Unified
Regulatory Framework Bolsters Business Environment in Economic Zones, Free
Zones

Muscat,
2 Mar 2026 (ONA) — The Public Authority for Special Economic Zones and Free
Zones (OPAZ) clarified that the Authority’s system, promulgated by Royal Decree
No. 39/2026, holds significant regulatory importance in achieving the
objectives for which the Authority was established. It further enhances the
business environment, contributes to attracting investment, and consolidates
the governance of these zones.

Qais
Mohammed Al Yousef, Chairman of the Public Authority for Special Economic Zones
and Free Zones, emphasized that the system grants broader powers that integrate
with the Special Economic Zones and Free Zones Law and related legislation. He
also affirmed the Authority’s commitment to fostering an investment environment
characterized by ease, flexibility, and stability.

In
a statement to Oman News Agency, he added that the existence of an independent
system for the Public Authority for Special Economic Zones and Free Zones is
vital for improving work procedures and systems within special economic zones,
free zones, and industrial cities. This enables the Authority to fulfill its
role in economic development, the development of industrial clusters, the
attraction of investments, and the creation of a legislatively stable and
highly competitive business environment. Such an environment is designed to
support the government’s efforts in economic diversification and the achievement
of local added value.

He
noted that the system will enhance the Authority’s regulatory, supervisory, and
monitoring roles over the zones under its jurisdiction by granting it broader
powers. These powers ensure the integration of the legislative framework with
the Special Economic Zones and Free Zones Law and other relevant legislation,
achieving alignment between all existing special economic, free, and industrial
zones, as well as any zones that may be established in the future. Currently,
work is underway to develop the Special Economic Zone in A’Dhahirah
Governorate, the Special Economic Zone in Al Rawda, and the Muscat Airport Free
Zone, in addition to four new industrial cities in the Wilayats of Al Mudhaibi,
Al Suwaiq, Thumrait, and Madha, with the aim of accommodating diverse
industrial activities and strengthening the local manufacturing base.

Qais
Mohammed Al Yousef confirmed that the powers granted by the system to the
Authority will enable it to provide an integrated package of services through
the “one-stop shop.” These services include project registration and
the issuance of approvals, licenses, permits, and certificates necessary for
conducting economic activities. They also include regulating the provision of
municipal services within the zones, approving rules for issuing non-Omani
labor licenses, and determining Omanization percentages in coordination with
the Ministry of Labour. Furthermore, the Authority will regulate import and
export procedures and establish the customs management system in coordination
with the Royal Oman Police, contributing to the reduction of procedures, the
elevation of performance efficiency, and the enhancement of the investor
experience.

It
is noteworthy that the Authority oversees 23 special economic zones, free
zones, and industrial cities. New investments in these zones during the year
2025 exceeded approximately RO 1.4 billion, bringing the total volume of
committed investment in the zones supervised by the Public Authority for
Special Economic Zones and Free Zones to RO 22.4 billion, representing a growth
of 6.8% compared to 2024.

—Ends/AG