The most recent promotion campaign, conducted by the Special Economic Zone Authority of Duqm (SEZAD) in the Russian capital Moscow, targeted a number of industrial and service sectors, including shipbuilding, railways, and nanotechnology development, and so on.
The campaign was attended by a large number of businessmen and executives of companies operating in industry, tourism, petrochemicals and other economic sectors. This was the first promotional campaign of its kind in Russia, and comes in light of the significant demand from Russian companies to explore the Sultanate as a promising investment destination. Indeed, the Duqm SEZ has come to exemplify an important economic and investment hub that, in a short period of time, has succeeded in attracting sizeable Arab and international investments, and is today a magnet for investment in the region.
The Duqm project, established in 2011, is located about 550 kilometres south of Muscat. It is one of the largest economic projects in the region. It seeks to attract domestic and foreign investment, expand re-export activities, and create more employment opportunities for the national workforce.
The government has spent billions of dollars on developing infrastructure across the SEZ in a bid to attract local and foreign companies to operate in this zone. Over time, these projects will provide thousands of jobs for Omanis. Further, due to its important geographical location, its mineral resources, tourism appeal, and fisheries potential, are the bases for developing many industries in the future.
Yahya bin Saeed al Jabri, Chairman of the Board of Directors of the Special Economic Zone Authority of Duqm, said in his speech at the opening of the Forum in Russia that the promotional campaign comes in light of the desire of the two friendly countries to strengthen their economic relations, increase trade exchange, and open wider prospects for Russian companies that wish to invest in Duqm.
He pointed out that the region is witnessing a strong demand for investment by a number of companies from different parts of the world. This campaign was the second so far this year following a similar one held in New Delhi, India in January.
Over the past years, the Special Economic Zone has witnessed a number of agreements signed with various parties. In 2018 alone, as many as 70 agreements were signed, according to a report issued by the SEZ. These agreements were distributed across the industrial, services, commercial, logistics, tourism and fisheries sectors.
In its latest campaign targeted at the Russian market, SEZAD has sought to woo Russian companies specialising in shipbuilding, technology, and mega industries. Any investments by the Russians will boost trade between the two countries. In a move to entice Russian investment into the Sultanate, Oman extended the electronic visa service (eVisa) facility to nationals from that country, while Oman Air commenced direct flights between Muscat and Moscow. These initiatives add to ongoing efforts by the authorities of the two countries to strengthen economic relations.
Duqm SEZ may witness the signing of commercial agreements with the Russians in the near future, similar to those signed with Chinese companies, which are setting up an industrial city in the SEZ. Russian investments are also moving East and West as they enhance their global presence, similar to Chinese, American and European companies.
Government and private institutions in the Sultanate should support the inflow of investment. In general, government institutions should eschew any bureaucratic practices that may serve as barriers to companies wishing to invest in Oman. This is essential to the goal of achieving more balanced social and economic development in various parts of the Sultanate.
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