Business

Why is the 11th Five-Year Development Plan different from previous plans?

 

Muscat: The 11th Five-Year Development Plan (2026–2030) marks a distinct phase in Oman’s development journey, coinciding with the mid-point of Oman Vision 2040 and the conclusion of the global Sustainable Development Goals (SDGs) 2030 timeframe.

The plan was formulated under relatively stable economic conditions and places a strong emphasis on transitioning towards a low-carbon economy, reflecting Oman’s commitment to sustainability and climate responsibility.

Key sectors and economic diversification

The plan focuses on three main sectors — manufacturing industries, tourism and the digital economy — identified as key drivers for economic diversification. These sectors were selected for their capacity to generate value-added growth, create employment opportunities and strengthen non-oil economic activity in line with diversification benchmarks.

Main targets

Among its key objectives, the plan aims to:

  • Raise average economic growth to 4 per cent.
  • Achieve average growth of 4 per cent in non-oil activities.
  • Increase the contribution of non-oil exports to 26.4 per cent of GDP.
  • Boost private investment to 20.8 per cent of GDP.
  • Attract foreign direct investment averaging 10.5 per cent of GDP.

Supporting employment

Employment remains a central pillar of the plan, with 27 strategic programmes dedicated to job creation and training. These programmes focus on accelerating the absorption of jobseekers, empowering national talent in the private sector and developing future-oriented skills aligned with labour market needs.

Benefits for citizens and families

The plan includes 25 programmes targeting family wellbeing, national identity and quality of life. Key areas include improving the quality of education and healthcare services, strengthening social protection systems and raising living standards.

Environmental sustainability

Environmental sustainability is reinforced through a gradual transition to a low-carbon economy, reducing carbon emissions, expanding renewable energy projects and investing in sustainable infrastructure.

Role of governorates

The plan enhances the role of governorates by promoting economic decentralisation, enabling local authorities to manage their development priorities, improving local services and infrastructure, and strengthening the efficiency of local leadership.

Community participation

Community engagement played a significant role in shaping the plan. More than 280 workshops and dialogue sessions were held, with the participation of 620 experts and specialists. Government entities, the private sector and civil society organisations were involved through a participatory approach to defining priorities.