Muscat, Nov 6 - Reports of the world’s two top financial agencies have not only predicted Omani economy would pick up in 2018, they have also said economic diversification will start showing results by this time.
The general confidence stems from the fact that Oman’s crude prices for the first time touched $60 in two years. On Monday, the January trading for Oman crude at Dubai Mercantile Exchange closed at $60.63, a change of $1.65 from the previous day.
“Growth is expected to pick up over the medium term following a boost in oil and gas, and from expected gains in the non-oil sector resulting from government’s economic diversification plan,” the World Bank report has said.
Growth prospects for the MENA region is projected to improve in 2018 and 2019 with overall growth exceeding three per cent, the report said.
Under the non-oil diversification strategy, tourism is the key sector and a number of incentives have been announced with an aim to achieve an annual growth rate of eight to 12 per cent.
A senior financial expert told the Observer that we should look at a steady and gradual increase in oil prices, which is more suitable for Oman in the long run.
He said that apart from the fast-paced developments in Duqm, the developments in the tourism and logistics sector hold the key. All eyes are on the opening of the new Muscat International Airport terminal.
Once ready, the major gateway, with a capacity to handle 20 million passengers annually, is expected to help Oman emerge as a major transit hub.
“The strategic location is Oman’s main advantage and rightfully we are focusing on logistics and tourism,” said a top airline official.
The Ministry of Tourism has announced unsponsored tourist visas for the nationals of a number of countries, including China, India and Russia.
Travellers who reside in or hold an entry visa to the USA, Canada, Australia, UK and Schengen states can now obtain a non-sponsored tourist visa to Oman. A project in Oman that is awaiting completion sometime in 2018 is the Palm Mall. It will have an aquarium with a built-up area of 8,000 sqm along with a Snow Village.
Vinod Nair
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