8 Jan 2026
In line with the government’s approach to supporting decentralised local development, and consistent with the pillars of Oman Vision 2040, the Sultanate’s governorates have been empowered through the implementation of service and economic projects and the provision of attractive investment opportunities.
Based on Royal Directives concerning governorate development projects under the Tenth Five-Year Plan, approximately RO 220 million was allocated for implementation, with RO 20 million earmarked for each governorate. Actual expenditure on development projects in the governorates and under the Governorate Development Programme during the plan period reached approximately RO 507 million.
Each governorate received its allocation under the previous plan and, through the Governorate Development Programme during the Tenth Five-Year Plan, worked to develop and implement a range of development and service projects. Key initiatives included the paving of internal roads, the development of public parks, and the establishment of waterfronts.
According to the State Budget Report for Fiscal 2026, the government will continue these efforts under the Eleventh Five-Year Plan to further enhance decentralisation and stimulate the competitive advantages of the governorates. Approximately RO 20 million has been allocated to each governorate over the next five years to implement projects under the Governorate Development Programme.
Sultan bin Salim Al Habsi, Minister of Finance, stated during his 2026 State Budget briefing that the issuance of two Royal Decrees at the beginning of the year approving the Eleventh Five-Year Development Plan (2026–2030) reflects alignment with global developments and national priorities, in line with the objectives of Oman Vision 2040 to build a diversified, competitive, and sustainable economy.
The most prominent governorate development projects for 2026 focus on waterfronts, public parks, internal roads, and commercial districts. Key initiatives include the Aymas Bay project and a slaughterhouse in Khasab (Musandam); a multi-purpose hall in Al Buraimi; the Hawiyat Najm site in Qurayyat, Ramlat Bousher, and Muttrah Square in Muscat; the historic centre in Al Khabourah (North Al Batinah); Rimal Park in Nakhal and waterfronts in Barka and Al Musannah (South Al Batinah); the Al Ashkharah beach waterfront (South Al Sharqiyah); Souq Al Mawarid in Sinaw, the Bidiyah Recreation Centre, and Wadi Bani Khalid (North Al Sharqiyah); the Grand Canyon project in Al Hamra and Nizwa Square Boulevard (Ad Dakhiliyah); the Mahout waterfront and a multi-purpose hall in Al Wusta; and the completion of Al Razzaz Boulevard, the Awqad waterfront, and the launch of the Taqah waterfront project in Dhofar.
The Eleventh Five-Year Development Plan aims to promote economic decentralisation by reducing development disparities between governorates through targeted investment aligned with local needs, strengthening decentralised management and local leadership capabilities, developing infrastructure, and improving service quality. These measures are intended to enhance the economic and developmental independence of the governorates and improve the efficiency of local governance.
Oman Observer is now on the WhatsApp channel. Click here
