Oman Future Fund is set to sign investment agreements worth more than RO570 million, or about $1.48 billion, in a fresh push to deepen the sultanate’s non-oil economy and draw private capital into strategic industries.The package, due to be unveiled in Muscat on Tuesday, covers seven major projects and direct investments across renewable energy, industry, technology, healthcare, tourism, adventure tourism, food security and other priority areas. The move marks one of the fund’s largest single investment rounds since its launch in early 2024 and underlines Oman’s effort to use state-backed capital as a catalyst for private-sector growth.
Owned by Oman Investment Authority, the sovereign wealth body, the fund was established with a capital base of RO2 billion to be deployed over five years. Its structure allocates 90 per cent of capital to large strategic local projects, while 10 per cent is reserved for small and medium enterprises, startups and venture capital initiatives. The latest signing package sits mainly within the strategic projects portfolio, with four additional investments to be showcased for SMEs and emerging businesses.
Officials view the fund as a central instrument for Oman Vision 2040, the long-term national programme aimed at reducing reliance on hydrocarbons, expanding employment opportunities and building competitive industries. The investment package is expected to support projects with local content, foreign participation and technology transfer, while widening the pipeline for future public-private partnerships.
By the end of 2025, the fund had approved 186 projects with a combined value of about RO1.7 billion, spanning large-scale developments, direct investments, SME financing and startup support. Its own contribution to those projects reached roughly RO640 million, while foreign investment linked to the approvals was estimated at RO743 million. The fund has also received 986 investment applications since launch, indicating strong demand from companies seeking to participate in Oman’s industrial and services expansion.
The latest package comes as Muscat accelerates efforts to reposition the country as a regional investment hub at the intersection of Gulf capital, Asian manufacturing networks and global clean-energy supply chains. Oman has sought to use its ports, free zones and land availability to attract projects in green hydrogen, solar components, logistics, mining and food processing. Duqm, Sohar and Salalah have become focal points for that strategy, with large industrial and energy projects being promoted alongside infrastructure upgrades.
Renewable energy is expected to remain one of the most closely watched components of the fund’s deployment strategy. Oman is pursuing clean-energy projects to serve both domestic decarbonisation goals and export-led manufacturing. Investment interest has strengthened around solar manufacturing, polysilicon, battery materials and green hydrogen derivatives, supported by the country’s solar resources, coastal sites and access to shipping routes.
Healthcare and food security are also gaining weight in the investment agenda. Oman is looking to reduce import dependence, build domestic capacity and capture value from specialist services. Food projects are increasingly being linked to cold-chain logistics, fisheries, controlled-environment agriculture and processing, while healthcare investment is being directed towards private provision, medical technology and service expansion.
The SME and startup component is designed to broaden the fund’s impact beyond flagship assets. Venture capital vehicles and targeted financing are expected to support businesses in fintech, e-commerce, digital services, logistics technology and advanced manufacturing. For policymakers, the challenge is to ensure that large strategic investments generate local jobs and supplier networks rather than remaining capital-intensive enclaves with limited spillover into the wider economy.
Oman’s investment climate has benefited from legal and regulatory changes allowing wider foreign ownership, streamlined licensing and a clearer focus on privatisation and public asset recycling. These measures are intended to make the sultanate more competitive at a time when Gulf economies are competing to capture supply-chain relocation, energy transition capital and advanced manufacturing projects.
Topics
Oman