAZ) announced that the total investment in the special economic, free zones
and industrial cities reached approximately RO 21 billion by the end of 2024,
marking a 10% increase.
During its
third annual media briefing held today, OPAZ revealed that the results of an
economic survey focused on enterprises operating in the zones, conducted in
mid-2024 in coordination with the National Centre for Statistics and
Information (NCSI) showed that these zones contributed 7.5% to the GDP in 2022.
This figure represents 11.6% of the non-oil economic activities for that year.
The value of exports from the zones exceeded RO 4.5 billion, accounting for
17.9% of Oman’s total exports and 38% of the country’s non-oil exports in 2022.
In his
opening remarks, Sheikh Dr. Ali Masoud Al Sunaidy, Chairman of OPAZ, stated
that 2024 witnessed a notable increase in committed local and foreign
investments. Infrastructure projects across the various zones were expanded,
and new initiatives were launched to promote innovation, sustainability and the
transition to renewable energy.
He added
that the Authority also focused on developing digital services, contributing to
faster licensing procedures and an improved business environment. The Authority
continues to strengthen integration among special economic zones, free zones
and industrial cities to support economic diversification and sustainable
growth.
The Chairman
of OPAZ also noted that the number of projects under negotiation rose last year
to 180 across various sectors, including medical and pharmaceutical industries,
food and fisheries, renewable energy-related industries, and petrochemicals. Of
these, 12% are being pursued in partnership with the Invest Oman Lounge and the
National Negotiation Team.
He also praised
the contribution of all zones under the Authority’s supervision in promoting
local and foreign investment in the Sultanate of Oman and in advancing the
goals of Oman Vision 2040. He affirmed that Oman’s economic policies, its
efforts to provide a safe and stable investment environment, and the continuous
review of investment incentives have driven foreign investment upward,
contributed to localising various projects in the zones, and created new job
opportunities for Omani youth.
Regarding the priority of economic
diversification and fiscal sustainability, the OPAZ Chairman stated that the
Authority continues to develop new special economic zones, free zones and
industrial cities with a focus on diversification. In 2024, construction work
began on the first phase of the Muscat Airport Free Zone. Additionally, the
consultancy contract for the detailed design and supervision of infrastructure
facilities for Phase One of the Integrated Economic Zone in Al Dhahirah
Governorate was awarded. As for existing industrial cities, joint efforts with
the Ministry of Housing and Urban Planning led to the expansion of Raysut
Industrial City, which had recorded high occupancy rates. The total area has
now reached over 9 million square metres, an increase of approximately 5
million square metres. The design of the new areas is scheduled to begin this
year.
Al Sunaidy addressed
the Authority’s achievements under the priority of labour market and
employment, affirming its strong focus on raising employment rates within the
special economic zones, free zones and industrial cities. In 2024, a total of 3,597
Omani citizens were employed in projects operating in these zones, bringing the
total number of Omani workers to over 29,000, with an Omanisation rate of 37%.
He also
addressed the Authority’s role under the priority of environment and natural
resources, noting that last year it completed the consultancy study for the
development of the renewable energy zone in SEZAD. Additionally, Sur Industrial
City adopted the Green Belt Project aimed at creating green spaces to help
reduce carbon emissions. A sustainability plan was also implemented in the
Sohar Free Zone, including the establishment of an air quality monitoring
network.
Al Sunaidy affirmed
the Authority’s commitment to the priority of governance within the state
administrative apparatus, resources, and projects. In line with the Royal
directives, the Authority initiated the unification of investor services
through electronic integration with relevant government entities, aiming to
streamline procedures and enhance transparency. Rental rates for heavy and
medium industrial land were reduced. The Authority also introduced several
initiatives to improve investor services, including shortening of the project
licensing period, reengineering import and export procedures, and offering
additional incentives such as reduced rental rates for several years for new
projects in Ibri Industrial City, Sur Industrial City and Mahas Industrial
City. Rental discounts and exemptions were also offered in the initial years
for new projects in upcoming industrial cities in Mudhaibi, Suwaiq and Madha.
Regarding
the priority of developing sustainable cities and governorates, Sheikh Dr. Ali Masoud
Al Sunaidy stated that the Authority has continued its efforts to enhance the
quality of life in SEZAD. This includes greening initiatives and expanding
green spaces. Over 90% of development in the new Saay Commercial District has
been completed, with full supporting services in place, making it one of the
most modern commercial hubs in the country. As part of the Authority’s
responsibility for municipal services in areas no longer designated for public
use, detailed designs were completed for the first phase of the primary and
secondary road network. A consultancy tender was also issued for preparing the
detailed masterplan for the tourism zone, aimed at developing a leisure complex
that offers diverse experiences for residents and visitors. Meanwhile, schools
in Duqm recorded a 47% increase in student enrolment over the past three years,
indicating a growing number of families relocating to the area.
In conclusion,
he reaffirmed the Authority’s ongoing efforts to realise its vision of making
economic zones, free zones and industrial cities the ‘preferred destination for
investment,’ while continuing its institutional transformation strategy.
The third
annual media gathering of OPAZ featured visual presentations highlighting the
outcomes of institutional transformation and key performance indicators across
the zones under the Authority’s supervision. The Authority achieved a digital
transformation score of 86% and a 95% score in government compliance, while its
institutional excellence rating rose to 97.5% for the year 2024.
The media
gathering also included presentations on Philex Pharmaceutical Industries in
the Salalah Free Zone and the International Seafood Company (Simak) in SEZAD.
United Solar Polysilicon, based in the Sohar Free Zone, gave an update on its
project, which has reached 80% completion.
—Ends/AG
