Oman has made notable progress in industrial competitiveness, advancing five places to rank 58th globally among 153 countries in the 2026 Competitive Industrial Performance (CIP) Index issued by the United Nations Industrial Development Organisation (UNIDO), compared with 63rd in the previous assessment. This improvement reflects the continued development of Oman’s manufacturing sector and its growing capacity to compete in international markets.
The Competitive Industrial Performance Index is an international benchmark developed by UNIDO to assess the industrial competitiveness and manufacturing capabilities of economies. It measures how effectively countries produce and export manufactured goods, develop technological capabilities, improve the sophistication and quality of their products and strengthen their participation in global manufacturing.
The index covers three main dimensions: manufacturing capacity and exports, technological advancement and upgrading and global industrial impact. These dimensions are measured through indicators related to manufacturing value added, manufactured exports, technological intensity, export quality and sophistication; and a country’s contribution to global manufacturing activity.
According to Oman’s 2026 UNIDO country profile, which is based on 2024 data, Oman recorded a CIP score of 0.047, compared with a global average of 0.064. UNIDO classifies Oman among high-income industrialising economies, reflecting its position as an economy that continues to develop and strengthen its industrial base.
One of the most notable aspects of Oman’s performance is its strong position in medium- and high-technology manufacturing. Oman ranked 22nd globally in the share of medium- and high-technology activities in total manufacturing value added, with an index score of 0.602, significantly above the global average of 0.321. Oman maintained the same 22nd position as in the previous assessment, highlighting the growing importance of technology-intensive activities within its manufacturing structure.
Oman also improved its position in industrialisation intensity, rising from 47th to 39th globally. This progress indicates an increasing relative importance of manufacturing within the national economy. In addition, Oman ranked 56th globally in manufacturing value added per capita and 39th in manufacturing exports per capita, demonstrating the contribution of manufacturing to national production and international trade.
At the same time, the results identify areas where further progress is possible. Oman ranked 111th globally in the share of manufacturing exports in total exports, 96th in the share of medium- and high-technology activities in total manufacturing exports and 106th in the Industrial Export Quality Index. These results highlight opportunities to increase the technological content and quality of Omani manufactured products, strengthen domestic value addition and improve the ability of local industries to compete in international markets.
The findings also underline the importance of continuing efforts to diversify non-oil exports, develop higher-value manufacturing activities, enhance productivity and increase the participation of Omani companies in global manufacturing value chains. Strengthening these areas would help translate Oman’s strong manufacturing capabilities into greater export competitiveness and broader economic benefits.
Oman’s rise from 63rd to 58th globally in the CIP Index is therefore a positive indication of progress in the country’s industrial development. Its strong performance in technology-intensive manufacturing and manufacturing exports per capita provides a solid foundation for further advancement, while the areas identified for improvement offer clear opportunities for the next stage of industrial development.
Overall, Oman’s ranking among the world’s 153 economies represents both an achievement and an opportunity. It reflects the progress already made in developing the country’s industrial base while highlighting the potential to build a more technologically advanced, productive, diversified and internationally competitive manufacturing sector, in line with the objectives of Manufacturing Strategy and Oman Vision 2040; and its focus on economic diversification and industrial competitiveness.
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