How Oman is betting its future on green growth
Published: 03:02 PM,Feb 17,2026 | EDITED : 07:02 PM,Feb 17,2026
Over the first five years of Oman Vision 2040, the Sultanate of Oman has moved steadily from ambition to action. The latest progress report shows that nearly 74 per cent of national indicators are advancing positively. Behind these figures lies something more important than statistics: a structural shift in how Oman defines growth, competitiveness, and long-term prosperity. Sustainability is no longer positioned as a supporting theme. It is increasingly becoming the foundation of economic strategy.
Four interconnected areas are shaping this transformation: green hydrogen development, sustainable mobility infrastructure, circular economy systems, and environmentally responsible industrial value addition. Together, they represent more than projects. They form a coherent development model where efficiency, environmental responsibility, and economic performance reinforce one another.
Green hydrogen stands at the forefront of this transition. Several large-scale projects have progressed from announcement to construction, including the landmark ACME development in Duqm. With world-class renewable resources, structured governance, and direct access to global shipping routes, Oman is positioning itself as a reliable supplier to Europe and Asia.
What distinguishes Oman’s approach is discipline. Rather than pursuing rapid expansion without safeguards, authorities have focused on clear regulations, phased incentives, and coordination between institutions and investors. This measured strategy builds credibility. It signals that the sector is being developed as a long-term national asset rather than a short-term trend.
Sustainable transport and logistics are advancing in parallel. Investment in roads, ports, airports, and digital systems is strengthening connectivity between industrial zones and export markets. At the same time, environmental performance is being integrated into infrastructure planning from the outset.
Digital platforms such as Marsad and Khuta are enhancing transparency across supply networks. Emissions monitoring and performance-based systems are gradually becoming standard practice. This reflects a broader shift: sustainability is no longer treated as compliance; it is becoming operational logic within modern supply chain management.
The circular economy represents another powerful pillar. Oman’s decision to commission a national Circularity Gap Report marked a regional first. More importantly, it was followed by practical action. Recycling capacity has expanded, engineered landfills have been modernised, and waste-processing facilities across the country are converting organic and construction waste into compost, biochar, and reusable materials.
Waste streams that once represented environmental cost are increasingly generating economic value. This is how circularity becomes meaningful, not through theory, but through functioning systems that reduce landfill pressure while creating new business opportunities. Institutional support has also strengthened.
The Oman Net Zero Centre plays a coordinating role in emissions-reduction strategies and infrastructure readiness. By embedding sustainability standards into procurement and project design, long-term objectives are translated into everyday practice.
Green value addition in industry further illustrates this evolution. Facilities such as the Duqm Refinery and the Salalah Ammonia Plant demonstrate that industrial expansion and environmental management can advance together.
Meanwhile, investment in solar panel manufacturing, wind turbine components, advanced materials, and speciality chemicals is diversifying the production base. Local manufacturing strengthens supply chains, reduces reliance on imports, and builds technical capability within the country. Over time, this contributes to employment generation, knowledge transfer, and greater economic resilience.
What connects these developments is a recognition that sustainability and competitiveness are not opposing forces. In global markets where carbon intensity is increasingly priced and supply chain transparency is demanded, early adaptation creates an advantage. Oman’s progress illustrates that effective transformation depends not only on planning but also on execution.
Policies are moving beyond documentation. Facilities are operational. Investments are materialising. Measurable outcomes are emerging. There are also broader lessons. Early investment in infrastructure and governance creates durable advantages. Coordination across industrial, environmental, and financial policies produces stronger results than fragmented efforts. Engaging stakeholders builds confidence and institutional legitimacy.
Most importantly, Oman’s journey challenges the outdated narrative that sustainability constrains growth. In practice, resource efficiency lowers costs, clean energy strengthens energy security, and circular systems unlock new revenue streams.
As global standards evolve, countries that embed sustainability into economic design will be better positioned to attract capital, secure market access, and maintain competitiveness. Oman’s strategic choices suggest that it intends to be among them. Sustainability in Oman is no longer an aspiration. It is increasingly a practical driver of diversification, fiscal stability, and long-term prosperity under Vision 2040.