Muscat, Oman’s economic indicators showed

advanced levels and stages in the plans and efforts of economic

diversification during the last period. Some of the key strategic projects

achieved many gains according to performance indicators issued by

the Implementation Support and Follow-up Unit (ISFU). While work is

continuing at a good pace in other projects, some projects are planned

to be completed by 2023.

About two years after the completion of the Labs phase of the

National Program for Enhancing Economic Diversification (Tanfeedh),

this report outlines the stages of the initiatives produced by these Labs,

which are overseen by the Implementation Support and Follow-up Unit

(ISFU), as well as the Sultanate’s plans to promote economic

diversification.

As an economy that relies heavily on oil revenues, the shift

required to diversify sources of income by promoting investment in

targeted sectors takes some time, but the Government continues to

pursue this trend by using the outputs of the National Program for

Enhancing Economic Diversification (Tanfeedh) by boosting the

contribution of the five target sectors in the Ninth Five Year Plan,

including logistics, manufacturing, tourism, fisheries and mining, as

well as moving forward with key strategic projects.

According to June statistical bulletin issued by the National

Centre for Statistics and Information (NCSI), it is clear that the GDP at

current prices achieved in 2017 a growth of 8.7% compared to 2016.

The GDP amounted to RO 27.9 billion in 2017, compared to about RO

25.7 billion in 2016. It is also evident that the value added of non-oil

activities amounted to RO 20.5 billion at the end of 2017 compared to

RO 19.7 billion in 2016, a growth rate of 3.9%.

The data show that the value added of agriculture and fish

activities increased by 7%, manufacturing activities by 9.2%, transport,

storage and communication activities by 9.6%, hotel and restaurant

activities by 7.2%. The data show that the added value of the mining

and quarrying sector grew by 15.7% in 2017 compared to 2016.

In terms of public finance, the Sultanate’s public revenues

increased 11.9% by the end of 2017 compared to 2016. This increase

was attributed to the increase in the average price of crude oil from

USD 40.1 per barrel in 2016 to USD 51.1 per barrel in 2017. The total

public expenditure in the state decreased by 4.9% by the end of 2017.

The Sultanate also achieved a decrease of RO 1.5 billion in the deficit

realised in the state general budget by the end of 2017 compared to

the previous year.

The value of commodity exports at the end of 2017 hit RO 12.6

billion, compared to RO 10.3 billion, an increase of 22.7%. Non-oil

exports increased by 32.4%. Commodity imports amounted to RO 10.6

billion in 2017, compared to RO 8.9 billion in 2016, a growth of 19.5%.

Source: Oman News Agency