Carbon reduction to enhance Oman’s investment appeal: MoEM

MUSCAT, JULY 7
Oman aims to avoid approximately 9 million tonnes of carbon dioxide (CO2) emissions by 2030, according to Eng Hamoud bin Hamad al Sawafi, Director General of Renewable Energy and Hydrogen at the Ministry of Energy and Minerals (MEM).
He said the transition to a green economy has become a cornerstone for enhancing the competitiveness of the national economy, diversifying income sources, and opening new horizons for the private sector and local and international investors. These efforts, he noted, will also directly enhance Oman's attractiveness to foreign direct investment, particularly in low-carbon projects, which are experiencing rapid global growth.
According to Eng Mohsen bin Sulaiman al Jabri, Director General of the Oman Net Zero Centre, a regulatory framework for the carbon market represents a qualitative economic transformation. It transforms the Sultanate's target of reducing emissions by 33 per cent by 2035 into tradable investment opportunities through carbon credits. This will facilitate attracting international financing, open new avenues for small and medium-sized enterprises (SMEs), and create specialized jobs in the carbon economy.
The comments come as the Ministry launches the updated version of its Net Zero Strategy and the regulatory framework for the carbon market. The aim is to establish a national carbon market that attracts local and international capital to finance climate change mitigation and adaptation projects across seven strategic sectors, thereby transforming climate commitments into promising economic and investment opportunities.
Official data from the Ministry indicates that total greenhouse gas emissions in the Sultanate of Oman reached approximately 94 million tonnes of carbon dioxide equivalent in 2024. This has prompted the acceleration of transformation programmes in the energy, industry, and transportation sectors, alongside the expansion of renewable energy, green hydrogen, and carbon capture technologies to reduce emissions and enhance resource efficiency.
The global markets are increasingly favouring countries with clear policies for reducing emissions and implementing sustainability standards. This gives Oman a competitive advantage in attracting green investments, especially given the growing global demand for low-carbon products and sustainable financing.
As these initiatives are implemented more rapidly, sustainability in the Sultanate of Oman is transforming from an environmental commitment into an economic engine capable of attracting capital, enhancing investor confidence, diversifying the production base, and consolidating the Sultanate of Oman's position as a regional hub for sustainable investments and clean energy, in line with the objectives of Oman Vision 2040 and laying the foundation for long-term economic growth.