Overview
Oman allocates approximately 5 percent of GDP to public education spending. Sultan Qaboos University (SQU) ranks 334th globally in the QS World University Rankings, with five Omani universities appearing in the QS top 500. The sector encompasses K-12 public and private schools, 28 higher education institutions, and a growing TVET (technical and vocational education and training) system aligned with labour market needs.
The value chain for Oman’s education sector encompasses upstream inputs, midstream processing and logistics, and downstream distribution and export channels. Mapping this chain reveals critical nodes where value addition can be maximised and leakage to imports can be reduced.
Key Indicators
| Indicator | Current | 2040 Target |
|---|---|---|
| Education Spend (% GDP) | ~5% | 5%+ maintained |
| SQU QS Ranking | 334th | Top 200 by 2040 |
| STEM Enrolment | ~18% | 35% by 2040 |
| Universities in QS 500 | 5 | 8+ by 2040 |
| Research Output (GCC share) | ~0.3% | 2%+ by 2040 |
Analysis
The education value chain in Oman is characterised by significant upstream concentration, with MOE, MOHE, SQU, GUtech, University of Nizwa, Oman Medical College, OAAA dominating primary production. Midstream processing and logistics represent the largest opportunity for value capture, as much of the raw output is currently exported with minimal transformation. Investment of OMR 2.5 billion annual education budget signals strong commitment to building out downstream capacity. The sector employs ~65,000 (teaching and admin) workers, though value-chain deepening could multiply employment effects significantly.
Challenges
Skills mismatch between graduates and labour market needs, low STEM enrolment (~18 percent of tertiary students), quality assurance gaps in private institutions, limited research output (0.3 percent of GCC total), and teacher retention in remote governorates.
Opportunities
EdTech platforms for blended learning, international branch campus partnerships, TVET expansion aligned with manufacturing and logistics needs, research commercialisation through SQU Innovation Park, and lifelong learning programmes for workforce reskilling.
Vision 2040 Targets
Place two universities in QS top 200; raise STEM enrolment to 35 percent; achieve 95 percent secondary completion rate; triple research output; establish Oman as a regional education hub attracting 50,000 international students.