Oman shares borders with major oil-producing countries like Saudi Arabia, United Arab Emirates, Yemen, Iran, and Pakistan and is greatly influenced by their business and economic activities.
In recent times, these neighbouring countries are shifting their focus from oil production sector to fintech, technology, and other service sectors. Being influenced by them, Oman is also taking part in the rally and is inviting with open arms investors who are willing to invest in the businesses in Oman and looking for new opportunities.
As per Arabian Business News, Oman’s economy is projected to grow by 5.2% in 2018. This is another compelling reason for investors to invest in Oman. The government is also currently focusing on foreign direct investment to increase the potential GDP of the country.
Muscat, the capital of Oman is also the largest city in the country. It is also a great place to start up your venture owing to the modern infrastructure network, easy access to global markets, secure and stable investment environment, educated and skilled workforce, strong economy, strong international networking and trade agreements.
If you are planning for establishing a business in Muscat Oman, here are some of the most profitable business ideas for the Oman market
1. Technology Based Company
There is a vast scope in technology based startups in the middle east, specially in Muscat Oman. You can invest in technology based startups in the country like app based transport like taxi service, food delivery, mobile app grocery stores, fitness products, e-commerce and much more.
2. Travel and Tourism Business
With the government taking major efforts for the betterment and progress of travel and tourism, this sector is flourishing in the country. If you set up your own tours and travel company, the initial investment would just be the rent of the office, license for becoming a tourism conductor, office interior cost and salary of employees. This business has a huge potential for long term growth.
3. Event Management or Celebrity Management Company
Muscat is popular for its lavish parties, grand weddings, celebrity events, sports events and much more. So, if you are good at managing and organizing different events and have good contacts in the entertainment industry then it is a great business opportunity. To add on, the profit margins in this business are really high.
4. Facility Maintenance Company
With a growing number of companies in Oman, facility maintenance can be a great business idea to reap profits. All you have to do is form a company which can assist other companies in cleaning their facilities, fixing electrical faults, fixing plumbing issues, maintain their power plants, etc.
5. Commodity Store
It is a thriving business to deal in commodities in Oman as the country greatly depends on imported goods. You can make good returns if you can manage to import these commodities at cheaper rates and stock them at your store. In order to attract more customers and scale your business, you can deal in multi-brands and multiple products.
6. Restaurant
If you want to go for a safe bet, you can invest in the restaurant business in Oman. You can introduce your own unique local taste and cuisine to the country and make people revisit your restaurant. Moreover, you can attach a bar to the restaurant in order to maximize more profits.
7. Certification Agency
Another brilliant idea is to have a certification agency in Oman. It has a lot of value and attention as it is a mandatory requirement by the government for most of the businesses. You can start a business along with a small team of professionals and start providing consultancy services for the certification process. With growing start-ups in Oman, the need for certification will also increase and in turn, there will be more market for your business.
The above mentioned are some of the most booming business ideas and investment opportunities in Muscat Oman. If you need any assistance with company formation in Oman, you can get in touch with IMC Group.
Government stimulus and Tenth Five-Year Development Plan (FDP) for 2021 to 2025 in Budget 2021
To fight against the economic slump caused by COVID-19 and help sustain the non-oil sector through new company formation in Oman, the Government has announced relief measures and waived levying of taxes from tourism and municipality taxes, pending rent of factories operating in industrial areas, penal measures on expired labor cards including reduction of shipping and handling fees.
The 10th FDP narrates the first executive plan for making way to realize the vision 2040 which is considered as the beginning of the attainment of fiscal sustainability and economic growth. The plan focuses on prioritizing spending as a result of many adverse implications in the local and global economic situation and ensures high economic growth and financial prosperity.
The objectives of the 10th FDP are
- Enhancing sustainable human development and preserve human capital
- Realizing balanced development and improve the income of citizens
- Promoting economic diversification
- Attaining financial sustainability by developing ma macroeconomic environment
- Supporting the role of small and medium enterprises
- Providing economic stimulus by partnering with the private sector
Economic diversification mechanisms and programs are the essence of the FDP and focus on an increase in the participation and contribution of non-oil sectors and activities. The plan aims for growth in the GDP of non-oil sectors and focuses on sectors such as hi-tech manufacturing industries, agriculture and fisheries, fish farming, food processing, transportation, travels and tourism, and logistics.
Takeaway
Every crisis comes with an equal opportunity, investors believing in this adage have taken out money from their other portfolios and are exploring opportunities in high technology growth-oriented businesses for investment. Therefore new business set up in Oman now can be well-timed and hugely rewarding.
As many SMEs were forced to put down their shutters due to covid lockdown, new businesses can now afford to look at the future with a positive mindset filled with beliefs for a flourishing economy in the recent future.
The government and many business owners believe that sectors that were among the most damaged during COVID-19 such as travel and hospitality have a greater chance to come back stream and row over the next few years. Human skill coupled with strong willpower will help Oman successfully navigate the adverse economic trend of 2020, the Government of the Sultanate of Oman believes.
