MUSCAT: Public Authority for Special Economic Zones and Free Zones (OPAZ) has underscored the regulatory significance of its new system issued under Royal Decree No 39/2026, describing it as a pivotal step in enhancing the business environment and reinforcing governance across special economic zones, free zones and industrial cities in the Sultanate of Oman.
Qais bin Mohammed al Yousef, Chairman of the Public Authority for Special Economic Zones and Free Zones (OPAZ), said the system grants the Authority expanded powers that complement the Special Economic Zones and Free Zones Law and associated legislation. He stressed that the updated framework reflects the Authority’s commitment to providing an investment climate defined by clarity, flexibility and long-term stability, in line with national economic objectives.
According to Al Yousef, establishing an independent regulatory system for OPAZ is essential to streamlining procedures and strengthening institutional efficiency across the zones under its supervision. The enhanced mandate is expected to bolster the Authority’s role in driving economic development, nurturing industrial clusters and attracting quality investments, while ensuring a competitive and legislatively stable operating environment. This approach supports broader government efforts to advance economic diversification and maximise local added value.
The new system also expands OPAZ’s supervisory and oversight functions, enabling closer regulatory alignment across all existing and future special economic zones, free zones and industrial cities. Ongoing development initiatives include the planned special economic zone in Al Dhahirah Governorate, the special economic zone in Al Rawdah and the free zone at Muscat International Airport, alongside four new industrial cities in the wilayats of Al Mudhaibi, Al Suwaiq, Thamrait and Madha. These projects aim to accommodate a broad range of industrial activities and reinforce the domestic manufacturing base.
Al Yousef noted that the broader powers will allow the Authority to deliver a comprehensive suite of services through a single-window platform. Services will cover project registration, issuance of licences and permits, approvals and certificates required for economic activities, as well as regulation of municipal services within the zones. The framework also provides for coordination with the Ministry of Labour on work permits for expatriate employees and Omanisation ratios and with the Royal Oman Police on customs administration and import-export procedures. The objective is to streamline processes, enhance performance efficiency and significantly improve the investor experience.
OPAZ currently oversees 23 special economic zones, free zones and industrial cities. New investments in these zones exceeded RO 1.4 billion in 2025, bringing total committed investments to RO 22.4 billion, representing growth of 6.8 per cent compared with 2024.
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