BEIJING: Oman Investment Authority (OIA) signed investment agreements and partnerships worth billions of dollars with Chinese institutions and companies on Monday, marking its largest-ever package concluded in a single day, during the state visit of His Majesty Sultan Haitham bin Tarik to China.
Among the agreements, OIA and China’s Silk Road Fund signed a preliminary term sheet to establish a RO 307.6 million ($800 million) joint investment fund, with most of its capital earmarked for the Sultanate of Oman and the remainder allocated to China and other emerging markets.
The proposed fund was among 23 agreements, memoranda and strategic partnerships signed in the presence of His Majesty Sultan Haitham bin Tarik during his state visit to China.
OIA said the overall package was valued at several billion dollars and covered joint investment funds, industrial projects, technology, renewable energy, mining, logistics and financial services.
The signings took place at the Omani-Chinese Forum, organised by OIA at the Bank of China’s headquarters in Beijing under the theme “Prospects for Investment Partnerships”.
Most of the Silk Road Fund partnership’s capital would be invested in the Sultanate of Oman, with the remainder directed towards China and other emerging markets. The arrangement aims to attract new projects and capital into the Omani economy while widening joint investment opportunities.
OIA also signed a term sheet with China Merchants Bank to establish a second $300 million investment fund, equivalent to RO 115.35 million, with equal capital contributions from both institutions.
The proposed fund builds on a partnership launched in 2019 through an initial fund of the same value focused on China’s technology sector.
Abdulsalam bin Mohammed al Murshidi, President of OIA, said His Majesty Sultan Haitham bin Tarik’s visit marked a significant milestone in bilateral economic relations, opening opportunities to translate cooperation into investments and projects serving both countries.
He said the agreements reflected a broad range of partnerships, with particular emphasis on attracting investment and establishing industries and technologies in the Sultanate of Oman.
OIA views its international partnerships as a means of growing assets, generating sustainable returns and expanding opportunities for the national economy, Al Murshidi said.
Such partnerships also provide Omani companies and professionals with access to knowledge and technology, while investments remain subject to commercial viability and agreed frameworks, he added.
The package includes a RO 76.9 million ($200 million) fund established with IDG Capital in the Sultanate of Oman. Jointly financed by the partners, it aims to connect Chinese companies with investment opportunities across the Omani market and support the expansion of their operations.
A separate partnership with Templewater includes a $200 million fund established in the Sultanate of Oman, with equal contributions from both sides.
That fund forms part of a broader RO 99.97 million ($260 million) partnership targeting opportunities in energy companies, particularly clean energy.
The broader arrangement also includes $60 million of investment in the Sultanate of Oman through the Templewater Innovation Fund, which focuses on technology in China and Hong Kong. OIA has invested in the fund alongside Hong Kong’s Innovation and Technology Commission.
OIA and EWP Partners also established a RO 96.12 million ($250 million) fund in the Sultanate of Oman. A further allocation from EWP Partners’ regional fund brings the overall partnership to approximately RO 105.74 million ($275 million).
The collaboration targets Chinese investment in digital technology, smart manufacturing and energy, including renewable power, utilities and related technical solutions.
A memorandum with China Investment Corporation establishes a framework for identifying, evaluating and jointly pursuing investment opportunities in both countries, drawing on the institutions’ expertise and networks.
OIA also signed memoranda with Bank of China and China International Capital Corporation Limited to strengthen investment cooperation and support investment in the Omani market, alongside a cooperation agreement with technology investor HongShan.
Financial sector agreements extended to Sohar International, which signed a memorandum with Shanghai Pudong Development Bank covering syndicated financing and debt capital markets. Individual transactions remain subject to approvals and separate definitive agreements.
Sohar International also agreed to distribute funds managed by E Fund Management (Hong Kong), broadening clients’ access to Chinese and international markets.
Another memorandum, with BOC Asset Management (Hong Kong), covers the marketing of investment products, including gold-backed exchange-traded funds, to qualified investors, alongside institutional fund and portfolio management within authorised licensing arrangements.
Al Murshidi said the forum offered a direct platform to present Omani investment opportunities, connect institutions and companies with potential partners, and develop projects aligned with national economic priorities. — ONA
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