Oman Targets RO 1.5 Billion Digital Economy Boost: What It Means for Your Business

Oman is targeting an annual contribution of RO 1.5 billion to its Gross Domestic Product (GDP) from its digital economy by 2030, alongside the creation of 3,000 direct jobs each year (Omanobserver, Mtcit.gov). This ambitious goal, announced with the launch of the second phase of the National Programme for Digital Economy, marks a significant push for the Sultanate to diversify its economy and reduce its reliance on hydrocarbon revenues. For you, this means new opportunities in a rapidly transforming market and a clearer picture of Oman’s economic future.

Oman's Digital Ambition Takes Shape

The second phase of Oman's National Programme for Digital Economy, running from 2026 to 2030, is a cornerstone of Vision 2040. This long-term strategy aims for the digital economy to contribute 10% to national GDP by 2040, a substantial increase from just 2% in 2021 (Omanobserver). The programme also seeks to attract RO 300 million in technology investments (Mtcit.gov).

This new phase signals a shift in focus, moving beyond the initial digitalisation of government services to accelerate digital transformation across various economic sectors and businesses (Omanobserver). Eng. Said bin Hamoud al Maawali, Minister of Transport, Communications and Information Technology, affirmed that the ministry is pursuing an ambitious vision to build "a sustainable and advanced digital economy" (Omanobserver). He indicated that the focus in the upcoming phase will be on "digitizing promising economic sectors and exporting digital economy services" (Omanobserver).

Previous efforts have laid a strong foundation. The digital economy's contribution to Oman's GDP reached 9% in 2026, up from approximately RO 800 million in 2023 (Omanobserver). Oman has also seen its ranking in the United Nations' Telecommunications Infrastructure Index improve significantly, moving from 48th in 2022 to 22nd globally in 2024 (Omanobserver).

The first phase (2021-2025) saw 2,277 government services digitised, processing 48 million digital transactions in 2025 (Omanobserver). E-commerce transactions grew to RO 288 million in 2025, an increase from RO 221 million in 2023, while cashless transactions surged over 700% between 2020 and 2025 (Omanobserver). The rate of Omanis working in technological activities, known as Omanisation, also increased from 33% in 2022 to 46% in 2026 (Omanobserver).

What It Means for Businesses and Investors

This digital push aims to boost productivity, reduce administrative costs, and enhance the competitiveness of Omani businesses. Small and medium-sized enterprises (SMEs) are expected to receive significant support in adopting digital tools and practices, expanding opportunities in e-commerce and electronic payments (Omanobserver).

For investors, Oman is cultivating a more secure and attractive environment. The country is making substantial investments in 5G infrastructure and data centres, opening numerous opportunities across various digital economy sectors (Omanobserver). Dr. Ali Amer Al Shidhani, Undersecretary of the Ministry of Transport, Communications and Information Technology for Communications and Information Technology, highlighted the programme's focus on "qualifying national digital competencies and skills" and "enhancing the presence of Omanis in technological activities and professions" (Me.peoplemattersglobal). This commitment to local talent can create a skilled workforce for new tech ventures.

Broader Impact on the Omani Economy and Beyond

The National Programme for Digital Economy is vital for diversifying Oman's national income, lessening the country's dependence on oil revenues and creating a more resilient economy (Omanobserver). It also aims to improve the quality of life for citizens and residents through more efficient digital government services and greater convenience in daily transactions (Omanobserver).

This initiative aligns with broader trends across the Gulf Cooperation Council (GCC), where countries are pursuing national transformation programmes to build diversified, innovation-driven economies (Omanobserver). Oman’s progress under Vision 2040 positions it as a potential regional hub for technology and innovation, offering valuable insights for other emerging economies (Omanobserver). His Majesty Sultan Haitham bin Tarik emphasised the central role of the digital economy, stating: "With our profound recognition of the necessity to diversify sources of income through knowledge, technology and innovation, we are resolutely intent on positioning the digital economy as a pivotal and central pillar of our national economy" (Omanobserver).

What to Watch Next

The current phase of the National Programme for Digital Economy runs until 2030, with future phases focusing on consolidating national digital industries (2031-2035) and enhancing digital exports and global competitiveness (2036-2040) (Omanobserver). Key developments to monitor include:

• AI Infrastructure: Oman plans to establish dedicated AI data centres with up to 500MW capacity and continue investments in the semiconductor sector (Omanobserver).
• Strategic Intelligence: A Strategic Intelligence Platform, launched in cooperation with the World Economic Forum, will continuously monitor future trends to inform policymaking (Omanobserver).
• Local Digitalisation: Digital transformation centres will expand to all 11 governorates, with their focus tailored to each region’s economic strengths (Omanobserver).
• "Ma'een AI": Access to Oman's national language model, currently being tested by government employees, will gradually expand to more users (Omanobserver).
• E-invoicing: The Fawtara e-invoicing platform is live, with its first phase scheduled for launch in August 2026 for over 100 large companies (Omanobserver).

The bottom line

Oman's National Programme for Digital Economy signals a clear and ambitious commitment to a knowledge-based future. By targeting significant GDP contributions and job creation through digital transformation, the Sultanate is actively building a diversified economy that promises new opportunities for businesses, investors, and its citizens. This strategic pivot is set to reshape Oman's economic landscape for decades to come.

This article is for information only and is not financial advice.