MUSCAT: The Sultanate of Oman has advanced 19 positions in the 2026 Index of Economic Freedom, ranking 39th globally compared with 58th in 2025, according to the latest report published by the The Heritage Foundation. The index evaluates 176 economies worldwide based on the degree of economic freedom, measured across 12 indicators grouped into four main pillars: rule of law, government size, regulatory efficiency and open markets. These pillars assess factors including property rights, government integrity and judicial effectiveness, as well as tax burden, government spending, fiscal health, business freedom, labour freedom, monetary freedom and openness to trade, investment and financial services.
Oman’s overall score rose to 68.5 out of 100, marking its highest level in the past five years and maintaining the country’s classification as a “fairly free” economy. The score also stands above both the global averages, reflecting improvements in fiscal management and market openness.
The most notable progress was recorded in the Fiscal Health indicator, where Oman’s score surged from 63.2 in 2025 to 97.5 this year. The improvement reflects a decline in the public debt-to-GDP ratio and the recording of a budget surplus, both outcomes of Oman’s fiscal consolidation efforts in recent years.
Oman also achieved strong results in Trade Freedom, scoring 78.4 out of 100, reflecting relatively low tariff barriers and policies supporting the movement of goods and services across borders.
In addition, Oman recorded 74.7 out of 100 in the Government Spending indicator, which measures the scale of public expenditure, including state consumption and transfer payments linked to social programmes. The report also shows Oman maintaining stable performance across several indicators, including Tax Burden (97.6), Investment Freedom (70) and Financial Freedom (60). Efforts to enhance the country’s global competitiveness are being coordinated by the National Competitiveness Office, working through the National Team for Improving Network Readiness and Economic Freedom, under the National Programme for Private Sector Development and Foreign Trade (Nazdaher). — ONA
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